September 10, 2012
AFC SUSHI Franchise Complaints: Are you familiar with AFC Sushi franchise, Advanced Fresh Concepts or other sushi franchise opportunities?
Please share a comment or opinion below.
Advanced Fresh Concepts AFC Sushi claims to be the largest supplier of fresh sushi to supermarkets nationwide.
According to AFC Sushi website, they have over 3,300 sushi bars in supermarkets and other food service sectors throughout the 50 U.S. states and Canada.
“The fresh products we offer are available for purchase at any of the sushi bars independently owned and operated throughout the nation and Canada,” states the website.
“With twenty-five years of experience, AFC Franchise Corp. has become the premier sushi company in North America since 1986.”
AFC SUSHI Franchise Owners Operate inside Major Supermarkets
The AFC Sushi franchise website claims:
“AFC takes pride in providing the highest quality and largest variety of sushi and sushi related products. Our franchisees have the skills and knowledge to operate wonderful sushi bars. We are currently seeking potential franchisees in the United States and Canada.
”Why is AFC the defining leader in the sushi bar and Sushi Related Products category?
- AFC sushi is made fresh daily with the highest quality ingredients
- We package products in convenient ready-to-go containers for customers seeking a healthy alternative to fast food
- Our franchise sushi bar program is unique
- We currently have 3,300 sushi bar franchise locations
- AFC services the United States and Canada; we will be expanding to Australia in 2011
- Many signature sushi items and sushi related products to choose from
AFC SUSHI franchise owners generally operate inside established supermarkets. Customers pick up fresh sushi items at the AFC regrigerated display and pay through the store’s checkout system. The supermarket takes a percentage and sends the rest to Advanced Fresh Concepts, who takes their percentage and fees and sends what’s left to the franchisee.
AFC SUSHI Franchise Complaints
AFC Sushi Franchise Disclosure Documents indicate both high franchisee turnover and a number of legal disputes.
Between 2007 – 2009, AFC Sushi sold 1083 new franchises.
However, in that same period they had 1116 franchise terminations, 11 non-renewals, 22 franchises reacquired by the franchisor, and 304 franchises that ceased operation for other reasons.
So while 1083 entered the AFC Sushi franchise system, 1453 exited.
AFC Sushi franchise complaints have surfaced on the Internet.
While Lucy W claims to have settled her dispute, her complaint highlights the franchisee’s dependence on the franchisor to pay them honestly and fairly:
I signed a five-year franchise agreement with Advanced Fresh Concepts Franchise Corp. (hereafter called AFC) The business model is, AFC, the Franchisor, will contract the SUSHI BAR in Kroger Supermarket to me as a Franchisee which located in Saginaw of Michigan. Every month, I order all the seafood and package from AFC. And at the end of each month, Kroger Market will distribute the gross sales directly to AFC. AFC will deduct the costs of my orders and 33% of the gross sales and then send the rest back to me.
From December 10th 2008 to August 1st 2009, AFC provided me false figure of gross sales, short of USD300 to 800 each week, in order to lower the percentage of my income. For example, in the weekly statement January 3rd 2009, the true gross sale shall be $7,368, but AFC’s figure was $6,552, which is $816 less. Such kind of false statements were sent to me in each of the following weeks.
From the first statement I received from AFC in January 2009 till now, I kept contacting the relevant staff of AFC by emails, faxes and calls (I can’t go directly because of the long distance from Michigan to California.). AFC admitted that they received the Discrepancies Forms I faxed, but they refused to solve the problem by giving me the following pretexts:
1. All the representative are busy right now, we don’t have time to calculate, please wait patiently;
2. Please try to call 2 or 3 weeks later;
3. There is no IMR (Item sold/loss Movement Reports) to prove and it might be the system digital error of Kroger Market;
Not every franchisee is so lucky to be able to either see or get the IMR to get the correct figures. As most other unlucky franchisee, we have no other means to find out the figures except: the statement from AFC and our own record.
I asked help from the store manager in Kroger Market and printed out two reports: IMR and the weekly sales amount.
Surprisingly, the reports illustrate that every week AFC embezzled my gross sales ranged from as low as $300 to as high as $864. As of August 1st 2009, the total is $13372.46. Such a high amount is a shock. And it also shows clearly that there is nothing wrong with the figures provided by Kroger, which performs its duty honestly by sending the correct figures to AFC. It is AFC that intentionally and maliciously tampered those falsifications.
My supporting evidence for my above assertion is:
1.The statements of each month received from AFC.
2.The two reports printed out from Kroger Market: IMR and the weekly sales report.
3.All the emails to AFC concerning about the negotiation of this matter.
4.The contract and agreement I signed with AFC.
All the evidence support my assertion: AFC is cheating and embezzling by entitled income. According to the contract, AFC has the responsibility and obligation to provide me the correct statements. There is no excuse or reason for AFC to embezzle my money and do anything unlawful, immoral or dishonest.
I am also a AFC sushi bar owner in Hawai’i, and feel the SAME way as you mentioned in your story.
I wanted to know what did you do to resolve this issues..
Is there something I can do cause it feels like SLAVERY.
i was a franchisee of a sushi company called AFC corp located in california. my franchise(sushi bar)was in florida ( publix super market). My franchise agreement with AFC was terminated unfairly. Beacause i was complained by store mananger. AFC said i breached the my contract and they fired me with no investigation on my case.i did not do anything wrong .i can prove my innocence. should i sue AFC?
ARE YOU AN AN AFC SUSHI FRANCHISE OWNER OR FORMER AFC SUSHI FRANCHISEE?
ARE YOU FAMILIAR WITH ADVANCED FRESH CONCEPTS AND ITS SUSHI FRANCHISE OPPORTUNITY?
PLEASE SHARE A COMMENT BELOW.