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STRATUS BUILDING SOLUTIONS Franchise Complaints

July 18, 2011

(UnhappyFranchisee.com) Is the STRATUS BUILDING SOLUTIONS Franchise a scam?  At UnhappyFranchisee.com, we’ve received a number of Stratus Building Solutions franchise complaints.

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Strangely, Stratus Building Solutions is ranked #20 in Entrepreneur magazine’s Franchise 500 (READ: Top 100 Franchise Opportunities 2011: Behind The Hype)

In fact, when Unhappy Franchisee asked for commercial cleaning franchise complaints, half of the negative comments were against Stratus Building Solutions franchise opportunity.

Why are some franchise owners calling Stratus Building Solutions franchise a big scam?  The complaints are the same as those levelled against Jani-King, Jan-Pro, Coverall, Cleannet USA and the other commercial cleaning franchise companies out there:  Underbidding accounts, fraudulently taking cleaning accounts from one franchisee to give to another, etc. etc.

The question remains:  Why are these janitorial franchise companies allowed to get away with these despicable practices?

Chris wrote:

Stratus Building Solutions, Especially the one is Pittsburgh is a big scam. Please do not go to Stratus.

“I bought a franchise and now they plan on taking the one and only account off of me. That leaves me with zero income. The way the contract is written is that they are able to take off of you any accounts they say. They tell you they have complaints about the cleaning you have been doing. They tell you ‘We warned you now the account is taken from you. We need to protect our intrest too.’

The contract favors them. I lost $13,700 Also even tho you think you own a franchise you really do not. They get you accounts that belong to them. so you can not sell your franchise. The only way you can sell it is to go door to door and get your own accounts. You could have started you own cleaning and keep all the cleaning money yourself. Please listen to me. The contract does not protect you at all. The contract benefits them.

Please help me stop Stratus of pittsburg and Stratus corporate from swindleing any one. The solution to me is to go clean places on your own. By the way, if you do get your own places to clean while you are with stratus, you still have to pay percentage.

Ale wrote:

stratus is all bull shiet !! its a fucking fraud!!!

Javier Santos on March 31st, 2011 7:27 pm wrote:

STRATUS is A Big Scam! Don’t let them ruin your dreams they take advantage of good people to fill up their pockets.

guest on May 14th, 2011 10:15 pm wrote:

Stratus Building Solutions Franchise has received a grade of “F” from the Better Business Bureau of Orange County

http://www.la.bbb.org/PublicComplaints.aspx?CompanyID=100103761

Stratus Building Solutions Franchise complaint 1:

“Posted 3/11/2011 Summary – Consumer alleges services were not rendered as agreed.

Complaint Description Consumer alleges services were not rendered as agreed. Consumer paid your company $1000.00 down for a franchise business opportunity on 7/19/10. She completed the classes needed to get certified on janitorial services on 8/24/10. Once the classes were completed she was going to start getting job sites were she had to provide janitorial services, using her own equipment and would receive a check for services rendered minus a 25% fee from your company. To date consumer has not received job sites. Every time she calls to get assistance she is given the run around. She requested to get her money back for the down payment on the franchise however you refused. Consumer wants a refund of her monies.”

Stratus Building Solutions Franchise complaint 2:

“Posted 4/15/2011 Summary – Consumer alleges services were misrepresented and no refund has been issued

Complaint Description Consumer alleges services were misrepresented and no refund has been issued. Consumer purchaser a franchise from your company on 7/14/09 and paid $22000.00. He was promised to have his own business, his own building to provide the janitorial service that will pay $120000.00 a year. To date he has made $17000.00 in one year. He is not running his own company, instead he is introduce to clients as if he was working for your company. He had to pay 25% fee from each check for insurance, processing fees etc. When consumer complains to your company and ask for a refund of the money he invested you refuse. Consumer wants a refund of the $22000.00 he paid because the franchise was not as represented.”

Stratus Building Solutions Franchise complaint 3:

“Posted 4/21/2011 Summary – Consumer states company failed to provide proper services.

Complaint Description Consumer states company failed to provide proper services. Consumer paid $14,500 to the company. The company stated they would assist her in getting contracts with franchises, to clean their facilities. A list of potential leads would be provided to her. The lists they provided are not valid. When she requested a refund, she only received the runaround.”

Rob on June 2nd, 2011 wrote:

Stratus Building Solutions Franchise in Philadelphia is a big SCAM, Please don’t made same mistake I did and do not Buy franchise from them, they take advantage of good people, You are actually paying 10′s of thousands of dollars to make between $8-$10hr. You can’t even hire people without taking a loss, the ONLY people making real money are the people selling the franchises.

anonymous on July 15th, 2011 3:22 pm (Edit)

What bothers me the most is that with all the cleaning companies out there, they all repeat the same deceptive, abusive, misleading and unethical practices. They prey on the average american who wants to legally make money and work hard doing it. Often people have invested their life savings into the hope of making a better way for their families. It is unbelievable how the state and federal government aren’t doing anything after years of complaints and law suits to protect people from these modern day ponzi schemes.

I invested my money into Stratus Building Solutions to later find out that im not a owner of my own business but merely a employee, i paid $11000 to work a job. The gross revenues arent guranteed, they underbid contracts just to build their portfolio. Some of the jobs break down to be less than minimum wage. A business is meant to grow, not keep you stuck in one place where you have to do all the work to get by. If you speak against their actions they totally cut you off, no contact, even when they still owe you money.

IS THE STRATUS BUILDING SOLUTIONS FRANCHISE A LEGITIMATE OPPORTUNITY OR A FRANCHISE SCAM?  SHARE YOUR COMMENTS BELOW.

Contact UnhappyFranchisee.com

Comments

124 Responses to “STRATUS BUILDING SOLUTIONS Franchise Complaints”

  1. Guest says:

    You get out of it what you put in, just like with anything else. It takes some hard work, yes, but you can be successful too.

  2. My name is Jonathan Fortman and I’m an attorney in the St. Louis area, the hometown of Stratus.. On August 13, 2011, I filed a class action lawsuit in the Circuit Court of the City of St. Louis on behalf of 3 plaintiffs who purchased Stratus franchises. The franschisees allege that Stratus gave them false and misleading information to get the to sign tbe franchise agreement, failed to provide services it agreed to provide in the franchise agreement and violated Missouri law by terminating franchises without proper notice. We are seeking to have the case certfied as a class action on behalf of all Missouri franchisees who had losses due to the improper conduct of corportate. I would be happy to discuss any of your experiences you had with this franchise. Feel free to contact me anytime at (314) 522-2312 or by email at jef@fortmanlaw.,com. . If you are already represented by an attorney, please pass this message to your attorney. I wish you all the best of luck in this matter. Just remember you are not alone.

    Jonathan E. Fortman
    LAW OFFICE OF JONATHAN E. FORTMAN, LLC
    79 Hubble Dr., Suite 101
    Dardenne Prairie, Missouri 63368
    (314) 522-2312
    (314) 524-1519 fax
    jef@fortmanlaw.com

  3. [...] Jonathan Fortman has filed a class action lawsuit on behalf of 3 franchisees against the Stratus Building Solutions janitorial [...]

  4. The Law Office of Jonathan E. Fortman, LLC has filed a lawsuit in Missouri on behalf of franchisees of Stratus Building Solutions. The lawsuit seeks to recover damages on behalf of the franchisees for fraud and breach of contract. The lawsuit is asking the Court to certify the case as a class action. The investigation is ongoing, if you, or anyone you know, has had a franchise terminated by Stratus or any of its master franchisors, if you believe the company gave you false or misleading information to get you to pay money and sign the franchise agreement, or if the company has failed to live up to its obligations under the franchise agreement, we would like to talk to you. You can contact us anytime by calling the number below. There is NO CHARGE to you to discuss this matter and your call will be kept in confidence. Please call us as soon as possible.

    Law Office of Jonathan E. Fortman, LLC
    (314)522-2312
    jef@fortmanlaw.com

  5. 1st Amendment says:

    Coverall LOST ! Franchisor Hit HARD !

    Cleaners WIN !

    Franchisor Hit HARD For Pretending Employees Are Franchisees.

    The Supreme court Smacks Coverall with huge bill forlabeling its employees as franchisees.

    Here is the link to the article article

    http://www.bluemaumau.org/10644/fran…re_franchisees

  6. Nunya says:

    Stratus Building Solutions is a scam……period!!!!!! They jack up the price on any and all equipment….uniform attire that one would use. For example the business cards they get for you only cost $15 to make and get shipped…..but they will charge the Franchise $50 not kidding. Shirts and polos only cost about $7-$10 for them to buy but they double that price when it gets to the Franchisee. STAY AWAY!!!!!!!!!!!

  7. Stratus Franchisee says:

    I am a Franchisee for Stratus Building Solutions. Stratus does not recognize federal law requiring that cleaners be paid travel time when traveling from account to account. They franchisees are offered accounts that are not profitable. When they are forced to give them up because they lose money, the franchisor transfers the account to another new unsuspecting franchisee. The franchisor will make money whether or not it is profitable to the franchisee. It seems the business is not set up to find new profitable accounts but to find new gullible franchisees because that is how the franchisor can make a quick buck.

  8. Jose Perez says:

    Does anyone have a Stratus St. Louis FDD that they can send me a copy to my email. I want to compare it to the one I got at Houston. Don’t know if these guys have change things to make it more wors

  9. Nunya says:

    @ Jose…..whts ur email. I wanna show u something.

  10. ADMIN says:

    Nunya & Jose:

    We don’t allow posting of personal contact info on the site, including email addresses.

    If you would like to exchange information, you both need to email your request to unhappyfranchisee[at]gmail.com.

    Thanks

  11. skip rodman says:

    What a bunch of crap. I am a stratus franchise owner, started out small and now receive over $15,000 per month in payments. All you have to do is follow the work schedule and not short cut customers. They pay for their business to be clean, clean it and you can make bank. I am grateful to stratus for changing my life. There are thousands of satisfied franchisees. Seriously all you comnplainers have you ever been successful at anything in your life? Oh yes You have blaming others for your lack of success…..

  12. Linda Seneway says:

    I am a former employee at Stratus Builing Solutions. I left because I could no longer be a part of scaming minorities. The contracts are set up against you. You cannot win and will never make money. You are being used. If anyone in the Raliegh area reads this…. I need you for my unemployment claim I will no longer be a part of hurting nice hard working people. .

  13. Stratus Franchisee says:

    After owning a franchise for over a year I can say with confidence that you will never get a return on your initial investment. I have been told by my Franchisor to kiss that money goodbye. I will never see it. Yet, he continues to sign up people for franchises. If you want to spend alot of money to buy a job that pays $11.00 per hour sign up with Stratus. I say save your money and go to McDonalds to get a job. Please do not use my name.

  14. SUCKER says:

    INDY STRATUS…..SAME AS EVERYONE ELSES COMPLAINTS….A BUNCH OF BS. FROM THE PEOPLE AT ‘ STRATUS BUILDING SOLUTIONS ‘ IN INDIANAPOLIS….CONTACTED A LAWYERS ABOUT THEM AND HE IS WORKING ON A CLASS ACTION SUIT AGAINST THEM HERE IN INDY AS WELL….. THEY UNDER BID YOUR JOBS AND TAKE 30% OF THE CHECK…..NEVER TOLD ME ABOUT THE EXTRA 10% KNEW ABOUT THE 20% BUT AFTER GETTING MY FIRST PAYMENT 60 DAYS OUT IT CAME TO LIGHT….. I ACCEPTED A CONTRACT TO CLEAN SOME BUILDINGS AND THE THREE MONTHS I HAD THEM I LOST MONEY….THEY LOW BALL TO GET JOBS AND GIVE AWAY TOO MUCH TO CUSTOMERS THAT CAN AFFORD TO PAY THE GOING RATE….STAY AWAY FROM JERRY AND KEVIN AT ‘STRATUS BUILDING SOLUTIONS IN INDIANAPOLIS….. DEFINITY A SCAM BETTER OFF GOING OUT AND GETTING JOBS BY YOURSELF…..THEY JUST DO NOT KNOW THEY CONTRACTED WITH THE WRONG PERSON THIS TIME BECAUSE I AM NOT AN ILLEGAL AND SPEAK ENGLISH VERY WELL AND HAVE DEEP DEEP POCKETS…..THEY WON’T LOSE THIS ONE WITH ME AND IF I DO LOSE IN THE COURT I WILL WIN ON THE NET WITH SPREADING THE SCAM THEY ARE RUNNING IN INDY…..WHY DONT YOU START A FRANCHISE IN MEXICO CLOSER TO YOUR EMPLOYEE BASE….

  15. I am agreeing with your Article. Because I’m a Real Estate builder, I will apply these tips in my business policy.
    Thanks
    Rahima Joshna
    “Stratus Building Solutions”

  16. 1st Amendment says:

    Here is the link to the Scam that stratus is running. They were exposed on National Television on Telemundo.

    http://www.telemundo52.com/video/27856290/index.html

    Don’t buy into there scam. If you have been ripped-off don’t let them get away with it. organize with people. You have your 1st Amendment rights to picket and protest infront of any business. Report them to the Federal Trade Commission or find an attorney and take them to court.They will continue to keep hurting families if they are not stopped.

  17. [...] post STRATUS BUILDING SOLUTIONS Franchise Complaints prompted some harsh [...]

  18. ADMIN says:

    New post on Stratus Building Solutions franchise. Some of you are quoted:
    http://www.unhappyfranchisee.com/stratus-building-solutions-franchise-are-stratus-franchisees-successful/

    Please comment on Stratus’ statement on franchisee success and profitability. It’s quite amazing.

  19. anonymous says:

    STRATUS BUILDING SOLUTIONS is an unsuccessful business model. This company is based out of St. Louis and their MASTER FRANCHISERS have been suckered into spending large amounts of money to claim rights to different areas. Once they have been sucked into a losing business model, they quickly realize that there is only one way to make money in Stratus. That is to recruit franchisees, take their money, and get rid of them when they realize that they aren’t making any money.The training is sub par and profit margins are usually slim to none. I was one of those franchisees and I walked away without trying to sue because more than one lawyer advised me that my chance of winning a suit were very slim and it would be more money spent on legal fees. I wish you guys the VERY BEST!

  20. Stratus Franchisee says:

    You used my statement regardin Stratus. I stated in my last sentence (which you published along with my statement ) that I did not want my name used. Please make me anonymous. Thank you,
    [redacted]

  21. Stratus Franchisee says:

    Please delete my name from my statement regarding Stratus. I asked this before posted. Make me anonymous. Thank you, [redacted]

    Once your first comment is approved, your subsequent comments appear immediately. If you wish to remain anonymous, please post using the name “Stratus Franchisee” or even “Anonymous.” I have deleted you name. If you wish to communicate with site admin privately, please email unhappyfranchisee[at]gmail.com. Thanks. ADMIN

  22. almostAfranchisee says:

    I was just about to purchase a franchise. It was going to be with Jan-Serve. I called up and they said it was purchased by Stratus. I have researched Jan-Serve and found NO negative reviews. But Stratus is nothing but complaints. Fortuantely, I procrastinated and missed this sinking ship. Good luck to all who were sucked in.

  23. Anonymous says:

    Actually I’m worry because on November 12 I paid for a franchise $ 2000 I talk with Fernando Limas from Orange Office manager from Stratus I just try to call him went I going to start and until now I don’t have an answer when I was there asking for information right away start calling me to get the money from me I was with my son there because his going to do that and now I just want my money back and he doesn’t answer & his is using different number on the classified magazines getting more poor people with necessities please if any body can help me, I need my money back.

  24. Anonymous says:

    The document I was given at my meeting to maybe buy a franchise in St. Louis said I was supposed to be given a list of franchise owners and financial reports. I didn’t receive them. Also, the areas for dates on the Franchise Disclosure Document were either left blank or dated 2008. That dont seem right to me. The guy I met with made me feel uncomfortable and cussed too much.

  25. Eliceo Garcia says:

    Coverall , Especially the one is Orange California is a big scam. Please do not go to Coverall

    The contract favors them.
    I lost $10,000 Also even you think you own a franchise you really do not. They get you accounts that belong to them. so you can not sell your franchise. The only way you can sell it is to go door to door and get your own accounts.

    Please help me stop overall of Orange California and Coverall corporate from swindleing any one. The solution to me is to go clean places on your own. By the way, if you do get your own places to clean while you are with Coverall, you still have to pay percentage

    They have Spanish spekers but they dont help you with your accounts
    if they do, they usualy fire the good ones. In the hispanic community, they take avantage and they steal your money.

    Also, if they have good accounts, they chose who to give them to, specaily to young pretty girls, which I believe it’s not fair.

    If you don’t speack English well, they take more adavange of the situation. Which they do not know how to defend themself.

  26. PAYBACK IS A BITCH says:

    I WAS HIRED BY MY KIDS DAD , DIRECTOR OF OPERATIONS, AS QUICK AS I WAS HIRED I WAS FIRED….THEY HAVE YOU WALK IN SIGN A PAPER THAT YOUR CERTIFIED IN CLEANING ETC AND THEN SEND YOU ON YOUR WAY…. I WAS GIVEN BUILDINGS THAT WERE LARGE BUT I HELD MY GROUND UNTIL SOMEONE ELSE … A BIGGER DOWN PAYMENT… SORT OF SPEAK WAS PUT DOWN AND THEN ALL OF A SUDDEN THERES COMPLAINTS THAT I NEVER WAS TOLD ABOUT AND IT JUST WOULD GO DOWN HILL FROM THERE. THEY HAVE YOU SPEND MOST OF YOUR CHECKS ON CLEANING MATERIALS AND FOR THE 1 TIME FIRST CLEANING WELL MY OPERATIONS MANAGER ALWAYS MADE SURE STAFF WAS AVAILABLE FOR HIM TO HELP AND HE WOULD GO WITH HIS OWN SET OF STAFF AND CLEAN THE FACILITIES AFTER HE KNEW THAT JUST 1 PERSON COULDNT DO A 7,OOO SQ FT BUILDING IN 5 HOURS FOR A DEEP CLEAN. I WAS MADE A FOOL OF AND SAMUEL VALDEZ OF STRATUS CALIFORNIA WILL MAKE YOU REGRET EVER BELIEVING ANYTHING HE TOLD YOU… THE COMPANY LOVES TO HIRE FELONS AND THIEVES AND THEY TELL CLIENTS THAT THE FRANCHISEE’S ARE WELL TRAINED AND CERTIFIED… I ONLY SIGNED A PAPER THAT GAVE ME THAT TITLE OF CERTIFIED IN CARPET CLEANING ETC…. WHATS SAD IS THAT HES BEEN GIVEN PRAISE FOR FIRING ME AND HIRING PEOPLE THAT DONT SPEAK ENGLISH AND BASICALLY GETS A THRILL OUT OF MAKING FRANCHISEE’S THAT HE DOESNT LIKE LOSE THER BUILDINGS. BE AWARE BE VERY AWARE THAT YES THERE ARE SOME SATISFIED CUSTOMERS BUT THE ONES THAT HAVE BEEN ROBBED…. VIDAL IN SANTA MONICA….. WERE HUSHED AND COVERED UP WITH A GENEROUS AMOUNT OF ASS KISSING FROM SAM. YES DOING A $600.00 FLOOR STRIPPING OR CARPET CLEANING ON THE HOUSE IS A WAY TO MAKE A CUSTOMER HAPPY FOR ALL THAT MONEY THAT WAS STOLEN AND AT THAT FROM HIRED FELONS. THIS I KNOW TO BE FACTS SO IF YOU WANT TO THINK THAT YOUR SO HAPPY WITH YOUR FRANCHISE JUST WAIT THEY WILL SEE AND THINGS WILL ALL OF A SUDDEN WITHOUT ANY KIND OF NOTICE BE TAKEN FROM YOU.

  27. sanje says:

    WARNING!!! Stratus Building Solutions on Horsham,PA
    This place is fake. They take your money and never find a job. It has been almost 2 years and nathing hes happend but me loosing.

  28. Stratus Building Solutions says:

    I agree

  29. I just wanted to let you know that we are talking to people just like you on a daily basis and will be happy to speak with you too. (It is free, of course!) Below is our contact information. Feel free to contact us anytime.

    Law Office of Jonathan E. Fortman, LLC
    jef@fortmanlaw.com
    (314)522-2312
    http://www.fortmanlaw.com click on Cleaning Franchises and fill out form.

  30. Scott says:

    WARNING! Do not invest in this company! I am from the louisville/lexington/Indy area and the upper management is horrible. They have no true interest in their franchises and find EVERY way not to pay their people. I have seen so many turn overs in the sales and operations staff which in my opinion is a poor reflection on the management staff in Indy. They are exactly that POOR business people with very bad intentions. Consider yourself warned!

  31. Bill Falkner says:

    Scott, I know that is not your real name! Why are you a coward? Why do you lie? I have been a manager at Stratus-Indianapolis for over one year….Company has never had anyone in those areas named Scott….NO ONE including dayporters, managers, franchise owner-operators etc…. YOU ARE A FRAUD! I’m real, I exist, call the Indianapolis Office and feel free to contact me at anytime! THIS IS WHY BLIND POSTS ARE GARBAGE! Either be man enough to put your name, or stop your nonsense! Kevin and Jerry are honorable people, I deal with over 40 owner-operators in the area I am responsible for…..

    What Scott is saying are lies!

  32. Juan says:

    Alert stratus building solutions in Delaware is a scam..please somebody tell me where I can file a complain..to get them out of business

  33. anonymous says:

    Stratus Building Solutions is just one of the members of the “good ole boys club”. They are just following in the footsteps of Jani-King, Coverall etc. You think they would have tried to be better knowing that these companies have had legal issues in the past. Instead, Stratus took it upon itself to say ” this will be like taking candy from a baby”, because they saw how successful it has been for other companies in the past to try and scam innocent people. How do you sleep at night knowing you have ruined someones life especially the way the economy is today. People are struggling to make ends meet and giving their last to try and make a way for themselves and Stratus takes advantage of this fact.
    I know of people out there who are breaking their backs to keep up with their accounts but Stratus works against the franchisee and tries to influence the account contact to complain against the franchisee. That is all a ploy to remove a person from an account and collect newly formed fees. There are alot of franchisees out there that are afraid to speak up because they know one word against Stratus and your up the river without a paddle.

  34. Jatziry says:

    Does anybody know if Status Building Solutions in Atlanta, GA is also a scam? I went to the interview where the guy told me everything about Stratus and everything sounded great! I was determine to be a franchisee with them, but after reading all there reviews, im not so sure! please i need to know if the Atlanta Ga one is not a scam as well.

  35. Stratus frsnchisee says:

    No one Stratus is better than the other. I’m sure all these comments come from different people around the country. They all follow the same rule book. People arent writing comments on here giving opinions, they’re telling experiences. Hope that helps.

  36. 1st Amendment says:

    They have recently been exposed on Television for ripping of alot of people, they have also recently been sued. Your better of starting your own business.

  37. William Falkner says:

    The comment made on the 27th of January is NOT me! I have never posted to his site and this is the first time I have read or even thought of looking at this site! I would like the person who thought I wrote those comments to please contact me “IMMEDIATELY” I have never said anything bad about Stratus or the Indy office… this is a load of crap and if someone is saying something about me or for me please “STOP”

  38. mitchell smith says:

    is strarus building solutions a scam in austin texas cause i realy want to invest help me!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

  39. Pam says:

    Does anyone know about Stratus Building Solutions of Northern Utah?? I’m thinking about buying into it.

  40. [...] Building Solutions Franchise STRATUS BUILDING SOLUTIONS Franchise Complaints STRATUS BUILDING SOLUTIONS Franchise is a Scam, Attorney Claims  March 6, 2012 LA FRANQUICIA DE [...]

  41. Rick says:

    I spent a couple of months in Stratus franchise sales and operations, let me say a few things. Like any business opportunity Stratus will over promise and under deliver. And like many others, they will bury things in the legal documents.

    But I firmly believe that it isn’t a scam, a franchise owner can make good money under the right circumstances, with hard work and some wits. Without those, however, yea you will not make money. The real money comes from the very large accounts that call for more hours and pay a higher per hour rate. But those accounts will inevitably go to the larger franchisee owners with employees. Those guys are very happy. They can make money. For the little guys buying the smaller packages it is a much higher cliff to climb.

    I believe the truth comes down to each individual Master Franchisor. When making their pitches some will give less information than they should, and sign up people who will be eventually surprised by the fees and 120 business days to deliver accounts.

    My office was new and the Master wanted to be very honest and forthcoming with every detail, the result is he hasn’t signed many franchisees in one year of operations. And he doesn’t have a lot of accounts to go around because he typically wants to charge higher. He hasn’t made any money and desperation is starting to creep in. The inevitable learning curve is coming for him where he will start with-holding some facts during franchisee presentations and low balling accounts just to win them. Then he will sign more franchisees and have accounts to churn. When that happens he will begin to operate as more of a burn and churn operation like some of the others.

    The truth is, if you want to get into this business you may be better off doing it yourself. The fees are high. The 10% for the administrative portion is high given it is usually one gal pushing buttons to print up statements. Nothing hard there. You will pay more for insurance but not that much more. You can pitch your own accounts, but Stratus doing it does save time. The 4-5x they charge for accounts is a major write up and you have no guarantee for how long you can keep the business. The colder, serious business oriented, bottom line hugging Master Franchisors will pull and churn accounts with impunity. That is how they can maximize their income.

    But the truth is that you are not really buying your own business. The rules, regulations, fines and other dictates really put you under the thumb of the Master Franchisor. You can hire your own people, and work the hours you want, but after that there isn’t much else you can do for yourself. Stratus really makes the franchisees tow the line, or else. The franchisee only rents the accounts, the Master Franchisor controls, owns and manages the account. Plus, they will always check up on you to make sure you are following the rules.

    If you want your own small business with plenty of freedom this isn’t it. Plus, you won’t make the big money you hoped for unless you want to really go big in the business and have lots of employees.

    It took me 2 months to realize all this and sign off.

  42. Todd A. Peterson says:

    No surprise! Stratus is another company that is a Vetfran Participant!
    ————————————————————————————————————-
    Stratus Building Solutions
    Business Established: 2004

    Offering Financial Assistance
    Franchising Since: 2004
    Franchised Units: 50
    Company Owned Units: 1

    Special Incentives
    VetFran Participant
    MinorityFran Participant
    Women’s Programs Available
    International Opportunity Home Based Franchise

    VetFran Incentive
    Stratus Building Solutions offers Honorably Discharged Veterans a 10% Discount off all Franchises. Stratus Building Solutions offers Special Financing for all HD Veterans.
    Start-up Cost: $100,000 to $500,000
    Total Investment: $150,000 to $550,000
    Veteran Hired Since 2011 N/A
    Veteran Owned Units N/A
    Visit Stratus Building Solutions
    ————————————————————————————————————
    When is someone going to step up and decide that companies who are found guilty of committing VERY FRAUDULENT acts should not be subjecting our soldiers to their Franchises? With the way that the IFA supports (just the Franchiser) Franchisers in their training courses which can be found on the IFA web site and which educates Franchisers how to put wording in their Franchise Agreement which insures that future Franchisees who might have a legitimate complaint never get a FAIR TRIAL because of the contract wording which in most Franchise Agreements who have IFA and VETFRAN support are protected.

    Look up three Organizations the IFA (International Franchise Association) Vetfran and FranPac. Then go to http://www.campaignmoney.com and do a search on the International Franchise association and see how the IFA contributed over $600,000 to Politicians in order to secure their interests and silence people like myself who are VICTIMS of Franchising.

  43. I couldn’t agree more with Mr. Peterson. I think we owe something to our veterans which should include putting some protections in place to protect them from these types of companies. I don’t know what the mechanism would or should be to do that, but if anyone has any good ideas I’d be willing to assist any way I can.

  44. Todd A. Peterson says:

    The problem is Mr. Fortman, most people who buy into a Franchise and then only after running it a couple of years find that they were sold it Fraudulently or receive no support as Promised or have their Franchiser misrepresent themselves to the Franchisee, find themselves still heavily indebted to the Franchisee and unable to be profitable.

    The Franchisee then can’t afford to hire PROPER representation from an attorney and STALLED justice if they CAN afford it. As well as many issues with the Franchise contracts that I suspect the IFA is educating their Franchisers who sign up for their training courses on how to protect their Franchises from litigation thus SCREWING the Franchisee and STALLING or MAKING sure that FRAUD never makes it to a court room.

    In my opinion and as it states in the IFA mission the IFA is out for the FRANCHISER and could CARE LESS how Franchisers treat their Franchisees and even through training PROTECTS the Franchiser from Franchisee litigation.

    Their is NO WAY according to Arkansas Franchise Law that my Franchise should have been Terminated by Matco. Their is NO WAY Matco should have been allowed to commit the acts of FRAUD which include LYING, DECEIT, and creating FALSE DOCUMENTS to Terminate me from my Franchise.

    But it happened and evidently I will get no representation from my State Attorney General, Senators, Representative, IFA Chair and Event Coordinator for the IFA Beth Solomon, Vetfran Committee Chairs and numerous others I have talked to. No one wants to see my information or proof of my allegations. Everyone is turning a blind eye from the lunatic in Arkansas that has been deemed a Failure.

    Even Attorneys in Arkansas, whom I was willing to pay, after having my file for a couple of weeks would tell me “You have a good case” but “our firm can not represent you in this matter. I even paid a retainer to an attorney who was supposed to send Matco a letter stating my position on my termination and the fraud of managers to my Franchise and after two weeks I called because in the first week he was supposed to send the letter and email me his letter. He then had his partner call me and tell me that his firm could not represent me because they didn’t have time to represent me. I have visited and had my case reviewed by over 16 attorneys in Arkansas with Franchise experience. I have talked to probably 40 attorneys in all and for some reason they either wanted more money than a Falsely Terminated Franchisee could pay or told me “We are choosing NOT to represent you.”

    My first year in business I was 41 out of over 1500+ Franchise Owners.

    In my second year I would have been in the top 10 but a new Regional Manager had other plans. He fired my District Manager (the guy who introduced me to Franchising) then proceeded to force established customers from my route to establish NEW START-UPS. Something the RM and DM profit from Matco doing with BONUSES. He didn’t just do it to me either! The Distributor who was #45 and was in his first full year of business as well experienced the same thing. As a result of Matco’s hostile takeover of my customers I was reduced to 134 out 1500+ Franchisees. In Matco numbers that is $100,000′s of dollars less than where I could have been.

    But these things don’t matter to the Franchise Owners and Franchise Attorneys and other people who PROFIT every day from a Franchiser or selling service to Franchisers and sit on the IFA and Vetfran Committee Chairs.

    Yes, investigate for yourself. All these people who claim to SUPPORT our troops have NO responsibility for making sure THEIR Franchiser participants are offering ETHICAL and MORALLY responsible FRANCHISE Opportunities.

  45. Hefty Bag says:

    Todd, did you get on the wrong post? Last time I looked this was Stratus complaint site. Did I miss something else? Did the ambulence chaser that continues to post with admin’s approval somehow win a case finally?

  46. Todd A. Peterson says:

    No Hefty! I am NOT miss posting. But merely pointing out that there is NO ONE making sure all these Franchisers are being held accountable for their ACTIONS when they sign up for or become partners with Vetfran.

    Becoming partners with Vetfran gives the Franchiser a DIRECT line to our troops who have served our country and if those Franchisers are not offering a VIABLE opportunity to succeed we as Franchisees should combine our forces and put pressure on those who GOVERN the actions and lobby for the IFA and VETFRAN.

    It is one thing to boast of an Organization which CLAIMS to support our TROOPS!

    It is another to allow Franchisers to participate under that Organization when they are committing FRAUD against their FRANCHISEE and operating their “Churn and Burn” Franchises. Franchisers involved in law suits should be investigated and found to be operating on GOOD STANDING! Regardless of whether LAW SUITES are settled in mediation, arbitration or any other way.

    If Franchisers get to hale the FLAG as supporters of our troops they should have consequences besides paying out in mediation settlements to keep their FRAUDULENT ways QUIET!

  47. stratus franchisee says:

    You could not have explained it any better Mr. Peterson. The common thread with all these companies is the same, LYING, STEALING, CHEATING, BREACH OF CONTRACTS, MISREPRESENTATION, it has to stop.

  48. Rob says:

    Jonh Coleman from stratus in Horsham, PA, is a big lier , after he got my money what he did he give me only two accounts in 15 months, I talked with a lawyer and he say we can sued him, but if we can find more people with same situation case will be stronger, so if you are in same situation please contact me at [redacted]

  49. ADMIN says:

    Stratus Open Letter from Franchisees. Please read, share, comment here:

    STRATUS BUILDING SOLUTIONS: Open Letter From Unit Franchisees

SHARE A COMMENT HERE:





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