GUEST POST: Franchising is a Scam!

(  “Perseverance” is a former franchise owner who claims he was railroaded by an unscrupulous franchisor.

He has since expanded his opinion to include all of franchising as an orchestrated scam.

Perseverance writes: 

“I’ll offer some real truth! Franchising is a scam! Franchising garnishes the support of the IFA (International Franchise Association) a Non-Profit organization which is made up of anyone who wants to profit from screwing American investors.

“The IFA has created several organizations like Vetfran, Minorityfran and FranPac to ensure that their relationship with the American entrepreneur is CONTROLLED and LIKED by the politicians. Vetfran and Minorityfran were created to make their franchisors look like franchisors who care and support those who have served our country or are not part of the majority. These are issues we as Americans hold to high esteem. Our troops and the rights of EVERY American citizen is what makes us proud to be American. They use these organizations to promote their popularity as someone who cares.

“FranPac is an organization, which boasts on its own website of its accomplishments of, lobbying officials who run for elected positions within our government. Donating money to get them elected. They are proud of how they have used the money donated by franchisors to BUY OFF political support whether it supports American Entrepreneurs or not. The politicians are IGNORANT of FACTS about franchising because the truths are hidden in F.D.D.’s (Franchise Disclosure Documents). F.D.D.’s present failed franchisees whom franchisors say just didn’t have it or were never meant to be business owners.

“Lawsuits in F.D.D.’s do not show the true seriousness of how franchisees are affected by FALSE FRANCHISE opportunities. As we speak there is an attorney settling 35 clients (franchisees) against its franchisor. None of these unhappy franchisees will be able to warn future victims of the fraud imposed on them by their franchisor because they will have to sign agreements that will inhibit them from exposing or explaining their fraud in the future. These 35 clients who bought fraudulent franchises will be forgiven of their debt by their franchisor (they still owed money on their fraudulent franchises) and their credit will be restored but their attorney will receive more money for mediating their case than all 35 franchisees will get.

“Why was this attorney selected by these 35 unhappy franchisees. Because he was the ONLY attorney who would take the cases of victims who trusted a franchisor to sell them a viable franchise. No doubt that in each state these 35 unhappy franchisees tried to find help in their state with an attorney or political figure but no one would help. Why?

“Arbitration Clauses is why. Arbitration clauses keep attorneys out of a court room where decision and judgements can be made. Decisions and judgements which would enable future laws to be made to protect franchisees.

“Franchisors don’t like arbitration as well either. Because it costs lots of money to go to arbitration. That opens up the forum for mediation. Mediation is an agreement between the franchisee and franchisor to resolve their disputes without going to arbitration. What franchisors do in mediation is STALL!

“Stalling causes the franchisee to move on with his life, find another job and forget about the past. These franchisees were once productive American workers who contributed to our American Society paying their taxes, having excellent credit and property with equity are now forced to give up on change or protecting his fellow American. To except his defeat by Corporate America and worry about his own tail.

“I can not blame these franchisees for excepting this offer. Our politicians, attorneys and corporations know they control the American people. A Constitution founded by our forefathers to keep government from controlling us has captured the majority and left the American people with no voice. “




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