jbm's blog

 The Monthly utilities in this small ice cream franchise are extremely high and at times can account for as much as 10% of your monthly revenues.  When you look at the equipment list you will begin to see why.  Let's take a look at each one and what each utility will cost you.

Electricity (monthly)  -  ($900-$1300)

Let's begin with the fees being paid by you to Cold Stone Corporate (CSCorp).

I have often pictured the franchise concept as a long revenue trough with weekly sales being poured in at one end and at the other end the franchisee desperately waits for a financial draw.  In between, I see, all of the money-starved hogs lining up at the trough each month - the largest of those hogs is Cold Stone Corporate snorting and sloshing up as much of your weekly revenue it can possibly get.

My real job frequently sends me to Shanghai and I have long (jet-lag) Shanghai nights to peruse the Blue Mau Mau site and scratch my head and wonder "how the hell did I get sucked into the Cold Stone Creamery spiral of death".

I am now a recovering Cold Stone Creamery Franchisee.

Truth in Franchising.  Where is it?  Someone please tell me.

The US Government introduced the "Truth in Lending Act" in 1968 as a way to inform the consumer of certain conditions pertaining to the funds be borrowed.  It did not dictate the conditions or the rates of the loan, it only "disclosed" the actual terms and costs of the loan to the consumer.

Where is the "Truth in Franchising Act"?  An act that does not regulate the Franchise agreements or dictate the terms by which it is constituted, but rather, an act that simply discloses the full context in which the franchise agreement is executed.

Ever feel like fresh meat in a Piranha Pond?

Nip, Nip …

          Franchise Fees

          SBA Loan

I went to Borders on Thursday to purchase the "Franchise Fraud", as I selected the book from the shelf a wave smoke filled the air.  I turned to see a tall cigarette-smoking-man dressed in gray with a cigarette gripped between the thumb and index finger.  Wrinkles creased his face - wrinkles from years of intimidation, selective terminations and territorial encroachments.

He spoke with a whisper …. "put the book back, don't go there, leave it alone, it must and will remain hidden."  My eyes glazed over, I returned the book to it's spot and went to the gardening section.