High Finance and Franchnising

Allied Capital has a portfolio of franchises representing tens of thousands of franchisees ---who are bound by long-term unbargained and unconscionable self-serving unilateral contracts that are honored by the courts.

It appears that Allied Capital doesn't want to deal with the SBA anymore through BLX because BLX were caught in illegal loan activity. Is the IFA, through its FDDI program continuing its relationship with BLX to promote loans for franchises for FDDI participants.

How is it that the view from the bottom, from the perspective of the franchisee, is so often dismal, while the view from the top, looking down, is that profits will abound for the investors who invest in the franchisors who hold their franchisees hostage under these long term contracts of adhesion for ten years, or more.

Are these long-term contracts proof of malice aforethought. If we work with the Bell Curve and CPA pronouncements that four out of five small businesses fail within the first five years, independent or franchised, why aren't franchise agreements and leases negotiated for five- year terms with fair options to renew for both the franchisee and the franchisor?

Is this another instance of government regulation that feeds the top feeders who grow fat on the little fish that swim in the bottom of the pond?