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Log In / Register | May 21, 2013

Investigative News

Kumon COO Departure Exposes Management Rifts

Reporter | Don Sniegowski | Feb 12 | franchising, service
Kumon Learning Center signage
A Kumon sign with its puzzled face that seeks to understand, photo/jsparks

TEANECK, NJ — Chief Operating Officer Savio Rebelo resigned last week from the North American subsidiary of Japan's Kumon Institute of Education. His resignation shows a parting of the ways with a chain that is going off in a different direction. Akira Hamanaka, president of Kumon North America, will add the chief operations role to his own duties until a replacement can be found.

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Three-Quarters of 2013 Super Bowl Ads from Franchisors

Reporter | BMM | Feb 5 | entertainment, franchising
Super Bowl 2013, Franchise vs Non-franchise related TV Ads
Data: American Association of Franchisees and Dealers

PALM DESERT, Calif. — Super Bowl XLVII was a blowout for franchising firms as the industry dominated the game's television advertising. A commanding 74% of Super Bowl commercials were from companies that franchised.

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Sports Team Franchises To See Strong Growth; Fast Food Not So Much

Reporter | BMM | Feb 3 | buy, entertainment, franchising, trends

Growth in professional sports franchises & key related industries

Data: www.IbisWorld.com

SANTA MONICA, Calif. —If you want to own a franchise, research shows that the boats rise a little faster for sports team owners. If you can afford one, professional sports team franchises will be one of the strongest growing sectors compared to other sectors tied to sports.

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Subway Eats Competition's Lunch

Reporter | Don Sniegowski | Jan 15 | food, franchising, manage
A Baltimore Subway shop celebrates AnyTober $5 Footlong
A Baltimore Subway shopfront. photo/bluemaumau

LEXINGTON, Ky. — For all but two of the largest six players in the sandwich sector, the recession has not been kind. That's despite the sector growing 3 percent a year since 2007, according to market researcher Technomic Inc. In short, the biggest guy on the block got bigger.

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Another Francorp In-house Attorney Jumps Ship

Reporter | Janet Sparks | Oct 23 | franchising

OLYMPIA FIELD, Ill. – Francorp Inc, self-proclaimed as the leader in franchise development, continues to sign on new clients despite its loss of staff and burden to pay off its big debt on tax liens and judgments. The question now is will Francorp be able to meet its legal obligations to its clients, and will these companies get accurate and reliable legal services that won’t come back to haunt them.

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Government Warns Again: Franchises Do Not Succeed More than Small Businesses

Reporter | Don Sniegowski | Sep 15 | buy, franchising
A troubled KFC franchise in Kentucky gives up on its franchisor and closes its doors for good
A KFC franchisee in Kentucky gives up on its franchisor and closes its doors for good. photo/bluemaumau

LEXINGTON, Ky. — The Small Business Administration has declared yet again to the public that franchises have the same success rates as independent small businesses.

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Franchise Groups Advocate Creating Franchisee Associations

Reporter | Don Sniegowski | Jul 28 | franchising

SAN DIEGO, Calif. — On Thursday the American Association of Franchisees and Dealers sent an email to franchisees encouraging them to "achieve a win-win relationship with their franchisors" by forming an independent franchise association.

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Latin America Dunkin’ Franchisees Commit to Expand

Reporter | BMM | Jul 26 | food, franchising

CANTON, Mass. — Dunkin' Donuts (NYSE:DNKN) announced yesterday that three of its existing Latin American international franchisees have signed contracts that commit them to expand further in the region.

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Americas Best Value Inn Continues Record Pace

Reporter | BMM | Jul 13 | franchising, hotel

Americas Best Value Inn® continued its unsurpassed growth with the addition of 11 new properties in June for a total of 32 during the second quarter of 2012. 

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Franchises Densest Where Regulation Toughest

Reporter | Don Sniegowski | Jul 13 | buy, franchising
franchise outlets per resident in 2009 by country
Chart: BMM Data:European Fran. Fed, JFA,FCA,IFA, United Nations

LEXINGTON, Ky. — Does government regulation follow when franchising becomes big, or does franchising get big when it is regulated?

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Headlines from the 'Net

IslandTime Treasures Named 2013 Military Friendly Franchise

Member | Lonnie Helgerson | May 14 | franchising, pr

IslandTime Treasures announces it was ranked in the top 10 percent of all franchises nationwide and named a 2013 Military Friendly Franchise by Victory Media, publishe

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Are Franchisees Well Informed? Revisiting Franchise Relationship Laws

Expert | Robert Purvin | May 1 | franchising, legal

Are franchise owners really well informed? Law professors Robert Emerson and Uri Benoliel say no and that there is a powerful case for the need to protect franchise owners from franchisor opportunism.

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McDonald's Menu Discounts Give Rise to Franchisee Anxiety

Member | Ike Clarke | Apr 24 | food, franchising, manage

McDonald's corporate focus on discounted menu items to bring in more traffic appears to be sitting poorly among some franchisees.

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The Real Origin of the Business Format Franchise

Reporter | Don Sniegowski | Apr 10 | franchising

The business format franchise didn't originate with McDonald's.

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Franchise Small Business Admin Loans Equal Large Taxpayer Losses

Member | Old Sword | Apr 9 | buy, franchising, legal
Flushing money down the toilet

Journalists Lynn Hulsey and Ken McCall look into the world of franchising via Small Business Administration lending and uncover a universe of bad loans, shoddy underwriting practices and non-existent oversight.

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Larkburger, Snooze, Want Nationwide Growth, No Franchising

Member | Pualani Jensen | Mar 10 | franchising

Colorado hamburger chain Larkburger has attained great success since it was established six years ago. It plans to follow that up by expanding across the country.

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Top 10 World's Coolest McDonald's

Member | BMM Staff | Feb 27 | entertainment, franchising

McDonald's has some great-looking restaurants in the U.S. and around the world. The Daily Meal has put together a slideshow of what it says are the 10 coolest.

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Liberty Tax Ruled Vicariously Liable for Illegal Franchisee Advertising

Member | Marilee Hayes | Feb 16 | franchising, legal
Liberty Tax Service
An unrelated franchise outside California advertises its services. photo/bmm

Franchisor Liberty Tax Service was ruled vicariously liable by a California state appellate court for its franchisees' illegal advertising.

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Australia Post Worthless

Australia | Ray Borradale | Feb 12 | franchising

Australia PostWhen I first began discussing the Australia Post agenda with colleagues back in 2009 it seemed most considered my conclusions on the Australian icon simply too bizarre. There was no mention from mainstream media in Australia as it protected one of its largest advertisers. 

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Franchisor Works to Quash Auto Repair Rip-Off Image

Member | Marilee Hayes | Feb 4 | franchising, people

Mike Carr, president and CEO of franchisor Christian Brothers Automotive, says the company mission is to love your neighbor as yourself.

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Expert Advice

Franchise Review Report Released: Good Faith and Penalties Recommended

Australia | simon young | May 17 | franchising, legal
simon young's picture

The Report by Mr Alan Wein (from his Review of the Australian Franchising Code of Conduct conducted earlier this year) has been released today and makes 18 recommendations for improving the franchi

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Should I Franchise My Business?

Expert | Mario Herman | May 14 | franchising
Mario Herman's picture

If you own a business, you may have considered expanding by franchising. Other companies have found success through franchising, so why couldn't you?

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Submissions to Latest Australian Inquiry Now Available

Australia | simon young | Apr 15 | franchising, legal
simon young's picture

73 submissions that have been made to the Wein inquiry from a wide range of the franchise spectrum, including individuals, corporations, lawyers and academics, are now available on-line through the followng link: 

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