UPS Franchisees Did Not Follow Shareholder Rules

ATLANTA (Blue MauMau) - Norman Black, spokesperson for UPS, said in an interview today that it is clearly and unequivocally wrong that two franchisee shareholders were denied access to last week's UPS shareholder meeting unfairly.

Angry UPS Franchisees Behind Closed Doors of Shareholder Meeting

WILMINGTON (Blue MauMau) - While UPS held its annual meeting Thursday at the Delaware Hotel DuPont, two shareholders who were planning to attend spent their time in a coffee shop downstairs.

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FranchiseMart's Gary Lengel shows a video introducing a franchise matchmaking business at the International Franchise Expo. Photo/Blue MauMau

Interview with FranchiseMart

WEST PALM BEACH, Fla. (Blue MauMau) - Franchise consulting has gone retail. FranchiseMart, a new concept, has launched several franchised retail locations.

New Coalition of Franchisee Associations Formed

BREAKING NEWS! CFA to Leverage Collective Strengths of Franchisee Leaders

WASHINGTON, D.C. (Blue MauMau) - Leaders of major franchisee organizations made a bold statement today in announcing the formation of the Coalition of Franchisee Associations, Inc., with the mission "to leverage the collective strengths of franchisee associations for the benefit of the franchisee community."  The CFA will focus on government affairs at the state and federal levels; education and training; leadership development; and collective buying opportunities. CFA Chairman Frank J. Capaldo said, "Franchisee groups have long been managing similar issues, which range from navigating government mandates to negotiating meeting venue contracts." He added, "Through CFA, leaders from some of the best-known franchisee organizations are collaborating to share ideas, knowledge and resources for the benefit of the entire franchisee community."

Capaldo is also the executive director and CEO of the Atlanta-based National Franchisee Association, which represents Burger King operators.

The CFA board of directors comprises the founding members of the organization, including leaders from Brown Board Owners Association (UPS Stores), DD Independent Franchise Owners, Inc. (Dunkin' Donuts),  Independent Hardee's Franchisee Association, Meineke Dealers' Association, National Association of Buffalo Wings Franchisees Inc., National Coalition of Associations of 7-Eleven Franchisees, National Franchisee Association, Inc. (Burger King), and North American Association of Subway Franchisees.

Small Franchise Owner Goes Against UPS Goliath

The Real Life of a Seasoned Mail Boxes Etc. Franchise Owner: His Story of a Buyout, Revenue Loss and a Drawn-Out Lawsuit

imageFRESNO, Calif. (Blue MauMau) - Dale Martinez has seen his business change for the worse since Mail Boxes Etc. began converting franchised units in 2003 to The UPS Store. "We're hanging on at this point," says Martinez, "but to keep the other stores going, we will probably sell one of the four sometime this spring.”

For Martinez, there were no good options when the franchise chain was sold to United Parcel Service. The UPS Store model that the franchisor was pushing did not look viable. On the other hand, the franchisor did not want him to stay with Mail Box Etc.'s (MBE's) tried and true model that had enabled him to build four successful franchise units within just a few years. The franchisor said the MBE mail service model was dying and could not be fixed, nor would he be able to renew. Owners who stayed with the old brand would not be allowed to sell, transfer or renew their franchise. Worse yet, the agreement had a non-compete clause that restricted him from going independent after the end of his contract.

MBE had strongly pressured franchise owners with expiring franchise agreements to either close down or convert to The UPS Store brand and model. With two 10-year franchise agreements that were about to expire, Mr. Martinez was forced to decide quickly on the viability of the new business model that went with United Parcel Service’s acquisition of the MBE packaging and shipping franchise chain.

Francorp Promotes Year-End Specials

Sign Up Now for Francorp's 2007 Model; Save $$$ Prior to New Year Increase

OLYMPIA FIELDS, Illinois (Blue MauMau) - FranCorp, a consulting firm that develops franchise programs for independent businesses, released a new marketing piece earlier this month, urging prospective clients to take advantage of its 2007 prices prior to a new increase in costs. It states, "Effective January 1, 2008, Francorp's Consulting prices will increase by $10,000 for each of our development packages." It justifies the rise in costs by saying, "This is our first price increase in over two years, and it is necessary in order for us to continue to provide the highest quality of services to our clients." 

America's Top 10 Cities with Ugly Homes

Texas cities top list with the most homes in need of repair

DALLAS (Blue MauMau) - Houston has taken the top honor of having the most ugly homes to invest in, according to HomeVestors. The chain of real estate franchises, famous for its "We Buy Ugly Houses" billboards, has named the top 10 markets that turned ugly real estate into more saleable assets in 2007.

  1. Houston, Texas
  2. Atlanta, Georgia
  3. Dallas, Texas
  4. St. Louis, Missouri
  5. Phoenix, Arizona
  6. Fort Worth, Texas
  7. San Antonio, Texas
  8. Minneapolis, Minnesota
  9. Chicago, Illinois
  10. Milwaukee, Wisconsin

HomeVestors, specializing in buying, rehabbing and selling single-family homes, based the findings on the number of houses bought in each market in 2007 by their 260 franchises in 35 states.

With 504 homes sold or rented in 2007, Houston had the most homely homes. The Texas metropolis was way ahead of second-place Atlanta with only 445 homely homes. But Texas took four of the top 10 cities on the list.

Blockbuster Testing DVD Vending Machines

$1 DVD Rental Machines Set Up in Kentucky Papa John's, Family Dollar

DALLAS, Texas (Blue MauMau) - Blockbuster is exploring the distribution of $1 overnight DVDs through vending machines.  These vending machines, branded Blockbuster Express, have been placed in 10 Papa Johns and Family Dollar locations in Lexington, Kentucky. There are a small number in other cities at retail locations. Blockbuster would not reveal which cities or other retailers are testing the machines.

Amidst an onslaught of new technologies and competitive innovation from the likes of Netflix online rental and Redbox Automated Retail LLC, jointly owned by McDonald's Corp., Blockbuster is exploring increasing market presence by providing consumers with new ways to access media entertainment.

Randy Hargrove, Senior Director of Blockbuster Corporate Communications, says, "We see vending as a possible way to enhance brand awareness and consumer relevance by making Blockbuster more convenient, which we believe could benefit the Company, our franchisees and shareholders."

Pet Butler Trademark Application Suspended

Pet Butler’s Trademark Application for Registration Rejected, Then Suspended

FRISCO, Texas (Blue MauMau) — The Pet Butler franchise chain has no registered trademark. It never did. And now the franchisor of some 80 poop-scooping franchises is trying to register with the United States Patent and Trademark Office but having considerable difficulty.

Pet’s application and request for reconsideration of trademark has been rejected by the Trademark Office. The relatively goliath Pet Butler name is too close to an already registered dog waste removal company, a two-unit small independent business in the Pacific Northwest, Dog Butler. So Pet petitioned to cancel Washington-based Dog's trademark, and in turn its pending application is suspended until the outcome of the Dog cancellation is known.

Such trademark uncertainty puts additional risk and financial burden on potential franchisees, who assume that the trademark is part of what they are buying. Franchise unit owners incur business expenses in relation to the company marks. Worse yet, franchisees must rebuild a brand presence with existing customers when they have to change their name.

Mr. Nick Bibby, a franchise consultant and principal of the Bibby Group, comments, "It is a disservice to franchisees as well as to the entire network to market an unprotected name. The development of brand recognition is a pivotal element in successful franchising and it cannot be done when standing on quicksand."