Despite Churn, Franchises Continue to Sell Once again, I am reporting on the very high churn rate for Dickey’s BBQ, yet the brand continues to sell a high number of franchises. Why? Do prospective franchisees not understand the numbers in the Franchise Disclosure Document? And, why is the government continuing to guarantee loans to a […]
Is Dickey’s BBQ Franchising’s Next Quizno’s? 28% Systemwide Churn
It’s not easy to forget the Quizno’s saga. Once one of the darlings of the franchise industry, growing through franchising to nearly 5,000 locations, but today, just under 400 in the United States. Many franchisees lost everything (investments, savings, their home), and as stores closed, eventually the franchisor filed for bankruptcy protection. Yet, has the […]
GAO Report of SBA Franchise Lending Reveals Program Failures
GOA Report Findings: The Government Accountability Office (GAO) published a report identifying that loans to certain franchise companies failed at a higher rate. From 2003 to 2012, the SBA guaranteed loans for more than $10.6 billion to franchise businesses and was forced to make payments on about 28 percent of those loans. Analysis of guaranteed […]
Maine Lender to Support Small Business Owners
Bill Whitmore, who has operated franchised fitness centers, will offer financing and other business services. He has launched a new lending institution focused on providing commercial financing to the region’s entrepreneurs, franchise owners and small-business owners. Whitmore has operated and sold several Planet Fitness franchises in Maine, said in a news release that his latest […]