I can’t believe it.
It’s happened again.
It’s really Quazy news.
Quiznos franchisees are suing the Quap out of their Denver-based franchisor.
It’s like Qeja-Vu.
New Quiznos Lawsuit
10 lawsuits (as of this writing) were filed in Quolorado in December, claiming that Quiznos stole “hundreds of millions of dollars” from franchisees using “hidden markups” on food and supplies that franchisees were contractually obligated to purchase. (It’s not unusual for food franchisors to force franchisees to buy product exclusively from them.)
According to this article in Nation’s Restaurant News, one complaint described Quiznos corporate as a “rogue franchisor” whose web of entities, owners and individuals has stolen hundreds of millions of dollars from franchisees through a fraudulent scheme based on deceptive and illegal business practices.
Why Quiznos Can’t Quell Their Latest Quagmire
Quiznos has been having “issues” for years.
There have been more lawsuits levied against this franchisor than any other in recent memory.
There have been management shuffles and even injections of money to keep the franchisor afloat.
Franchise fees were even lowered to help attract new franchisees-and to make things a bit easier for the franchise development team.
And still, the dysfunction continues.
A gentle tip from The Franchise King®:
Do not buy a franchise until you know EXACTLY how to do thorough research.
Learn how here
Franchisees Still in Business
There are still approximately 2500 Quiznos locations up and running, Qinternationally.
That’s a lot of franchise units.
And, it means that there are an awful lot of freaked-out franchisees that are fighting the good fight…trying to focus on winning the battle against lousy PR, and what seems to be continued mismanagement.
It kinda sucks to be a Quiznos franchisee, me thinks.
It’s About The Franchisees Now
The Quiznos franchisees-the people who have risked their money in order to go after their dreams, are hurting.
Some are hurting financially.
But, I’m guessing that the majority of Quiznos franchisees are hurting mentally.
How much more do they have to take?
Their financial livelihoods are on the line here.
Someone-maybe an entire new management team…needs to jump in and right this sinking ship.
It’s time for Quiznos Qorporate to get their Qhit together.
Would you like me to teach you how to do great franchise research?
Image qourtesy of Tsar Kasim, on Flickr