The Dirty Little Secret Franchises Don’t Want You To Know

 Ok, here we go. If you are even contemplating buying a franchise then you absolutely must know this next piece of information.

It could literally save you $50,000

So I had told the franchise that I wanted to leave as I was broke and it just was not working.  The franchise responded by telling me I owed them $50,000 and would fight me all the way to get it.

I thought my world could not get any worse before and now it just shattered. How could that be? I hadn’t earnt any money from the Franchise in 6 months so how did I owe them money.

They took great delight in telling me that I had signed a legally binding contract that meant I owed them that money. When I looked into it further, I realised they were right.

 You see, this Is how it works -

I had signed a five year Franhise Agreement that had a % of turnover paid to the Franchise for Management Fees and Marketing. After 1 Year there was a minimum payment set at $500 per month.

Can you see where this is going?

By their logic, and by the Franchise Agreement, if I left I was still liable to pay them 4 Years worth of $500 Dollars per month or $48,000.

Did I pay them?   Well that will be the subject of a later Blog Post..

You need to know this Information…..