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Member You - Management Case Study; Franchisor Temporary Assignment of Outlet to Transfer as Existing Unit
Your daily grind has lost its groove. Your career is just a job that provides a paycheck. You dream of making a living doing what you most love, yet your thoughts are swiftly put to rest with the reasons you can’t: you need more education, training or experience, you can’t afford to pursue your ideal career or it
Nevertheless, regulators keep making a mess out of the franchising industry and then more cases end up in court and it is a self-fulfilling prophecy that Franchisors need to be regulated because they broke a gray area of law, which they were forced into by onerous regulations in the first place. Please consider thi
Have you always wanted an Internet business but been stopped by hurdles like no web site, no product idea, no networking marketing knowledge, etc, etc, etc? Or are you one of the many affiliates struggling to make sales and commissions from your business or Affiliate programs?If you answer “Yes” to any of the
Due to the Sarbaines Oxley laws fewer accounting companies wish to do audits and to the accounting costs have skyrocketed. This is causing a ripple effect in the franchising industry for registration renewals on a timely basis. When a franchising company is in the middle of a sale or transfer to a new franchisee this puts them into a gray area of law. If they are not registered in the state at the time of the sale then they are supposed to go dark. But you cannot simply turn off a sale in the middle of the process otherwise the franchisee might sue you.
Some Franchisors have temporarily assigned franchised units to third parties, family members or company employees to avoid this issue and take advantage of a gray area of law. If a particular outlet is being terminated for cause, abandoned, in non-renewal, probate, transferring or being sold as new during the lapse in the renewal process with the state register then the Franchisor has to scramble in order to keep the deal alive, the outlet open and the new franchisee to take over.
Unfortunately, this is a result of the law of unintended consequences and it is putting Franchisors at legal and financial risk. It seems that the more laws, rules and regulations, which are made the more it in hurts the franchising model, which really doesn't need any rules and regulations anyway because it self regulates due to the business model structure.
For instance if a Franchisor sells businesses that don't work those businesses and outlets will go out of business and therefore the Franchisor will go out of business because no one will buy the franchises anymore and there will be no royalty stream coming in.
Nevertheless, regulators keep making a mess out of the franchising industry and then more cases end up in court and it is a self-fulfilling prophecy that Franchisors need to be regulated because they broke a gray area of law, which they were forced into by onerous regulations in the first place. Please consider this
What else would I do first thing in the morning?It's 5.50am when I jump into the pool. When the cool water hits my body I'm instantly awake. Awake enough to think,"why do I do this? I could still be in bed! Am I crazy ?"Before you say "Yes," I can hear you asking too, "why DO you do this?".
Due to the Sarbaines Oxley laws fewer accounting companies wish to do audits and to the accounting costs have skyrocketed. This is causing a ripple effect in the franchising industry for registration renewals on a timely basis. When a franchising company is in the middle of a sale or transfer to a new franchisee this puts them into a gray area of law. If they are not registered in the state at the time of the sale then they are supposed to go dark. But you cannot simply turn off a sale in the middle of the process otherwise the franchisee might sue you.
Some Franchisors have temporarily assigned franchised units to third parties, family members or company employees to avoid this issue and take advantage of a gray area of law. If a particular outlet is being terminated for cause, abandoned, in non-renewal, probate, transferring or being sold as new during the lapse in the renewal process with the state register then the Franchisor has to scramble in order to keep the deal alive, the outlet open and the new franchisee to take over.
Unfortunately, this is a result of the law of unintended consequences and it is putting Franchisors at legal and financial risk. It seems that the more laws, rules and regulations, which are made the more it in hurts the franchising model, which really doesn't need any rules and regulations anyway because it self regulates due to the business model structure.
For instance if a Franchisor sells businesses that don't work those businesses and outlets will go out of business and therefore the Franchisor will go out of business because no one will buy the franchises anymore and there will be no royalty stream coming in.
Nevertheless, regulators keep making a mess out of the franchising industry and then more cases end up in court and it is a self-fulfilling prophecy that Franchisors need to be regulated because they broke a gray area of law, which they were forced into by onerous regulations in the first place. Please consider thi
If you build it they will come…Or will they?With technology being what it is, they will come if you build it right. But they might not stick around long enough to make your business worth the effort. So what do you do with a website that isn’t accomplishing anything?You make your website work wi
Some Franchisors have temporarily assigned franchised units to third parties, family members or company employees to avoid this issue and take advantage of a gray area of law. If a particular outlet is being terminated for cause, abandoned, in non-renewal, probate, transferring or being sold as new during the lapse in the renewal process with the state register then the Franchisor has to scramble in order to keep the deal alive, the outlet open and the new franchisee to take over.
Unfortunately, this is a result of the law of unintended consequences and it is putting Franchisors at legal and financial risk. It seems that the more laws, rules and regulations, which are made the more it in hurts the franchising model, which really doesn't need any rules and regulations anyway because it self regulates due to the business model structure.
For instance if a Franchisor sells businesses that don't work those businesses and outlets will go out of business and therefore the Franchisor will go out of business because no one will buy the franchises anymore and there will be no royalty stream coming in.
Nevertheless, regulators keep making a mess out of the franchising industry and then more cases end up in court and it is a self-fulfilling prophecy that Franchisors need to be regulated because they broke a gray area of law, which they were forced into by onerous regulations in the first place. Please consider thi
"Bureaucracy - any administration where action is impeded by unnecessary procedures" - Collins Concise English DictionaryIn your own organisation, do you ever think "Why are we doing this?" or "Why aren't things moving as planned or desired? Do you notice people becoming more difficult to deal with?
Unfortunately, this is a result of the law of unintended consequences and it is putting Franchisors at legal and financial risk. It seems that the more laws, rules and regulations, which are made the more it in hurts the franchising model, which really doesn't need any rules and regulations anyway because it self regulates due to the business model structure.
For instance if a Franchisor sells businesses that don't work those businesses and outlets will go out of business and therefore the Franchisor will go out of business because no one will buy the franchises anymore and there will be no royalty stream coming in.
Nevertheless, regulators keep making a mess out of the franchising industry and then more cases end up in court and it is a self-fulfilling prophecy that Franchisors need to be regulated because they broke a gray area of law, which they were forced into by onerous regulations in the first place. Please consider thi
The Federal Trade Commission has set forth an agenda to revamp the Franchise Rule. Actually not revamp and get rid of the unnecessary over regulation and over disclosure, but to re-define it and pile on more minutia. The Federal Trade Commission ought to re-consider all these potential rule changes and advise from a
Nevertheless, regulators keep making a mess out of the franchising industry and then more cases end up in court and it is a self-fulfilling prophecy that Franchisors need to be regulated because they broke a gray area of law, which they were forced into by onerous regulations in the first place. Please consider this in 2006.
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