Bernama:

The franchise business, once viewed as lucrative, is almost resulting in many franchisees going bankrupt.

Thirty franchisees are concerned they would go bust as they are being victimized and used as “baits” by franchisors to obtain government funding.

Infact, they are calling on Perbadanan Nasional Bhd (PNS) to stop funding franchise businesses as it was not bringing any benefit to the franchisees.

Former franchisee owners of Marrybrown, Jukebox, Watershop, VV Shop, Camps Apparel, Sinma and Kwikstop hope by bringing their plight to light, the authorities would investigate their claims and find a solution to the problem.

Each franchisee claims they are in debts of between RM100,000 and RM450,000 as a result of being victimised by the unfair practices of franchisors.

“In the franchise business, it should be a win-win situation for both parties but now the situation is more favourable to the franchisor,” said the former franchise owner of Jukebox, Hapsah Jaafar to reporters here today.

Hapsah claimed franchisees were runing into losses which were purposely created by the franchisor. Continue reading this article.

Related posts:

1. Guidant Financial Unveils 5-Steps To Franchise Ownership Earthtimes: Guidant Financial Group announced today its efforts to...
2. Help With Franchise Funding Select Your Franchise: Most well established franchisors, whose own...
3. Financial Help For Franchisees In Sheffield With The Big Project WhichFranchise: ‘BIG Make it Your Business’ is a franchise...
4. How Much Does A Franchise Earn On Average? BusinessWeek: Although experts say that it is critical for...
5. Why Franchisors And Franchisees Disagree About Franchise Support Smart Company: One of the reasons for the failure...

Related posts brought to you by Yet Another Related Posts Plugin.