IFA Releases Annual Economic Outlook Report for 2021
Feb 24, 2021 - Blog by Goldstein Law Firm |The International Franchise Association (IFA) recently released its Annual Economic Outlook Report for 2021. As summarized on the IFA’s website, “The report offers an in-depth look into franchising’s growth trend following the economic fallout due to the COVID-19 pandemic . . . . [T]he report forecasts positive growth expected for franchise businesses in 2021, provided continued federal support, and suggests the potential to reach pre-pandemic levels of economic output by the end of the year.” Here, franchisee attorney Jeffrey M. Goldstein takes a look at some of the key data from the report.
Startup Burger Franchise Ordered to Offer Rescission and Full Restitution to Its Franchisees
Feb 19, 2021 - Blog by Goldstein Law Firm |On February 16, 2021, the California Department of Financial Protection and Innovation (DFPI) issued an order requiring Burgerim, a startup burger franchise, to offer rescission and full restitution to its franchisees. As reported by the Franchise Times, Burgerim sold 1,550 franchises over approximately five years, but only about 130 of its franchisees were ultimately able to open for business. As franchise lawyer Jeffrey M. Goldstein explains, Burgerim committed various disclosure violations and engaged in various other forms of improper conduct as well.
Should You Buy a Franchise With an “On-Trend Brand”?
Feb 17, 2021 - Blog by Goldstein Law Firm |A recent article in the Franchise Times discusses the success of an emerging franchise system. In part, the article attributes the system’s success to having an “on-trend brand.” But, making a long-term investment in a franchise based on a trend isn’t necessarily the best decision—as trends can fade long before franchise agreements expire. With that said, if a trend is here to stay, then buying in could prove to be a smart investment. So, how do you decide? Here are some insights from franchisee lawyer Jeffrey M. Goldstein:
It’s Time for Another “Franchise Top 10”: What Prospective Franchisees Need to Know About Franchise Reviews
Feb 12, 2021 - Blog by Goldstein Law Firm |It’s the time of year when many online publications release their annual lists of the “top” franchises. The Franchise Times is the latest to join the list, with its “10 Top Franchises to Buy” released on February 24. While franchise reviews like these can be informative in some respects, prospective franchisees need to take them with a grain of salt, and they need to make their own informed buying decisions based on thorough due diligence.
Franchisors May Choose Not to Make Item 19 Financial Disclosures Due to Economic Impacts of COVID-19
Feb 10, 2021 - Blog by Goldstein Law Firm |According to a recent article from Franchise Times, some franchisors may choose not to make Item 19 financial disclosures as a result of the COVID-19 pandemic. While franchisors have the option to either provide a financial performance representation (FPR) or make a “negative disclosure” in Item 19, FPRs provide important insights for prospective franchisees who need to gather as much information about franchise opportunities as possible. Here, franchise attorney Jeffrey M. Goldstein provides an overview of why some franchisors will likely forego making FPRs in 2021 and what this means for franchise buyers.
5 Important Facts About Franchise Rankings and Franchise Reviews
Jan 29, 2021 - Blog by Goldstein Law Firm |When you are looking for information about franchise opportunities online, you will find lots of sites that promote their own franchise rankings and offer franchise reviews. While some of these rankings and reviews provide useful insights, it is important to understand their limitations as well.
A Look at the State of the Food Franchise Industry Heading Into 2021
Jan 27, 2021 - Blog by Goldstein Law Firm |Food franchises account for nearly a third of all franchised outlets in the United States. As a result, the health of the food franchise industry is crucial to the health of the franchise industry as a whole, and trends in food franchising often make their way into other sectors.
Is Now the Time to Invest in an Education Franchise?
Jan 22, 2021 - Blog by Goldstein Law Firm |The COVID-19 pandemic has had an unprecedented impact on our education system. With many students missing months of school in 2020, and with students across the country attending class remotely and relying on working parents for daily guidance in 2021, experts are forecasting long-term impacts for students of all ages. As reported by the Organization for Economic Co-operation and Development (OECD):
What Should You Do if COVID-19 Threatens Your Franchise in 2021?
Jan 20, 2021 - Blog by Goldstein Law Firm |While the start of the New Year was a symbolic refresh for many people, as 2021 is now in full swing, it is clear that things are still far from normal. Spikes in COVID-19 cases are once again triggering new shutdowns and restrictions around the country, and many business owners – franchisees in particular – are struggling as a result. If your franchise is at risk in 2021 due to the effects of the pandemic, what do you need to know? Here are some important insights from franchise lawyer Jeffrey M. Goldstein:
Entrepreneur.com Releases its 2021 Franchise 500 List
Jan 15, 2021 - Blog by Goldstein Law Firm |Entrepreneur.com recently released its Franchise 500 list for 2021. The Franchise 500 is the online media platform’s annual ranking of the best franchises in the United States. If you are thinking about buying a franchise listed on the Entrepreneur.com 2021 Franchise 500, we encourage you to inquire about one of our fixed-fee franchise business review programs.
