Identify the perfect franchise for you! Take our short quiz Take our free franchise quiz!
Identify the perfect franchise for you! Take our short quiz Take our free franchise quiz!
Identify the perfect franchise for you! Take our short quiz Take our free franchise quiz!

Quiznos Franchise Narrowly Avoids Bankruptcy

Through a last second deal with a deep-pocketed private equity investor, the once-celebrated Quiznos franchise has managed to narrowly avoid bankruptcy. The sandwich chain negotiated the extinguishing of some $300 million in obligations while securing a fresh $150 million in capital from NYC-based private equity backer Avenue Capital, a distressed investment fund with approximately $20 billion in assets under management.

Despite a bruising economy and brutal competition from sandwich rival Subway, Quiznos was able to stave off total collapse at the franchisor level for years, leaning on (some franchisees would contend crushing) its franchisees by imposing rising supply costs and promotional efforts on its franchisee network. That strategy kept the franchisor afloat, but brought about a rapid shuttering of units, with some 600 Quiznos restaurants faltering in 2010 alone.

With a second lease on life and control of the franchisor squarely in the hands of private equity professionals, will Quiznos be able to navigate a still-shaky economy, challenge Subway for supremacy, and win back the trust of its surviving franchisees?

Read more about the Quiznos deal with Avenue Capital on NPR.

What Does a Franchise Search Look Like

People often start off their search for franchises and aren't really sure what they want. They might know a facet of what they want, but they're not certain about everything they need to look into or think about. I thought it might be helpful for anyone interested in opening a franchise to get an idea of what everyone else is looking for. How the typical search goes before they connect with a franchise. What type of franchises people are typically looking for. And the most common reasons why people want to open a franchise.

What is a Franchise Consultant

Seriously? What is that supposed to mean?

Is There A Duty Of Competence in Franchising?

Think about the last time you hired a plumber or an auto mechanic, or a lawyer for that matter. Without asking, you probably knew that the person you hired owed you a legal duty to perform the job in a competent manner consistent with the standards of his or her profession. The same is true when you bought a new car or built a new house. You rightly expected that the seller would stand behind its responsibility.