Burgerim Franchise Collapse? Millions Lost.

An estimated 1200 franchisees, mostly inexperienced, hard working people, invested millions of dollars into Burgerim. The CEO has now apparently fled the country and the company lies in ruins facing up to 90 lawsuits including a federal investigation by the FTC. Of the few stores that opened, many are closing and the company has suggested it is exploring bankruptcy. We have been cautioning buyers who called us about Burgerim since 2017, that 5 minute free phone call saved many people from disaster. We'll show you why we had concerns today on Franchise City.

Burgerim was one of those media sweethearts and their success story was everywhere. Restaurant Business called Burgerim "one of the hottest, fastest-growing brands," and the story was featured favorably all over the major media. Reality TV star and Kardashian sidekick Food God was signed on as a spokesperson for the brand and his pictures endorsing the brand were featured in all the Burgerim stores. Every single source pointed to Burgerim being a great investment. But it wasn't and we were telling people to proceed with extreme caution even back in 2017 - always call Franchise City before you invest.

When inexperienced buyers see all these things, like ribbon cuttings at locations with city officials, celebrities, allegedly super fast growth they think wow, this must be a great opportunity. And this is how franchises know to package something to make you buy. Inexperienced buyers don't know what to look for to properly vet a franchise, or understand this hype happens all the time and means absolutely nothing.

But hypothetically, how does this happen? Please note we're not suggesting this was malicious activity on the part of Burgerim until proven in a court of law, this is simply a hypothetical scenario of how a franchise company could make millions in the world of franchising by bending a few rules.

First, find inexperienced buyers. Get them excited. Ribbon cuttings, media hype, social media influencers. The first few are harder to convince but once you have media, publicity and momentum, which is easy to get, media loves a good story and will print what you tell them, then hundreds will flock to you. Tell buyers what they want to hear like giving a "money back guarantee" and promises of easy money. How can you lose? But only give money back to those who complain very loudly, and then stop returning the money altogether. Promote your "badges" like being a veteran approved franchise, approved by the SBA, and IFA member. Which means nothing by the way, as we have been telling viewers for years. In fact many SBA approved brands fail at ridiculously high rates, many veteran friendly brands are terrible, and the franchise 500 list is a joke. Ill put those video links at the end of this one. Next, don't put any money into your franchise operations, put more money into fancy ads promising riches, and collect more franchise fees. Collect millions of dollars and escape the country when the pyramid implodes.

SORRY DUE TO LACK OF ALLOWABLE SPACE TEXT HAS BEEN OMMITED

This post on medium is a blatant attempt to get ahead of "burgerim scam" searches online. Real franchises dont say things like:

"That the IFA recognizes Burgerim is irrefutable proof there is no such thing as a Burgerim scam" "When you reach the IFA they'll do far more than ease your mind about the possibility of a Burgerim scam" This is a blatant attempt at keyword stuffing to pre-emptively get ahead of searches that they seemingly knew would be coming.

You might ask why we didnt make a video at that time. Because allegations are not facts. We have files on dozens of franchises that we cant publicly disclose for legal reasons. This is why we say call us, not watch one video then go out and buy a franchise on your own. Every service and tool we provide is free and it could save you a fortune. So while we never advised buyers against Burgerim, we provided this information "as is" with no guarantees of accuracy, it at least gave people pause for thought and allowed them to make their own decision.

While this is an extreme case, this misrepresentation happens all the time in the world of franchising.

THE DARK SIDE OF FRANCHISING: https://www.amazon.com/dp/B08N6Y6ZQ6/ref=dp-kindle-redirect?_encoding=UTF8&btkr=1
Can you trust the franchise 500 list? https://youtu.be/4iBOusezuLw
Can you trust "veteran approved" franchises? https://youtu.be/crteEW9T6SA
Should You use a Franchise Consultant to buy a franchise? https://youtu.be/S7faSEDci4k

https://en.wikipedia.org/wiki/Burgerim
https://www.eater.com/2020/2/5/21124135/senator-feinstein-requests-ftc-investigation-into-burgerim
https://www.bbb.org/us/ca/calabasas/profile/restaurants/burgerim-1216-910900/complaints