Burgerim founder Oren Loni, who led the burger chain as it sold franchises to more than 1,500 people, is banned from ever again selling franch…
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A sad email crossed my inbox in February, after the Federal Trade Commission said it was suing Burgerim and its founder Oren Loni. “Now, with …
Fast-growing restaurant franchisees, a burger chain’s infamous downfall and oh, the M&A activity. These stories and more intrigued our rea…
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The new president and COO of Burgerim, Greg Becker, said the failed burger franchise has filed a rescission letter and settlement offer with the California regulatory agency that ordered it in February to refund more than $57 million in franchise fees and make franchisees financially whole. The offer falls far short of that.
Regulators in California slapped Burgerim with a desist and refrain order and said the burger franchise must offer rescission, meaning cancel contracts, to all franchisees, refund fees collected and “financially place the franchisees in the position they were in before they entered into the franchise agreement.”
A surge of new franchise associations have formed in 2020 as owners look for more bargaining power and a seat at the table in an era of incredible challenges.
Burgerim's mini burger-focused concept attracted hundreds of franchisees, but many say they're now losing money.
Burgerim, the mini burger-focused concept that originated in Israel and was brought to the United States in 2014 by Oren Loni, sold more than 1,000 franchises within five years. Hundreds of franchisees paid the $50,000 franchise fee, built and opened stores, but didn't come close to the 23 percent operating profits Loni promised, says franchisee Robert Jameson.