I feel Fred Deluca is a crook because he makes his money on the backs of the franchise owner. He set prices of sandwichs that cost more to make than the selling price.
1. Fred Deluca goal is to drive up gross profits. (Gross profits is money before cost) He gets 8 percent of gross profit plus 4 percent for advertisement-while those great commercials with the over paid. Was the last time you went a day without seeing a commercials. Fred is all about making him money even if the Franchise owner lose money with ever sale.
2. He also makes his money on the back-end. franchise owners cannot buy directly from the food wholesalers. Fred Deluca force to franchisor to buy from only one wholesaler. And of course, Fred Deluca take a percent from the wholesaler. The Wholesaler passes fees onto the franchisor owners who don't have a choice.
This must be the only business that gets money for purchasing bread, meat, tomatoes, ect. Then then gets more money from the sale of the sandwich.
Subway development team deceived me into signing a franchise agreement on the spot without a lawyer. With full knowledge of my limited ability to read due to a learning disability.
The Franchise agreement I was show in advantage was full of blank spaces.
Mislead to believe my franchise agreement has exclusive territories rights for 25 miles.- After a year of my store being open, Subway development team deceived to place another Subway walking distance to my location
The development team went into detail about how much money of the week how rich I was going to be and how much money other franchise owners where making around my location. I was told I will be making between $10,000 and $12,000 a week gross sales.- in my first week of opening I was making half their projections and when I got the report of others subway's around my location. The average store was making about $4,000.
I was told to sign franchise agreement on the point or lose the location. That's when he went into detail about how much money I will make and how rich I'm going to be when i sign the franchise agreement.
My sister and I worked over 100 hours work week 7 days a week.
When I was in bankruptcy and collection agents where not allowed to contact me. I was harassed and threaten with bodily harm if i didn't give the development team money.
The Pain Subway's Corporate Greed Caused
Shortly later after all the threats, harassment and intimidation decided to close my store. Due to the mental abuse I went into a deep two year depression. An able to work, I was forced to go on public assistances.
The Stress lead to Depression,
High Blood Pressure,
IBS, Extreme stomach pain
Heart Attack Symptoms- Multiple Trips to ER
8 Different medications-
Gain 50 pounds
Debilitating depression and anxiety made me unable to work or leave the house.
West Hartford, Connecticut