• Report: #434077

Complaint Review: Fred C Kriss, Constructive Ideas, Franchise Right, The Capital Steps, Pivotal Point Capital

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  • Submitted: Fri, March 13, 2009
  • Updated: Mon, June 01, 2009

  • Reported By:Melbourne Florida
Fred C Kriss, Constructive Ideas, Franchise Right, The Capital Steps, Pivotal Point Capital
14022 King Sago Ct Orlando, Florida U.S.A.

Fred C Kriss, Constructive Ideas, Franchise Right, The Capital Steps, Pivotal Point Capital Promised to raise Pre-Business Plan Investor Funds and Develop Franchise System for $15k + Expenses, Delivered SEC-Non-Compliant Paperwork and ZERO Results Orlando Florida

*UPDATE Employee: I Know Fred Kriss

*Consumer Comment: No free lunch...

*Consumer Comment: No free lunch...

*Consumer Comment: No free lunch...

*Consumer Comment: No free lunch...

*UPDATE EX-employee responds: Shedding some light from the inside out

*Author of original report: Latest Victim of "THE FREDITOR" (Financial Predator) Files Chapter 7, Loses EVERYTHING

*Author of original report: More Proof of Mr Kriss's Track Record

*Author of original report: Dear Kerry K Heaps

*Consumer Suggestion: Dear "Franchise Dreamer"

*Author of original report: Fred Kriss Misrepresents Himself as a "Lead Investor"--He has ZERO Cash

*Author of original report: Fred Kriss Misrepresents Himself as a "Lead Investor"--He has ZERO Cash

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Fred Kriss presents himself as a very personable "Franchise Guru", and has built up a network of seemingly legitimate peers (even accredited investor groups!) who speak highly of him...a cursory due diligence Google search produces only one negative report, an SEC violation in the State of Washington that he quickly explains "I was a victim of fraudulent business partners".

You want to give him the benefit of the doubt, he does not seem like a con-artist to a non-street-wise entrepreneur. You also see a huge list of companies he has supposedly performed services for, as well as many glowing testimonials (now on video). Even though you are unable to directly or eeasily contact any of them, you might reach a few that are still "under his spell" and are in the "blindly excited mode" and will speak very highly of him, as I once did early on. However, when you question why so many are hard to reach, he explains that many were unsophisticated dreamers who did not make it due to their own incompetence...or worse, they dumped Fred after they used him, got what they wanted from him, went out on their own and failed due to their incompetence, laziness, or simple lack of funds to pay for anything. By this time, Fred is your "buddy", you WANT to trust him, so you move forward with his plan, pay him anywhere from $15,000 to $50,000 up front believing you are entering a win-win scenario and you are now on your way to Franchise $$Millions!

You sign his contract because it looks so "fair"--he actually shows where every penny of investor funds will be spent, and it all seems legit up front. If he were to actually honor his contractual obligations as written, he might be a worthwhile business consultant. Fred then evaluates your concept (whether in operation or just a concept) and totally convinces you that yur business is an excellent candidate for franchising, and that his group of seasoned and professionally staffed companies can perform all the steps necessary to draft an SEC-Compliant Private Placement Memorandum, secure Pre-Business Plan Seed Capital...then later write a Professional Business Plan (for $25,000!) and secure 6 or 7-figure Private Equity Funding to help make your Franchise System dream a reality. Yes, you can be a Millionaire in just a few short years!

So, Fred eventually (never on time, always late, always an excuse) produces what appears to be a well-written, professionally designed Executive Summary and PPM, then you get excited because now he PROMISES that getting seed capital will be "quick and easy" with your "great concept" combined with his professional & compliant paperwork. of course, you are not rich yet, so you cannot afford to hire a "top dollar" SEC Attorney to actually verify that all of Fred's paperwork is TRULY SEC-Compliant...

After many months, endless failures, excuses, broken promises and ZERO results, you begin to wonder "why the delay?", and Fred qickly explains that raising funds is "a process" and he "cannot guarantee" exactly when the investors will step up. He then says that paying him another $25k for a full business plan, plus paying him a retainer ($3k-$5k/mo depending on level of commitment) will help secure the funds, but of course you don't have the money to continue paying him up front with no investor funds. he then states that he cannot work for free, his time is very valuable, and he must be compensated for every minute he puts into your project. Otherwise, he has to move on to other projects who are actively compensating him. After all, he is not a charitable organization, and "he has to make a living, too".

You get angry, since he has produced absolutely ZERO results of any kind, you have sacrificed you valuable (and irreplaceable) time & resources on the "franchise dream",
while your day-to-day activities have suffered. he then gets defensive and blames YOU for failing to do your part, a complet about-face from his original "promise". He then rubs salt into the wound by lumping you into the other companies who "failed themselves" by not paying Fred the ongoing monthly retainer, plus the $25k for the business plan, and expecting to get the big investor funds!

You are now BEYOND LIVID, as you realize that you have been screwed out of your life savings! You really start digging deep on this guy, and you begin to realize that he has NEVER produced a successful franchise system in nearly 20 years, but HAS produce a list of nearly 100 "Corporate Carcasses", each of which had some level of engagement with Fred. You also find out that he was NOT a victim of the Washington State SEC violation, but actually a perpetrator who is still liable to this day for fines levied. You also find out that many claims on his various websites are blatantly false...Maverick Angels told me they banned him from further attendance soon after the 2006 posting still on his events list. Also, further investigation into the list of clients and/or franchise systems he is working with reveals that EVERY SINGLE ONE OF THEM is out of business!! Yes, this includes FreeSki, EagleMotorcycleResort, HideawayInc, vMaps.com, HighwayOasis, ShoutFranchiseGroup, SilkysmoothFranchise, Fit3, Heartstation, 123Dineout.com, UltimateMusic and more!!

So, now you are convinced this guy is a total fraud and you want to get your money back. You hire an attorney, try to get your company info removed from his websites, then he grossly violates the law by refusing to remove your information. After all, he can use a phony story about the "success" he created for your company to lure in new & naive victims! Many of the listed companies are on the West Coast, so it is difficult for us Floridians to verify the information. Fred knows his game is a numbers game, and that a significant percentage of passionate entrepreneurs will hear what they want to hear from Fred, and trust him enough to not perform extensive due diligence.

The reality is that virtually all of Fred's previous clients have failed, many due to Fred taking their last dime on a broken promise. Most are unreachable with disconnected phones, dead websites and defunct emails. Anecdotal evidence points towards several of these victims losing everything and becoming homeless, since they gambled it all on Fred and lost. Fred's greedy, ego-driven & sociopathic behavior allows him to move on to new opportunities with total disregard for the damage he has caused in victim's lives.

Fred's powerful sales & motivational skills are why so many fall victim to his low-overhead "cash-generating machine". Fred feeds entrepreneurial dreams by telling new clients everything they want to hear, convincing them their concepts are "brilliant", "very franchiseable", have "amazing synergy" with his other projects, and, if they sign up with him now, he can "plug them into his successful franchise management group portfolio" to benefit from his "management efficiencies" similar to such restaurant groups as Brinker International.

The other reality you find out with your deep digging is that his claims of multiple offices around the countyr are completely false; his calims of "professional staff" are total lies unless you count his PET CAT and DRUNKEN WIFE as part of his "management team". His offices in Orlando are simply a PO Box, phones are voicemail systems or just his cell phone. NOTHING is real, including nearly all the information on his 4 or 5 websites. The only thing that IS real is his actual home address at 14022 King Sago Ct., Orlando, FL 32828 as listed above. He can run, but he cannot hide....

If you do actually have access to a genuine SEC Attorney (as my cousin did for me as a favor), you will find out that YOU will be liable for SEC Violations if you dare use his NON-COMPLIANT paperwork to raise even one cent of investor funds! Yes, you could be fined or worse if you use Fred's PPM...it was proven to be an obsolete boilerplate document which can never legally be presented to any investor!

So far, no one has been able to stop Fred from his nonstop, serial con-artistry for nearly 20 years. He has "succeeded" in creating a luxury lifestyle with funds obtained from his endless list of victims. This posh lifestyle includes a luxury wardrobe (alligator shoes & belts, custom-tailored suits, Rolex watches, luxury rental cars, 5-star hotels with nonstop drycleaning & room service charges, nonstop fine dining (just look at him!) and more...and he often charges one client for an entire expense report for the client's trade show or networking event, but in reality he juggles work for several clients during the event, diluting the productivity for which you are compensating him. He simply goes for the deep pockets client at the time to fund everything--sort of a "business consulting Ponzi Scheme" if you will.

You finally try to use the legal sytem to force Mr Kriss to refund your money when, as your attorney reminds you, Mr Kriss has no liquid assets to seize, no wages to garnish, and that you will likely blow tens of thousands of dollars suing him for Breach of Contract and collect nothing. You would then be in the hole even worse, with no recourse. Furthermore, Mr Kriss will likely countersue with a totally frivolous lawsuit, which will DESTROY your ability to raise capital from any legitimate sources. Fred knows he has ALL THE POWER to destroy your dream, since you must legally reveal ANY litigation to potential investors up front, which will, of course, scare them all away.

Yes, Mr Kriss is a Dr Jekyll/Mr Hyde type, though you would never believe this at first...

So, the Bottom Line here? Tough lessons learned, a legal system that rewards criminals and punishes victims. Mr Kriss is a serial con-artist who has refined his craft so well he even convinces (deludes) himself that he is a great public speaker "the next Tony Robbins", and America's #1 Franchise Guru. The only positive thing that can come out of my experience with Mr Kriss is to post this story on RipoffReport, and, hopefully, save future victims from falling into his trap. Perhaps someone in the future will be in a more powerful position to actually report Mr Kriss to the local Orlando District Attorney to launch an in-depth investigation, which could finally derail his fraudulent operation once and for all. Good Luck out there to anyone who has the resources to FINALLY bring this serial criminal to justice!!

Franchise dreamer
Melbourne, Florida
U.S.A.

This report was posted on Ripoff Report on 03/13/2009 10:54 PM and is a permanent record located here: http://www.ripoffreport.com/r/Fred-C-Kriss-Constructive-Ideas-Franchise-Right-The-Capital-Steps-Pivotal-Point-Capital/Orlando-Florida-32828/Fred-C-Kriss-Constructive-Ideas-Franchise-Right-The-Capital-Steps-Pivotal-Point-Capita-434077. The posting time indicated is Arizona local time. Arizona does not observe daylight savings so the post time may be Mountain or Pacific depending on the time of year.

Ripoff Report has an exclusive license to this report. It may not be copied without the written permission of Ripoff Report.

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Updates & Rebuttals

#1 UPDATE Employee

I Know Fred Kriss

AUTHOR: Matt D - Orlando - (U.S.A.)

I am not sure what happened between you and Fred Kriss to be so disgruntled. But I have known and have worked for Fred Kriss for about 5 years. He is a person that has kept his word since day one.

Fred Kriss has done exactly what he said he would do since we agreed to do business together. Fred has come through and has gone above and beyond all that he said he would do.

As far as being a franchise guru, Fred knows his stuff. He understands compliance with the SEC and all levels of the law pertaining to franchising a business. I have seen Fred in action during a recent franchise business proposal and I would put my trust in Fred Kriss to deliver on what he says he would do!
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#2 Consumer Comment

No free lunch...

AUTHOR: Mhs - (U.S.A.)

I have known Fred for over a year now, and we have begun working on developing my own business into a franchise. Since meeting him, I have learned a lot in a number of areas that I can directly apply to my business now, and in areas that should/will apply once the franchise itself gets underway. while travelling with him, I have also met a number of people who have worked with Fred over the last 20 years or so and have the highest respect for his integrity, knowledge, and intelligence.

I can see why there may be some who look for someone to lead them every step of the way, and are ready to point the finger at anyone but themselves if their plans fail to work out the way they expect. Fred thinks big, and there may be some who interpret the expressions of his visions as promises or expectations. Unfortunately, we all live in the real world, where big things can happen, but it takes a lot of hard work, a lot of patience, and sometimes a little luck for things to materialize the way we envision.

I'm personally very happy to be working with Fred, and I find it fun to consider the possibilities with him. I know he and I will both work hard to ensure that my business idea is developed to its fullest potential, whatever shape that ultimately takes, but I'm not going in expecting a guarantee or a free ride.
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#3 Consumer Comment

No free lunch...

AUTHOR: Mhs - (U.S.A.)

I have known Fred for over a year now, and we have begun working on developing my own business into a franchise. Since meeting him, I have learned a lot in a number of areas that I can directly apply to my business now, and in areas that should/will apply once the franchise itself gets underway. while travelling with him, I have also met a number of people who have worked with Fred over the last 20 years or so and have the highest respect for his integrity, knowledge, and intelligence.

I can see why there may be some who look for someone to lead them every step of the way, and are ready to point the finger at anyone but themselves if their plans fail to work out the way they expect. Fred thinks big, and there may be some who interpret the expressions of his visions as promises or expectations. Unfortunately, we all live in the real world, where big things can happen, but it takes a lot of hard work, a lot of patience, and sometimes a little luck for things to materialize the way we envision.

I'm personally very happy to be working with Fred, and I find it fun to consider the possibilities with him. I know he and I will both work hard to ensure that my business idea is developed to its fullest potential, whatever shape that ultimately takes, but I'm not going in expecting a guarantee or a free ride.
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#4 Consumer Comment

No free lunch...

AUTHOR: Mhs - (U.S.A.)

I have known Fred for over a year now, and we have begun working on developing my own business into a franchise. Since meeting him, I have learned a lot in a number of areas that I can directly apply to my business now, and in areas that should/will apply once the franchise itself gets underway. while travelling with him, I have also met a number of people who have worked with Fred over the last 20 years or so and have the highest respect for his integrity, knowledge, and intelligence.

I can see why there may be some who look for someone to lead them every step of the way, and are ready to point the finger at anyone but themselves if their plans fail to work out the way they expect. Fred thinks big, and there may be some who interpret the expressions of his visions as promises or expectations. Unfortunately, we all live in the real world, where big things can happen, but it takes a lot of hard work, a lot of patience, and sometimes a little luck for things to materialize the way we envision.

I'm personally very happy to be working with Fred, and I find it fun to consider the possibilities with him. I know he and I will both work hard to ensure that my business idea is developed to its fullest potential, whatever shape that ultimately takes, but I'm not going in expecting a guarantee or a free ride.
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#5 Consumer Comment

No free lunch...

AUTHOR: Mhs - (U.S.A.)

I have known Fred for over a year now, and we have begun working on developing my own business into a franchise. Since meeting him, I have learned a lot in a number of areas that I can directly apply to my business now, and in areas that should/will apply once the franchise itself gets underway. while travelling with him, I have also met a number of people who have worked with Fred over the last 20 years or so and have the highest respect for his integrity, knowledge, and intelligence.

I can see why there may be some who look for someone to lead them every step of the way, and are ready to point the finger at anyone but themselves if their plans fail to work out the way they expect. Fred thinks big, and there may be some who interpret the expressions of his visions as promises or expectations. Unfortunately, we all live in the real world, where big things can happen, but it takes a lot of hard work, a lot of patience, and sometimes a little luck for things to materialize the way we envision.

I'm personally very happy to be working with Fred, and I find it fun to consider the possibilities with him. I know he and I will both work hard to ensure that my business idea is developed to its fullest potential, whatever shape that ultimately takes, but I'm not going in expecting a guarantee or a free ride.
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#6 UPDATE EX-employee responds

Shedding some light from the inside out

AUTHOR: Wrongfully Employed - (U.S.A.)

I met Fred and Donna Kriss through mutual networking circles in Orlando over the past couple of years. After a recent layoff, I was "hired" by Fred Kriss in December of 2008 but didn't start working there until late January. The delay was thanks to claims of not being "prepared" to bring me on board as Marketing Director of Constructive Ideas, Inc mainly because he was waiting for a big settlement from investors so they could close on their office building (the 15,000 square foot bldg that Kerry Heaps speaks of) and pay salaries more easily. The truth was that he couldn't afford to pay me without settlement. But instead of telling me that and allowing me to continue looking for stable employment, he insisted that I start anyway and in the meantime, he would be writing my checks from his personal checking account for the first few weeks while we waited for the settlement date and I got my feet on the ground with the company. So I did. I received my first paycheck of $800 weekly with no problem. The second Friday of my employment, he paid me with two checks, very apologetically saying the second one would clear after he moved some money around and I could cash it the following week. The third week, he asked me to forgo payment until settlement, which was supposed to be that Friday. It, of course, never happened. After the fourth week (and second without pay), and no promise of settlement ever happening, we parted ways with the promise of repayment for the work I had done as soon as settlement came along.

I followed up with him via email on a weekly basis for several weeks. He responded with a threatening phone call saying he had just returned from California (where I'm sure he scammed someone else) and did not want this to turn into a legal battle ant that he was going to pay me as soon as he had some money coming in. No commitment, of course, and said with the same vagueness and ambiguity he always uses where money is involved. I sent another email two weeks ago saying that within ten business days, I would be filing in small claims court to collect the $1,760 he owes me based on 11 unpaid days of work.
The following is the email I sent to him 10 days ago:

Hello, Fred.

Yesterday marks eight weeks since we parted ways. Although I received a verbal commitment of eventual payment through a phone call on March 23rd, I have received no further contact as promised by you during that call. I am still awaiting a commitment from you in terms of settling up with me. I am expecting pay for 11 unpaid days of work for Constructive Ideas (2/9/2009 - 2/23/2009). Based on my $800 weekly pay as contracted in our employment agreement, the total owed to me is $1,760.00. Although it is not my preferred course of action, I will be filing a claim in this matter in ten business days if an agreement cannot be reached beforehand.

Please advise as to when you will mail the check. Thank you.
_________________________________________________________

The following is an email I received from him today (incidentally, 10 business days later):

(My Name Here) - As I explained, I do not respond to threats. Upon disengagement, I expressed that my intention was to provide you with an additional draw to ease your transition during your job search, although it was not my obligation to do so. This courtesy was also conditioned on you cooperation and adherence to our mutual confidentiality agreement.

At this point, please do not expect any further compensation from me. Let's face the facts, your independent contractor's agreement (not an employment contract) was based on producing results and you were receiving a draw not a salary. You produced nothing for our firm, you did not turn in the required reports, you failed to arrange speaking engagements with organizations I was not already working with, and you did not diligently pursue the requirement of your position. In fact, we parted company over an integrity issue when you did not defend our firm and me personally in an false allegation that prevented our engagement in a networking opportunity. Overall, I am of the opinion that you misrepresented your capabilities and took the Marketing Director position with Constructive Ideas, when you were not qualified to do so and did not have the intention to work hard to produce the required results.

Now, it has come to my attention that you have been discussing this issue and other confidential information about me and our firm with third-parties; a direct breach of our Confidentiality Agreement. I really do not want to pursue remedies, but I am willing to do so if I hear about any other third-party discussions on this matter. If you contact me about collection again, I will immediately file in small claims court to recover all monies that Constructive Ideas has paid you to date based on misrepresentation and failure to produce contract deliverables.

I suggest that we cease all non-productive activities regarding our prior engagement and instead concentrate on how we can work together harmoniously in the future. I understand that your new employer is part of the Hospitality Networking Group that I belong to, so I do not want you to put me in a position where I cannot say positive things about you and support your firm's marketing efforts by providing business referrals when appropriate. We are definitely going to see each other in Orlando, so let's be civil and put this behind us.

Sincerely,

Fred Kriss
__________________________________________________________________

He speaks of several things here that are simply a twist in his words to support his claims:

1: "I did not defend the firm against allegations shady things going on." First of all, that is not grounds to dismiss anyone. Secondly, that was NOT why we parted ways and he knows it. And thirdly, why would I stick my neck out for someone I was already doubtful of? Come on, Fred! I wasn't about to burn any bridges with my own established circles to defend anyone without knowing the facts.

2: "That my agreement was based on producing results." Everything in that agreement went out the window when, as soon as I was hired, I was put into a Sales Director role, managing the one salesperson we had on staff and going out prospecting for clients. It was a joke. I was never hired to do any marketing. He just needed to have someone on staff with that title so he could keep the charade going and try to con the prospects into thinking he was bigger than he was.

But enough of that. I have had our Independent Contractor's Agreement reviewed and the fact remains that he owes me that money, plain and simple. He responded to me by phone that day so there would be no written record of my claim and his promise to pay me, but legally, the phone record of his phone call to me on that date are enough to stand in court, as is a verbal contract in the State of Florida. So legally, I have a leg to stand on and he knows it. He's such an egomaniac that he truly thinks he can win! His threat of countersuit in this case is laughable.

He is everything "Franchise Dreamer" says he is in the form of a smooth talker and a salesman. I am a trusting, loyal person and an ambitious marketer with ties to the community that go far beyond the East Orlando market that he is trying so desperately to infiltrate with his propaganda. I could have done wonders for the business if it were only legit. I deserve to be treated as a professional and not as a peon, which is just what he tries to makes everyone feel like. He's a con-artist in the truest sense of the word and I have never in all my life called anyone that. He crippled me and my husband financially by the delay in employment, the obvious money he owes me, and (albeit indirectly) by screwing up my ability to collect unemployment for good. He is a crook and I cannot comprehend how he sleeps at night. I will not go into the falsehoods that he spews out on a daily basis to the prospective franchise owners, but, in my opinion "Franchise Dreamer" is spot on. I never met an investor (with whom he had actually worked) or a franchisor with whom he was working. He had me sitting in on meetings with prospective franchise owners trying to put forth the image of some big staff, but the fact is that he hired all FOUR [I guess it's seven if you count the receptionist (who worked for the building owner, not Fred), his wife and the cat] of us at the same time and stopped paying us all at the same time. So he's back to being a one-man show now.

As for Donna Kriss, I don't think she truly sees him for what he is. She is not the crook and I don't think she does any of this maliciously. She is a victim of brainwashing by her sociopath husband. I have much pity for what she has become, as I'm sure she was once an honorable person.

Feel free to respond to this. I speak the truth, and there is no confidentiality agreement that extends to my opinion!

Now, on to the Better Business Bureau...
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#7 Author of original report

Latest Victim of "THE FREDITOR" (Financial Predator) Files Chapter 7, Loses EVERYTHING

AUTHOR: Franchise dreamer - (U.S.A.)

Brenda Proaps, Founder and owner of the now-defunct Fit3 Family Fitness Centers in Novato, California (see Fred Kriss's Client List on his Constructive Ideas website), engaged Mr Fred Kriss in 2006 to help franchise her fitness concept.

Mr Kriss, as with so many clients, told her what she wanted to hear, talked the big story about funding and franchising, and she paid him $25,000 to perform various steps to prepare her company for angel investor funding and setting up a franchise system.

However, a post-mortem interview with her revealed that he performed exactly nothing, took her money and simply disappeared. She even had an interested investor fly down from Seattle just to meet Mr Kriss, set up a specific appointment in San Francisco, but Fred was a no-show, instead opting to feed his fat face and spend time with another client. Further attempts to contact Mr Kriss proved futile, so she had her attorney send Mr Kriss a "cease and desist letter", formally disengaging her contract with him.

However, the damage was done. Fred Kriss STOLE Ms Proaps' LAST $25,000, her only hope to at least qualify for expansion funding, let alone franchising.

Here are the SAD FACTS:

Brenda Proaps filed Chapter 7 Bankruptcy on March 14, 2008, and it was discharged on June 25, 2008. The Court -- United States Bankruptcy Court
Northern District of California, Judge was Alan Jaroslovsky, Case # 08-10447.

Poor Brenda gambled it all on Fred Kriss, and SHE LOST IT ALL!!!!

And, Mr Kriss, the GREEDY, EGOMANIACAL SOCIOPATH that he is, could simply care less that he personally DESTROYED her life!!!
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#8 Author of original report

More Proof of Mr Kriss's Track Record

AUTHOR: Franchise dreamer - (U.S.A.)

Here is a court case dating back to 1992, where Mr Kriss was successfully sued for Breach of Contract and Unpaid Debt.
Go to Palm Beach County Clerk & Comptroller, and research Case ID 501992CA004216XXCDAE

In addition, the current status of Mr Kriss's Corporate Entities is as follows:

1) Pivotal Point Capital, LLC
Created: 9/13/06
Officer: David M. Stacey (no mention of Fred Kriss)
Status: INACTIVE
(ask David what he thinks of Mr Kriss...)

2) PIVOTAL STRATEGIES GROUP, LLC
Created: 6/15/04
Officers: Diane M Bowers, Fred C Kriss, Sigmund P Goodwin
Status: INACTIVE
(ask Diane what she thinks of Mr Kriss...)
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#9 Author of original report

Dear Kerry K Heaps

AUTHOR: Franchise dreamer - (U.S.A.)

First of all, you lost all credibility when you recently deleted comments FROM YOUR OWN BLOG that simply WARNED listeners of YOUR Fred Kriss Radio Interview to perform due diligence on Fred Kriss and included a link to this FACTUAL RipoffReport!!

How hypocritical that you would recently post a link to "The Credibility Report" by Starr Hall on your own blog as well...

Kerry, I am not here to attack you...for all I know your "Kerry's Network for Women" may well be an excellent business with lots of happy clients. So, it is for the sake of your clients, as well as all potential victims of Mr Kriss, that the record be set straight regarding your biased reporting of Mr Kriss, and your obvious conflicts of interest that prevent you from truly objective reporting of the realities of Mr Kriss's abysmal track record.

Any seemingly professional content added to your networking business, whether it be a live speaking engagement or a blog radio interview, contributes material benefit to your business. And, since you chose not to perform the extensive due diligence PRIOR to engaging Mr Kriss and featuring him on your website, you instead attacked MY FACTUAL REPORT here to simply SAVE FACE.

The errors in your response here need to be addressed, to maintain the integrity of the Ripoff Report process, as follows:
1) You said "(Ripoff Report) is a waste of a domain name and internet hosting"
Reality is that countless numbers of potential fraud victims have been saved by this WONDERFUL RESOURCE. Without this, Mr Fraud C Kriss (initials FCK) would continue his nearly 2 decades of con-artistry unabated...
2)RE: Revealing Identity--Perhaps you did not read my post carefully...Mr Kriss has a history of counterattacks/frivolous lawsuit threats on his own victims. This is an absolute fact, can be verified by directly contacting just a few of his more recent victims. Am I a fool? Not this time...
3) RE: Franchising--You have ZERO credibility discussing franchising, unless you decide to utilize the now-legal stem-cell research to CLONE yourself!
4) RE: "FD (me) feels that consulting should be free"--This is a gross distortion of what I said, and an absolute insult to myself and Mr Kriss's victims who have collectively paid him $$Hundreds of Thousands, and received no actual results.
I compensated Mr Kriss well into the 5-figures, and I should have suspected something was amiss when he asked for monies to be deposited directly to his bank account. How do we spell T A X - E V A S I O N ?
5) RE: Franchising takes money and time... No Sh*t Sherlock! The point here is that Mr Kriss TAKES HIS MONEY UP FRONT on the "Sure Bet" that your business will be funded, and to "Not Worry" about the timing, it will happen soon.
How purposely vague is Fred with this type of communication...just enough to maintain HOPE, but no solid promises to be held accountable for, or to be contractually liable for.
It is INSANE to believe Mr Kriss's claims on your radio interview...everyone knows that it is IMPOSSIBLE to secure small business funding right now, unless you already have MASSIVE liquidity, real estate with significant positive equity, and all the cash you are looking to borrow. He failed to produce promised funding during the halcyon days of 2004-2007...how could he possibly produce anything now?
6) RE: Mr Kriss's "Office"--you say he "has" an office--Do you mean to tell me he OWNS a 15,000 sf Building and has 7 Actual FT/PT EMPLOYEES on his PAYROLL?
REALLY???
7) RE: SEC Violations--"of course you would be held liable"
Do you have a BRAIN, Kerry?? You seem to miss the entire point of this Ripoff Report. Do you think for one moment that Mr Kriss is going to admit to you up front, prior to you signing a contract or paying him, that his paperwork is NOT SEC-Compliant? I feel sorry for you, Kerry, you must have been drunk when you wrote this.
8) RE: Multiple Clients on Single Expense Reports--another DUHH!! Just because he didn't do this to you doesn't automatically mean he never did this to anyone else. Again, THIS IS A FACT.
9) RE: Contradiction--Funds vs No Funds-- Kerry, Kerry, Kerry, you must lay off the booze...your poor brain cells are lost in a sea of alcohol! Mr Kriss makes ALL OF HIS INCOME in Consulting Fees. Mr Kriss has bad credit and no liquidity outside of his ongoing INCOME. He spends lavishly when he has money, to make himself "appear" to be a successful millionaire businessman. He does not, and may never have enough surplus cash to invest 5-figures or more into any of his client's businesses. Furthermore, HE DOES NOT WANT TO INVEST--Don't you get it?
If he truly wanted his client's businesses to succeed, he would do a 180 and create a whole new business model--Where he INVESTS/RISKS his time and money up front, helps the business to gain traction and raise shareholder value, then reap the BIG REWARDS a few years down the road. But, alas, Mr Kriss is rather like a BUTTERFLY--Sucking the nectar out of each nectar-filled flower that he can find, then moving on to the next flower, allowing the previous flower to die. He won't even plant more seeds to germinate more flowers. That is called COMMITMENT, something Mr Kriss, outside of his lovely wife & cat, knows nothing about.

Again, it is easy to prove the Butterfly theory above--Name just one business client or franchise client that Mr Kriss helped grow and nurture to long-term financial success, and that is still in business today. Just one. In twenty years.

10) RE: Orlando DA, "powerful position"... You obviously have never researched what it takes for the Orlando DA to take on a new investigation. Do you think just anyone can simply call them on the phone and say "Hey, this guy ripped me off", and they are going to drop what they are doing and launch a major investigation?
At the very least, it will take a MAJOR effort for the VICTIM to dig up a LARGE number of previous victims to make their investigation worthwhile. And, each of those victims must be motivated enough to dig up old archives to PROVE their case. Many/most will feel it is to much trouble for a case that likely will never net them a dime of retribution. The only shortcut to all that digging is to know someone in a powerful position, who has personal connections to the DA officials.

And, finally, you suggest to "move on with your life and business pursuits and try to contribute something more positive to the world". Well, until Mr Kriss DERAILED my business project, I WAS contributing something very positive to the world. And, yes, despite all the challenges, I will rise once again.
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#10 Consumer Suggestion

Dear "Franchise Dreamer"

AUTHOR: Kerry Heaps - (U.S.A.)

Franchise Dreamer,

I have known Fred Kriss on a personal and professional level a little over four years. I wish to express to anyone who reads this that I find this type of website not only despicable but a waste of a domain name and internet hosting. However, I am writing this statement to defend the reputation of a colleague, which I am sure Franchise Dreamer will deduce that I am merely a member of seemingly legitimate peers of Mr. Kriss. I took the liberty to write, post and reveal my identity, which seems to be something Franchise Dreamer doesn't want to do, perhaps due to guilt on his or her part.

First and foremost, I have researched the subject of Franchising on my own for about two years, as I have also looked into franchising my business at one point and what I have found is a cookie cutter replica of what Mr. Kriss shared with me when consulting with him. Yes, it takes capital to pursue an endeavor of this magnitude, nothing is free and it seems that Franchise Dreamer feels that consulting should be free. I am certain if you ask any attorney, business coach, consultant or alike and they will tell you straight up just as I am, professionals are compensated for their time, end of story. I know individuals that have paid fees of $5K and some who paid more, depending on where they were in the process and no one has complained about feeling they didn't get their money's worth. Perhaps that is due to the fact that my circle is more business oriented and understands the concepts of starting a business, which clearly, you do not possess. Furthermore, can you produce a receipt that you actually paid Mr. Kriss? I am still fuzzy on that fact, your letter sounds like you are just angry that Mr. Kriss asked to be compensated for his time, even after doing some work for you pro bono.

I have not only booked Mr. Kriss as a speaker, I have referred him to one of the companies listed that IS STILL IN BUSINESS, JUST REDOING THEIR WEBSITE, and hired him as a consultant myself and I have NEVER heard him say to me or anyone else about Franchise Millions. In fact, on the subject on income, he tells us that we have to work hard and we will see fruits of our labor. I don't feel that is misleading at all. Perhaps you have what's called Selective Hearing, which basically means you comprehended what you wanted. I have also NEVER heard Mr. Kriss use the terms Quick and Easy with Franchising. One of the first items Mr. Kriss brought to my attention was the capital that is required (this is not a requirement of Mr. Kriss, it's just very costly to create a Franchise, you can check that out with the FTC), secondly the time and effort that I was going to have to put in, which any passionate business owner is going to have and want to do to franchise, lastly, the time it's going to take, which isn't overnight. Also, I have heard Mr. Kriss turn down businesses because they ultimately were not a fit, so he doesn't sell everyone like this complaint states.

Since you feel it's your duty to save future victims, I would also like to point out the following bulleted points:

Mr. Kriss does have an office, 15,000 square feet with 7 employees.
The attacks on Mr. Kriss' personal life are irrelevant.
SEC violations, of course you would be held liable! You're the business owner; this is not Mr. Kriss' rule, so if you are upset about that I suggest you speak with the SEC directly.
The statement regarding multiple charges on expense reports is not true either. I have booked him locally and nationally, sorry to tell you, that didn't happen.
You contradicted yourself according to you, Mr. Kriss has funds to support a luxury lifestyle, and then you go on about how he has no assets for you to pursue.
As far as someone being in a more powerful position to report Mr. Kriss to the Orlando District Attorney to launch an investigation, that simply involves picking up the phone and calling them. A phone call doesn't require being in a powerful position.

My synopsis is that you have probably already been informed that you have no cause or complaint with Mr. Kriss or his companies. As far as Mr. Kriss being a Ponzi Scheme, Dr. Jekyll/Mr. Hyde, Serial Con Artist and whatever other slanderous titles you bestowed to him in your complaint, is simply your opinion, and me being the true business professional that I am, will withhold my opinion of you. My suggestions to you are to move on with your life and business pursuits and try to contribute something more positive to the world. The next time you decide to write any correspondence, you may want to verify facts and supporting documentation. Most importantly, spell-check your document, there are numerous spelling and grammar errors.

Should you or anyone reading this rebuttal wish to speak with me regarding Mr. Kriss feel free to contact me directly, my email is (((Redacted)))

Wishing you continued success,
Kerry K. Heaps

CLICK here to see why Rip-off Report, as a matter of policy, deleted either a phone number, link or e-mail address from this Report.
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#11 Author of original report

Fred Kriss Misrepresents Himself as a "Lead Investor"--He has ZERO Cash

AUTHOR: Franchise dreamer - (U.S.A.)

Fred Kriss promotes himself as a "Lead Investor" and an instant source of capital for startups and/or franchises. Fred will offer to partner with you for a significant amount of your companies' equity (shares) in exchange for his so-called "sweat equity" (what he represents to be his "knowledge and years of experience" launching successful businesses--please read the main report above for clarification).

If you agree to hire Mr Kriss, he will represent himself as the lead investor, and will present business documents to Angels and VC's showing an actual dollar amount of his investment in your company...when in fact he has NEVER written a check, deposited a dime, or contributed any monetary investment whatsoever. Pursuant to SEC Regulations, sweat equity can be exchanged for shares in your company, but not represented as a monetary dollar amount of actual investment.

Thus, Mr Kriss can never LEGALLY be the lead investor in your company.

Mr Kriss presents a sophisticated image to potential clients as a powerful, successful, accredited investor, but in fact it's all smoke and mirrors, like a perfectly orchestrated magic act--then, suddenly *poof* all your money is gone!!
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#12 Author of original report

Fred Kriss Misrepresents Himself as a "Lead Investor"--He has ZERO Cash

AUTHOR: Franchise dreamer - (U.S.A.)

Fred Kriss promotes himself as a "Lead Investor" and an instant source of capital for startups and/or franchises. Fred will offer to partner with you for a significant amount of your companies' equity (shares) in exchange for his so-called "sweat equity" (what he represents to be his "knowledge and years of experience" launching successful businesses--please read the main report above for clarification).

If you agree to hire Mr Kriss, he will represent himself as the lead investor, and will present business documents to Angels and VC's showing an actual dollar amount of his investment in your company...when in fact he has NEVER written a check, deposited a dime, or contributed any monetary investment whatsoever. Pursuant to SEC Regulations, sweat equity can be exchanged for shares in your company, but not represented as a monetary dollar amount of actual investment.

Thus, Mr Kriss can never LEGALLY be the lead investor in your company.

Mr Kriss presents a sophisticated image to potential clients as a powerful, successful, accredited investor, but in fact it's all smoke and mirrors, like a perfectly orchestrated magic act--then, suddenly *poof* all your money is gone!!
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