Romp and Roll Lies
Romp n' Roll is a franchise system which claims that:
"Romp n' Roll is structured horizontally.We offer Gym, Art, Music, Silly Science, Good Sports, Superheroes, Princess Class, Bug Club, All About Dinosaurs, even Romp y Roll en Espanol (and a whole lot more) to a more narrow audience (children under 6 years).
This focus is reflected in the way we build our facilities, the type of equipment we use, and the kind of staff we hire.
As a result, we become THE place for younger kids!"
Well that certainly sounds like fun - what else can we learn?
What we learn is that Romp n' Roll are at best idiots and at worst deceitful.
Because in their FAQ, we are told:
"Q: How much money can I make operating a Romp n' Roll?A: Like all franchisors, the Federal Trade Commission prohibits us from making any earnings claims to prospective franchisees. One of the great things about Romp n' Roll is that we do not have a very complicated business model. We have a "calculator" to help you estimate expenses and revenue which will allow you to put together a fairly accurate pro forma."
Uh, no, no and double no.
The FTC does not prohibit making earnings claims, or financial performance claims.
What the FTC does prohibit is stupid franchisors telling dumber franchisees that they have a "calculator" which will allow you to put together a pro forma if the basis for that calculator is not disclosed in the UFOC!
Run away from any franchise or business opportunity which tells you that the FTC made them lie to you.
At least 25% of franchise systems do make earnings claims - check the item 19 disclosure. But it is not mandatory to have an earnings claim.
What a franchisor cannot do is: a) have an empty item 19 and b) represent to you, on the side, that the franchisor can tell you how much you can make - ie give you a pro forma.
These franchisors are at best idiots. Avoiding idiots is a good policy.
(Thanks to an anonymous email for this heads up.)
