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Jim’s Franchise Set To Cut It’s Dubious Fee Rise

2007-Jim-PenmanOne of Australia’s most popular names in franchising, Jim Penman (founder of Jim’s Franchise Group) has come under fire from his franchisees due to a recent introduction of a ‘minimum fee’ which could have as much as doubled the amount that franchisee’s paid the Jim’s Franchise head office.

Jim Penman is now ready to fight to retain his position as head of Jims Group if any attempts to remove him do arise.

Jumping onto the front foot, he is ready to conduct a referendum of his own to ascertain the support he has, as head of the company. This comes after a ballot’s result has found that 89% of franchisers wanted him out, while 81% supported a class action for breach of contract.

Jim however, questioned the size of the vote, claiming only 9 of of about 240 franchisers had voted. He also predicted that if he was to run his own referendum, there was be about 70% support for him to stay.

If the franchisers are successful in having Jim removed from the Jim’s Franchise Group, Jim has said that he will sell his stake in the company – but he will not go down easily.

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October 28th, 2009 in Franchise News | tags: , ,
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