Coalition of Franchisee Associations

December 7, 2020

Anonymous Comment

"What's clear, the operators no longer have the true faith and trust of the existing McDonald's leadership and Board of Directors, to honestly, openly, and most important compliantly engage with the franchisees and their signed franchise agreements. This includes the obvious ineffective NFLA and OPNAD, which were conveniently thrown under the bus on the current ongoing McDonald's conference call.

It is evident, the driver in McDonald's Corporation today is the current stock drivers. Not building, maintaining, and nurturing the long-term relationship that built the Golden Arches into a worldwide powerhouse brand. Today, this powerhouse is being steered with leaders that little to no history, bear minimum investment, and having absolutely no skin in the operational gain.

McDonald's has lost ZERO in this national COVID crisis. Operators have taken the brunt of added cost in trying to keep stores open; with plexiglass, sanitizing equipment, and other needs to address BOTH McDonald's and Government COVID-19 concerns. They have done this many times with only 50% of a facility; even when the government allowed 100% of the dining room is open. However, operators paid FULL RENT. They also paid full service fees, when most of McDonald's Corp sat at home, on the beach, or offsite - sending dictates to the restaurants. A $5000 per restaurant technology fee is a drop in the corporate bucket they drenched operators with during this pandemic. The $5000 is a fraction of Operator cost owners paid to keep their businesses open during this pandemic. Where's the partnership? There was none, and the rent and service deferments were a joke (if not in some states illegal) - so I won't even acknowledge them.

Restaurants are buckling down for ANOTHER round of lobby or restaurant closures, lost service areas, and other obstructions - where's our "partners" head in these matters? Sending FOOD SAFETY inspections warning that these will commence in full force on January 1, 2020. Guess it's their way of saying we know your down - here, here's a kick in the teeth while you're there. And we will zap you with these other financial struggles.

Questions will only make it easy to identify the weakly positioned operators. Be leery my friends, there are those in the bushes wanting to reduce the operator number."


Anonymous said...

My new discussion point when I'm asked to reinvest money - "Well, if I look at my funds as ONE POT OF MONEY"....

Anonymous said...

Simply adding cash to keep balance sheets good for stock pricing off the backs of struggling operators during a National Pandemic Crisis. Someone once asked, what kind of leadership does McDonald's Corporation have? You have your answer.

It's why they don't want the money in 2020 - pushing the payments for those that can pay into 2021. They want the extra $5K per store in additional cash flow on the Q1 stock report. It's the added cash on the books in Q2, with the removal of Archways sponsorships. Yet, they don't want to lose the social responsibility scores - so they want Operators to continue full payments and added to that bucket too. And don't be CHEAP you operators, we need that corporate image to maintain!

Who on the NFLA in 2017 has saved their emails! I'm digging thru mine right now - keyword deferral. I expect PARTNERS emails to be scrubbed shortly.

Anonymous said...

Stop using the term "Partners". They have made it clear they don't want the operators thinking we have a partnership with the company. They did much the same with the MRP program.The operators spent millions improving the company buildings to hold their value.

When problems like the ones MCD is experiencing in any organization it is 99% of the time the result of poor leadership.

Anonymous said...

In light of recent events, any owner who is not a NOA member is deluding themselves. We have tried negotiations for many many years with corp, to no avail.The NOA is the only organization independent enough to successfully represent owners. 1277 owners realize this, DO YOU?


Anonymous said...

The NOA needs to address this 'Eligible for Rewrite, but 'we dont want to grow with you', third category too.

If an operator is eligble for growth and rewrite, has a contract with a selling operator. McDonalds can execute their right of first refusal, or simply get out of the way. Business contractual law, is Business contractual law.

When operators allow McDonalds to arbitrarily circumvent the franchise agreement, it empowers those who have no real leadership experience, and now no McDonalds experience to fall back on. If that makes sense.

Anonymous said...

Are we "partners" in the McCafe revenue from sales in all of the millions of retail outlets where McCafe is sold outside of a McDonalds restaurant?

Oh, right, we are only "partners" in the cost paying fees and rent on the McCafe sales that WE fund and sell in our restaurants, but not in the revenue stream from the no cost sales in those other places. Partners in debt, but not in profit.