LOSING YOUR SHIRT WITH AAMCO: IF YOU ARE LOSING YOUR SHIRT

Thursday, August 6, 2009

IF YOU ARE LOSING YOUR SHIRT - TELL CORP

So they can open another center across the street. DO NOT BUY FRANCHISE. You'll be broke by next year!!!

2 comments:

UnknownNovember 19, 2010 at 6:07 AM
I agree 100%. Corporate is a complete sham of an operation. It's so disgusting that I wasted a fortune on this terrible franchise. Anyone reading this, please do yourself a favor and don't buy one. If you just can't stand not to, then let me sell you mine.
ReplyDelete
Replies
AnonymousJanuary 27, 2022 at 10:52 AM
Mr Pedro recently helped us with a loan which we used to expand our business. The process was amazing! He was in touch with us frequently to check in and to update us on what was happening throughout our loan repayment. He was friendly and approachable and always able to clear up questions that we had. We had such a great experience working with Pedro!!
Contact A Loan Officer Pedro
Email: pedroloanss@gmail.com
WhatsApp: +18632310632
ReplyDelete
Replies

AAMCO Franchise Owners and Future Owners

Welcome to AAMCOFranchiseOwners Blog! This is a site owned and supported by franchisees who operate AAMCO Transmission Centers. It is also available to people considering investing in owning and AAMCO Transmission Center franchise.

Owning an AAMCO Franchise has traditionally been a rewarding experience. Under the leadership of the founders - the Morgan family - the franchise group thrived throughout the 1960's and 1970's. There were some tough periods - such as the 1980's claims from state attorney generals who asserted that AAMCO centers - along with stores owned by Sears and other automotive repair shops - were selling unnecessary repairs. These image and operational issues were eventually overcome and the company continued to thrive under the leadershop of the founders.

In 2006 the Morgan family sold the company to American Driveline, a company owned by the investment banking firm American General. American Driveline already owned Cottman Transmissions, the number two nationa franchise network. Under American Driveline management, the franchisor began to convert all shops to the AAMCO brand. Unfortunately, this often meant converting center using the weaker Cottman brand into an AAMCO, even though and existing and successful AAMCO was in very close proximity.

So the new ownership has a big debt. And big loan payments. And lots of problems.

American Driveline has already fired their first "wonder kid" president - Todd Leff. But they have retained their cadre of agressive beligerant attorneys. One example is Jim Gonorea. His role is to find an opportunity to cite a franchisee for making a mistake - real or perceived - and then squeezing hte franchisee for every penny they have. And because you have provided your fiancial statement as required, he knows just how much to squeeze.

Then of course there is market development and franchsie development. The former identifies new territory opportunities; the latter recruits new franchise owners. Both are comissioned for delivering new franchisees. At present, both functions are in the same department and, in fact, are run by a father-son team. The only problem is they are not incented to protect the success, or even the survivability, of existing franchises. In fact, it is to their benefit to force current franchises into weak financial positions so that they can help save the franchise owner by "reselling" the franchise. Who manages re-sales? You guessed right - the franchise sales department. Remember, they are driven to sell or re-sell franchises (and pop $30K franchise fees plus equipment sales plus software sales plus plus plus) into the corporate coffers).

Speaking of add-one sales. Take the corporate software "Focus." It is not a coded application. Rather it is a database management application developed around FileMaker. Talk about idiocy. It was developed by a franchisee (because the then-available operating software from AAMCO was so terrible) as an in-house customized application. Being persuasive, the franchisee sold the software application to AAMCO, along with the man who developed the application, Jon Kincher. Since then, the application has rattled along with release after release after release; two to four per year. And each release typically comes with a new set of horrific bugs that will be fixed in the next release. And each release contains increasing levels of "controls and safeguards" that make it harder and harder to run an AAMCO shop, but more importantly and ever increasing level of sub-applications that monitor what the center is doing and reports back to "big brother." For example, if you make a mistake on a ticket - let's say you charged tax to a tax exempt account - you'll have to call corporate and go through a special process to fix the ticket. Franchisees don't even know what all is being reported or why...but you can bet it will be explained to you when the Legal Department calls.

LOSING YOUR SHIRT WITH AAMCO

Thursday, August 6, 2009

IF YOU ARE LOSING YOUR SHIRT - TELL CORP

2 comments:

AAMCO Franchise Owners and Future Owners

Followers

Blog Archive