Franchise brand manager Franchised Food Company is looming as a potential winner from the woes of Allied Brands, with executive chairman Stan Gordon in talks with the liquidators of Cookie Man and declaring he is open to talks with Baskin Robbins franchisees.
FFCo, which owns Baskin Robbins rival Cold Rock Ice Creamery, as well as the Pretzel World, Nutshack and Mr Whippy, has more than 135 franchisees around Australian and has clearly spotted an opportunity to grow.
Gordon says he has been contacted by Baskin Robbins franchisees and is set to receive an information memorandum from the Cookie Man liquidators in the coming days.
Gordon says that while his company does stand to benefit from the problems at Allied, he feels sorry for the group’s franchisees.
“These franchisees have a whole chunk of their money in a franchise system and if you don’t have a franchisor, that’s a problem. They are now directionless. I really do feel sorry for them.”
Gordon said he looked at acquiring the Cookie Man business before Allied Brands bought it in 2007.
“It wasn’t a brilliant business, but it was certainly an adequate business. We think we can modernise the whole offering and give franchisees something to move forward with.”
Gordon also says there would likely be cross promotional opportunities and synergies between FFCo’s current brands, such as Pretzel World.
Gordon says he also approached the global owners of the Baskin Robbins brand, US company Dunkin Brands, about discussing the future of the Australian master franchise.
Dunkin is currently in dispute with Allied about the status of that franchisee agreement.
Gordon says he has not had a response from the US, but remains keen to talk.
“We think we can really come to the rescue.”
James was the editor and publisher of SmartCompany and LeadingCompany for five years. He is now the Australian Financial Review‘s companies & markets editor, and a former BRW editor.
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