The other day, I was reading the book “Man Up” (written by Bedros Keuilian, a past guest on my podcast).
In one chapter, Bedros told the story of a legal mess that he narrowly escaped from while he was growing his business, Fit Body Boot Camp.
At the time, it was growing like wildfire and they were selling a lot of new territories to licensees.
But then he got word from the state of California that he was breaking the law by selling FBBB as licenses instead of franchises, and they were going to fine him $450,000.
This was a problem, since Bedros didn’t have $450k to pay at the time and it would have sunk his business.
Fortunately, after negotiating with the state he was spared the fine – as long as he agreed to not sell any more licenses until he got a franchising system in place.
Although Bedros incurred expenses to do it the right way and lost revenue from new partners while franchising was being set up, it wasn’t as much as the $450,000 fine would have been and it allowed his business to avoid death.
Today, Fit Body Boot Camp has over 600 locations and is ranked #122 in Entrepreneur’s Franchise 500, but it could have easily come crashing down due to that one curve ball.
Since so many online entrepreneurs are oblivious to the legal dangers lurking out there, I’ve asked Valerie Del Grosso to do a training on this.
Valerie is known as “The Friendly Lawyer”, and she’s been doing great work helping online entrepreneurs avoid costly legal mistakes.
This Thursday we’re going to be hosting a live training called “Prepare Your Biz Legally For More Clients, Impact, And Income”, and it’s taking place at 3 pm EST.
Valerie will be sticking around to answer all questions live on the call, and you can register for it here:
