The Grilled Cheese Truck Inc. (fka GRLD)

[bar1080]

Hi Zeke. I'm mostly a penny stock basher, (and, yes, sometimes a franchise basher). Scams in both abound, with some overlap. GRLD seems to combine the worst elements of both while targeting veterans. I have no inside info about the company, but, offhand, it reeks in so many ways!

The Company seeks to franchise its Gourmet Grilled
Cheese Trucks operations and intends to principally
offer the first 100 franchised grilled cheese
trucks to Veterans, having invested significant time
and resources over the last 2 years to develop a
business model that provides jobs, business opportunities
and support for Veterans.
http://finance.yahoo.com/news/grilled-cheese-truck-inc-announces-130000266.html

Lucky vets, eh. Running a food truck is a stinkin' job involving incredible hours standing in a tiny hot kitchen for minuscule pay. The dropout rate is high for food trucks operators. Any why would anyone need to BUY a franchise to make toasted cheese? They say they're "offering" the franchises to vets, but I presume they're charging plenty for them, while perhaps loading the vets with debt. And what's General Clark's angle here? His compensation is outlandish, unless he has some extraordinary toasted cheese credentials!

You might look at research on franchise failure rates done by Professor Timothy Bates of Wayne State.
http://www.moyak.com/papers/franchising-failures.html

My own investments are all quality blue chips, so I most certainly haven't owned or traded GRLD. Notice how GRLD's been plummeting lately? Wonder too how many veterans groups bought stock previously?