Earlier today a site visitor left a comment on the BeepXtra review I wrote and made mention of a company named FlexKom so of course I had to check it out asap. It appears that FlexKom is a German based company that is changing the economy of a country although what country is cleverly omitted.
During my research I visited FlexKomSystem.com where there is a 21 minute Vimeo video on the homepage. Within 2 minutes I knew that this “opportunity” was nothing more than a crock of shit. Why? In order to get into the super profitable discount loyalty card business with FlexKom a person in the United States would have to pay $2,000 for a franchise license? A franchise what? You know the same thing that your would need to become a franchisee of McDonald’s? Are these people smoking crack? Comparing McDonald’s to FlexKom?!!
You would think that the geniuses in charge of FlexKom would stay far and clear from the term “franchise” here in the United States considering that the FTC regulates all franchise activity in the country. The FTC Franchise Rule requires franchisors to provide each prospective franchisee with a disclosure document. Laws in more than a dozen states also require franchisors to provide a similar disclosure document. Because the FTC format for disclosure does not satisfy the state-law requirements in these states, most franchisors choose to use the UFOC (Uniform Franchise Offering Circular) format which is acceptable in all of the registration states.
The franchisor must give the UFOC to the prospect at the earlier of:
the first face-to-face meeting with the prospect involving a discussion about the sale of a franchise; or
at least 10 business days before the prospect signs any agreement with the franchisor; or
at least 10 business days before the prospect pays any money to the franchisor.
The franchisor also must provide the prospect with a complete version of the franchise agreement (with all blanks filled in) at least 5 business days before the prospect signs any agreement or pays any money.
Of course FlexKom simply provides a fucking video and asks people for $2,000 in order purchase a franchise license in order to become a FlexKom coordinator with no face to face meeting!!! I can’t believe that the people behind FlexKom could be this fucking stupid. There are 14 registration states in the United States and I can’t find any evidence that FlexKom is registered with any of them. FlexKom could have easily called this a membership fee or a registration fee but these dumb asses chose to use the term franchise license. Using the term franchise opens FlexKom to all sorts of liability and compliance issues but I don’t think they’re bright enough to figure this out as there are probably thousands of stupid fucks here in the United States that are proud and happy that they are now FlexKom franchisees and are thinking about all the money they’re going to make.
It appears to me that these discount loyalty card MLM’s are popping up like mad in the UK and are finding their way across the pond to the US of A. BeepXtra and now FlexKom with probably a dozen or more so to follow if they’re already not in existence. Stay far and away from FlexKom as this company is heading straight to the crapper faster than a Bugatti can get from 0-60 MPH. I can’t wait to the genius comments on get on this review.