Is Steel Coated Floors Owned by Phoenix Franchise Brands?
The Franchise Disclosure Document of the Spray Foam Genie franchise states that its parent company, Phoenix Franchise Brands, also owns Steel Coated Floors, a franchisor with 24 active franchises. We assumed the basic corporate information in an official document submitted to a state registration agency – prepared & submitted by an established franchise law firm – proofread, certified & signed under penalty of law by an experienced franchisor – would not warrant deep scrutiny. Turns out… by Sean Kelly
(UnhappyFranchisee.Com) We are reaching out to Kevin Longe, CEO of Spray Foam Genie, Greg Longe, CEO of Phoenix Franchise Brands, attorneys Amanda Dempsey & Thomas Kent and law firm Saxton & Stump with a number of questions regarding Phoenix Franchise Brands disclosure documents, including:
- Does Fetch! Pet Care have an up-to-date, complete & FTC-compliant Franchise Disclosure Document (FDD)?
- If not, has Phoenix Franchise Brands and its franchise broker groups (Rhino7, Franchoice, IFPG, Franserve, etc.) stopped promoting the Fetch! Pet Care franchise opportunity?
- Do the Item 19 Franchise Performance Representations in the most recent Fetch! FDD(s) disclose that some or all of the top performing franchisees are “Legacy Owners” who operate under significantly different agreement and fee structure than that being presented to prospective franchisees?
- Do the Item 19 Franchise Performance Representations in the most recent Fetch! FDD(s) support Greg Longe’s representation (see video) that the top 20% of Fetch! Pet Care franchisees earn gross sales of $900,000?
- Did Phoenix Franchise Brands LLC acquire a majority interest in Steel Coated Floors LLC on August 24, 2024 as represented in the Spray Foam Genie FDD & Wisconsin franchise registration?
- If not, does Phoenix Franchise Brands have any ownership in or contractual relationship with Steel Coated Floors, LLC?
Here’s a bit of irony for you.
On November 12, 2024, we posted a video featuring a dozen Phoenix Franchise Brands franchisees claiming that the franchisor made deceptive earnings representations both in and out of his disclosure document.
The video displayed logos of brands Phoenix Franchise Brands claimed to own.
In Utah, Mitch Cypers and Manny Cypers were shocked to see their company, Steel Coated Floors, listed among Greg Longe’s supposedly growing empire of franchise brands.
Is Steel Coated Floors Owned by Phoenix Franchise Brands? Has It Ever Been?
I received an email from Mitch Cypers who, with his brother Manny, founded & franchised Steel Coated Floors in 2018.
According to THEIR FDD, Steel Coated Floors is based in Ogden, Utah and provides a line of epoxy flooring products & services.
As of the end of 2023, they had 23 franchises in operation – down 11 from the prior year.
“We have been working on a merger with Phoenix recently, but have yet to launch or do any transactions with them…” Mitch Cypers wrote.
“As you can, imagine, we are still shocked and stunned.”
The Cypers were concerned about being associated with the disturbing nature of the franchisee’s complaints – which they had been unaware of.
The 2024 Spray Foam Genie (SFG) FDD States Phoenix Franchise Brands Acquired Steel Coated Floors August 22, 2024
On October 23, 2024, we posted the FDD that Spray Foam Genie FDD has registered in Wisconsin:
Spray Foam Genie 2024 Franchise Disclosure Document (FDD)
The State of Wisconsin Department of Financial Institutions (DFI) web page indicates that Spray Foam Genie International, LLC registered 3/18/2024, then filed two amendments on 7/22/24 and 10/11/24.
The attorney who submitted the registration is listed as Amanda D. Dempsey, Esq. of Saxton & Stump, Malvern, PA.
The registration likely would have been signed and certified as true and correct, under penalty of law, by Kevin Longe, CEO, of Spray Foam Genie, International.
The management team disclosed includes:
- Kevin Longe – Chief Executive Officer
- Chris Ryan – Chief Operations Officer
- Keith Ryan – Chief Technical Officer
- Gregory A. Longe – Chief Strategy Officer
- Michael Shinabarger – Vice President of Franchise Administration
- Steven McEntire – Vice President of Operations
- Heather Bir – Vice President of Operations
- Zachary Taha, CPA, CMA, CFE – Chief Financial Officer
- Michael St. Jacques – Chief Marketing Officer
ITEM 1. THE FRANCHISOR AND ANY PARENTS, PREDECESSORS AND
AFFILIATES states:
“Spray Foam Genie International, LLC [is] the franchisor…
“Our corporate parent is Phoenix Franchise Brands, LLC (“Phoenix”), a Delaware limited liability
company formed on June 17, 2022 with a principal address of 19500 Victor Parkway, Livonia,
Michigan…
In the list of affiliates, it states:
Our affiliate, Steel Coated Floors, LLC is a Delaware Limited Liability Company formed on May 2, 2024 and our principal office is located at 119500 Victor Parkway, Livonia, MI 48152, which offers franchises that provide proprietary epoxy flooring product and services, primarily for residential garages but also for industrial and commercial garages, with a lifetime guarantee, and other products or services, and has done so since 2018.
On August 22, 2024, Phoenix acquired a majority interest in Steel Coated Floors, LLC.
As of December 31, 2023, there were 24 Steel Coated Floors, LLC franchises.
Steel Coated Floors, LLC does not conduct any other business, does not offer franchises in any other line of business and does not provide any goods or services to Furry Land* franchisees.
The SFG FDD states “Our affiliate, Steel Coated Floors, LLC is a Delaware Limited Liability Company formed on May 2, 2024…”
A search of the Delaware Department of State: Division of Corporations website did not return a registration for an entity Steel Coated Floors, LLC formed on May 2, 2024 .
It did return a listing for Steel Coated Floors International LLC formed 4/24/2024 with the registered agent listed as HARVARD BUSINESS SERVICES, INC., 16192 COASTAL HWY, LEWES, DE.
According to Mitch Cypers, they first met Spray Foam Genie at the end of February (Feb. 27-29) at the National Association of Home Builders (NAHB) Show in Las Vegas.
They would have formed the corporation just three months after meeting the Cypers, but with no agreement in place.
The SFG FDD states “On August 22, 2024, Phoenix acquired a majority interest in Steel Coated Floors, LLC.”
According to Mitch Cypers, there were serious talks about a sale to Phoenix Franchise Brands but that there had been no progress from Phoenix’s end for several months.
“The mention of Steel Coated Floors in the Spray Foam Genie FDD doesn’t make much sense at all and then the mention of furry is strange as well.”
“It’s important to note that not a single dollar has been collected by Phoenix franchise from a single steel coated floor franchisee.
“Our franchisees still report us and still pay monthly because the deal has not been finalized.
“It’s also important to know that not a single dollar has been collected by steel coated floors from Phoenix Franchising.”
The SFG FDD states “As of December 31, 2023, there were 24 Steel Coated Floors, LLC franchises.”
The Steel Coated Floors FDD states that there were 23 franchises and 1 company-owned location as of December 31, 2023.
The SFG FDD states “Steel Coated Floors, LLC… does not provide any goods or services to Furry Land* franchisees.
It’s unclear why the Spray Foam Genie FDD references Furry Land franchisees in this sentence.
Is MedSpa810 Truly Owned by Phoenix Franchise Brands?
The Spray Foam Genie FDD also lists MedSpa810 Global, LLC as an affiliate:
Our affiliate, medspa810 Global, LLC is a Delaware Limited Liability Company with its principal office located at 119500 Victor Parkway, Livonia, MI 48152, which offers franchises that provide best in class aesthetic medical services and products.
In May 2024, Phoenix acquired a majority interest in medspa810 Global, LLC. As of December 31, 2023, there were 7 medspa810 Global,
LLC franchises.Medspa810 Global, LLC does not conduct any other business, does not offer franchises in any other line of business and does not provide any goods or services to Furry Land franchisees.
There IS a medspa810 Global, LLC registered in DE.
However, the MedSpa810.com website lists its office address as being in Scottsdale, AZ.
The USPTO.org website lists the trademark owner as:
MEDSPA810 LICENSING, LLC
4 Independence Way
Princeton, NEW JERSEY UNITED STATES 08540
Maybe they just haven’t gotten around to transferring ownership of the trademarks since the acquisition in May.
While there seems to be much confusion, one thing is clear:
Medspa810 Global, LLC… does not provide any goods or services to Furry Land franchisees.
Invitation: Please Share Your Opinion of Experience (Anonymity Assured)
Are you familiar with Greg Longe, Maria Longe, Phoenix Franchise Brands, or Cybeck Capital Fund?
Please leave a comment below or email us, in confidence, at UnhappyFranchisee[at]Gmail[dot]com.
Also Read: FETCH! Pet Care Franchise Complaints (Index)
Franchisors: The franchisor, its employees and agents are invited to submit correction, clarifications, rebuttals or other opinions for immediate consideration.
UnhappyFranchisee.com is not associated with this or other franchise company or seller.
Edit history: 11/14/24 the main headline and 1 subhead were revised and the opening questions were added
I’ve always wondered about medspa810. It’s been listed as a franchise owned by the Longes since I joined them in 2021. Yet it’s so different than the others, like a random side note. Only 8 locations?
What is this business? Where is it? What is its overall value to the Longes?
Super intriguing to me.
Also interested in digging into their possible affiliations with Rhino7.
Thank you for all of this info!
FYI I’ve messaged Jamie Izaks & Lauren Izaks of All Points PR in LinkedIn & emailed them, inviting corrections, clarifications, etc.
Hi Jamie & Lauren:
This is Sean Kelly, publisher of UnhappyFranchisee.Com.
Our paths have likely crossed a few times.
I’ve always had a good impression of you guys and your firm – especially in comparison to some of your competition.
I was surprised to learn that you took on the job of “handling” Phoenix’s crisis which seems to require a bit more than spin, but I see it as a hopeful sign.
Anyway, there is an open and ongoing invitation for honest & candid dialogue. Each time I publish I include an invitation for corrections, clarifications, rebuttal, etc.
That invitation is sincere, as is the hope that the franchisor will get on a positive and enlightened path, even if for the wrong reasons.
The worst of the franchisors refuse to acknowledge valid criticism and hide behind lawyers where they’re more comfortable.
Can I expect any response to the issues posed? We can start with a simple one:
Did Phoenix Franchise Brands acquire Steel Coated Floors like they claim in the SFG FDD?
https://www.unhappyfranchisee.com/steel-coated-floors-not-owned-by-phoenix-franchise-brands/
If not, what happened?
Why did they not notify me when I was reporting this? There are 14 videos with the Steel Coated Floors logo that wouldn’t be there if they’d just notified me when I first published it and posted the SFG FDD.
Are they contacting all the registration states, or should I?
Do they wish to address the many franchisee complaints regarding the allegedly deceptive use of Legacy franchisees in their earnings claims?
And Greg Longes’ public representation that the top 20% of Fetch! Pet Care franchisees generate $900,000?
The latest Item 19 I could find doesn’t even break out the top 20%. Help me out here.
https://youtu.be/3YJXn1zcrGw?si=yTLQ_o11-qRx0wBB
If you can convince them that silence is not golden, here’s how to reach me.
All the best,
Sean Kelly Publisher, UnhappyFranchisee.com
Anonymous:
medspa810 has a legacy of failure.
It was acquired by Princeton private equity firm around 2019. 30 franchises had already failed.
They hired Greg Longe as President & CDO in 2019 I believe and he brought along his gang of Maria & Greg Schadle of Rhino7.
Under his leadership, it looks like the number of franchises dwindled to 4.
Not sure what happened then.
Princeton group started up their own medspa chain.
Looks like they still own the trademark to medspa810, but Phoenix Franchise Brands claims they acquired Medspa810.
Then again, they said they acquired Steel Coated Floors too.