Was Michael Probst Buying Golden Corks & Diamond Olives?

(Unhappy Franchisee)  How did the Cork & Olive franchisor amass $2.5 million in debt in 4 years… especially when 9 franchisees ponied up nearly hald a million in $60K franchise fees… and paid for their store buildouts? 

Why would he close the company stores rather than selling them as franchises?

Where’s the $2.5 million in golden corks and diamond-encrusted olives he must have purchased? 

According to the Orlando Business Journal:

Cork & Olive store closures blamed on financing issues

The bloom is gone at Estate Wine Group Inc., known as Cork & Olive: Company executives shuttered its seven corporate stores last week.

The retailer was founded in 2004 and grew to 16 stores from Clearwater to Orlando, including franchisees. Now, they are left to fend for themselves.

Cork & Olive President Mike Probst, who told the Business Journal in 2005 he wanted to be the Starbucks of wine, says his funding fell through. "I had too much belief in only one source," he says.

Estate Wine has nearly $500,000 of operational debt and $2 million of internal debt, the latter owed to the franchise corporation. Without an infusion of $3 million, its future is bleak, Probst says.

Commenter James Wilson adds:  "In addition to the 2 million of internal debt, the $500,000 of operational debt, Probst also is in debt for the surly dissociation of partnership with [CEO & Investor Tom] Ronzino.   Ronzino never received liquidation of the original partnership intentionally ignored by Probst…. Probst commented ‘I had too much belief in only one source,".One source, is that code word for "the hundreds of individuals you screwed royally?’"

Related stories:  Cork & Olive Wine Franchisor Folds; Franchisees Scramble to Survive, Cork & Olive Franchise Corp. Collapse: What’s the REAL Story?, What REALLY Uncorked Cork & Olive Franchise Corp? (Unhappy Franchisee), Cork & Olive Wine Shop Franchise Owners Left High & Dry (Unhappy Franchisee)

ARE YOU FAMILIAR WITH CORK & OLIVE & MICHAEL PROBST?  WHAT DO YOU THINK?  SHARE A COMMENT BELOW.

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  • UnhappyFranchisee.com is dedicated to exposing the other side of franchising - and giving franchisees a voice amidst the din of hype and propaganda. We're supported solely by donations and those attractive SPONSORED LINKS.
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  • the golden corks and diamond olives have been consumed into probst and his sidekicks stomachs and wallets... mind you... not one employee has ever been explained why the 'sudden closing', let alone an apology for screwing up everyone's lives... not to mention there last paycheck.... how in the HELL is this guy and Ms. N able to sleep and continue to work while pulling in a check.... what the hell is going on????? why does't the law step in... what are they waiting for???? oh.... maybe they'll catch Ms. N at the airport as she departs on her runaway to hide excursion.... always remember.. you BOTH can RUN but you can't HIDE!!! (I hope something happens soon cuz I need some cheering up since I lost my DAMN JOB because of both of those idiots!!!

  • Silence, Where is justice? Why isn't Nelson and Probst behind bars already? Hopefully everyone will be cheered up when we see them both on the news in handcuffs. The two of them have been sleeping every night, soundly I am sure from the beginning. Remember all the stores that were owned corp.- there all owned with other peoples money. He had notes on all of them. Why aren't those individuals contacting authorities? He didn't pay workman's comp. I called on that one. All he did was pay a fine. Big deal. Is it easier for the gov. officials to look the other way even when people are being stolen from. I was told when I tried to blow the whistle, "the case isn't big enough, the DA wouldn't be interested." Not big enough? How many peoples lives have to be destroyed before it is big enough?
    The man drinks every night and drives home. Called the police about that too. Probst knowingly sold franchises when he was in a lawsuit. SEC says you can't do that, Probst knew this. Yet again he continued to take peoples money.
    I am not going to stop posting, hope everyone will do the same. If you have something to say, do so. Probst got away with stealing, not paying taxes, going against the securities and exchange commission, inported wine, distributed, and the sold retail.
    Lets see convinced a certain Tampa attorney to sell stocks to Ronzino and then never issued them. To this day still hasn't issued the worthless stock. Maybe he didn't issue them because at the time he wrote up the stock purchase and employment agreement he knew it was bogus.

  • My business partner and I had a bad feeling about Probst and Nelson. We felt the overall concept was solid but company managment style was unsettling. We never the less contracted to do the furnishings for future stores. We sent contracts in January for the Orlando store and did not receive the required deposit until mid April. Hearing there was going to be a new money partner coming enabled us to hang in. I am glad we did or the last franchisee in Orlando would not have received anything at all. If we can be of assistance please give us a call.

    Black Mountain Metal Works
    http://www.mtnmetal.com

  • When Ronzino received a compulsory dismissal, Estate Wine Group Inc. should have published their obituary. Once Ronzino, former CEO of Cork&Olive Franchise Corp. disappeared, sales of franchises vanished. In July of 2007, the Tampa Bay Business Journal published an article that stated "Estate Wine Group, Cork & Olive's parent company, has sold one third of its shares to an Orlando investor, Tom Ronzino..." Ronzino was responsible for the growth of the company, until Ronzino came along, not one franchise had been sold. It has been reported in court records that Ronzino is in litigation with Probst [President of Estate Wine Group, Inc.] for his shares. With Chapter 11 filed late last week, Ronzino unfortunately will never see the shares, & did he ever?

  • David ..... sorry you were brought into this mess, but i will say that your 'relative' that used to work at the corp office was a mess herself. not only did she not know how to answer the phone and be nice but was downright rude at times. many times i'd call there and she wouldnt even be at her desk---oh wait........ she was probably on the phone again outside as usual. i think she slept with that phone!she didn't know if she was coming or going half the time and had an attitude with anyone who talked to her---------she needs to get back on her medicine or return to school to refresh those brain cells of hers! that was no love lost when i heard she was canned!

  • wanda, i am so with you about keeping the posting going. i want to see justic as well. we lost a ton of money too. i want to see all three of them behind bars president mike vp stephanie nelson and of course the welcome to the family deborah augenti. they have taken so much from so many people and messed up so many lives. i can't understand how they aren't in jail. every day we think of how we are going to try and recovery what we have lost and he is drinking and driving around town looking for his next person to con out of money. he is smooth i will give him that.

  • in case anyone is curious check out
    http://www.hillsclerk.com pinellas county courts websites. plenty of public knowledge for your reading pleasure. remember all four searches: estate wine group, cork and olive, cork and olive franchise and michael probst. you shouldn't be amazed as to how much info you will come across and how many suits are and have been pending!
    only at cork and olive............... you can't make up crap like this!!!

  • Dear Wanda,
    wanted you to know that as soon as we hear what stores our buddy is reopening we'll be sure to let you and everyone else know so we can be first in line to enter under the GRAND REOPENING SIGNS and hopefully a sign on the door will read UNDER NEW MANAGEMENT... since when they closed the signs read BEING REPAIRED!! I dont believe any stores or businesses that Probst is affiliated with are capable of being repaired do you? are you interested in going to the grand reopening by chance? heehee

  • David,
    I feel sure the money for the furniture was sent in to the corp. office on time. Unfortunately Probst and Nelson used the money to pay bills, go out to eat, pay the mortgage payment, etc. So when you needed the deposit for the materials to make the furniture it wasn't available. Then when the franchisees wondered where their furniture was they would call corp. and Nelson told them you were slow and the furniture would be sent out in 2 weeks...... SECRETS AGAIN>

    PS: franchisees you were up charged for everything, including the furniture.

    Don't forget everything was going to occur in 2 weeks...... the new glassware, salts, choc.

    How about all the advertising the corp. office was going to do for the franchisees?

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