Is Dream Dinners preparing to file bankruptcy?
June 19th, 2008 | 
Author: Or are they trying to salvage what remains of their company?
Rumors are starting to surface that several key employees within the Dream Dinners upper ranks have either stepped down or have been asked to leave. Speculation is that marketing has been the hardest hit (an area where Dream Dinners probably needs the greatest amount of help).
If this is true, what does this signal for Dream Dinners? Considering so many employees are either related or best friends, does this mean Dream Dinners is trying to bring in more dedicated and focused personnel who can steer them through the troubled waters that lie ahead and turn the tide on accumulating debt? Or is this a life raft? Are friends and family being given time to “reach minimum safe distance†before it all comes tumbling down?
Or is this part of the master 87 point plan of reconstruction that Darin has planned?
Considering the pace at which news actually comes out from the different franchises, we’ll have to keep and eye out to see if there is any truth to the rumors and what they will mean in the long run.
Other Articles of Interest:
- When will Dream Dinners file bankruptcy?
- Dream Dinners gets new franchise leader
- Merry Christmas To All!
- Dinners for Life Exhibiting at Diabetic Conferences
- My Taxes Are A Mess
- Dream Dinners struggles to make ends meet
- Dream Dinners opens another Piggly Wiggly location
- There’s a sucker born every minute
- Dinner for Life – Now with ridiculous membership fees
- Redbook’s Dream Dinners Family Vacation Sweepstakes
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Craig, whether or not you open an MA store is entirely up to you, but I would urge you to proceed with extreme caution and research, research, research before you make any decision. Sites such as franchisepundit.com, franchisepick.com and bizop.ca are all filled with comments and articles about meal assembly and how it has turned into a flash in the pan. It grew too quickly, has terrible management, no clear business model to follow and a slew of other problems that make it a franchise to be leery of. In short, none of them think it’s a viable concept.
Additionally there are dozens of stories from owners who have lost everything and declared bankruptcy after signing up for this franchise. It can certainly be said that each location and brand is different, the stories are remarkably similar regardless of which franchise people chose to work with.
I would be curious to know why you would say the local DD’s are doing great. That may be a relative term. I would consider great to be a store that handles over 400 customers a month, is open for four days out of the week and has full or nearly full sessions everyday. Also, if there is a such a store in your area, I would say opening your own store anywhere within 20 miles is going to ruin both businesses.
As far as Dream Dinners goes, I haven’t or read anything about that company in months. Darin had his big “to do” on Blue Mau Mau where he claimed DD was experiencing double digit growth, but gave no basis for comparison. DD stores are still closing and their marketing is just as miss (not hit to be found) as it ever was. Volume discount? Is that the whole idea behind buying 12 meals versus 6, or 72 servings versus 36? Isn’t that the same idea they’ve been floating for the past 4 years?
Tuckerbox,
Only 1 comment to your post above-dozens are actually HUNDREDS of people who have filed BK.
Craig, how good can DD be doing if they are in a court battle with franchisees over of all things the “business model” which is the basis for their business?
Super Suppers down to 90 stores? I would venture to say the industry practice to keep stores on the website to make them seem open or have been resold to a new franchisee with little or no experience under their belts is still alive and well.
400 people through the doors a month? To that I say good darn luck, but hope springs eternal for those who still are delusional.
The economy is going to the dogs and is not done falling yet. The only stores that will “do well” a relative term to be sure, are those who have little or no debt, of which those are far and few between.
Craig,
Don’t do it.
Seriously, these (hundredes) people didn’t fail due to lack of effort, capital, intellect, or any other thing that you think you can do better. I’m not knocking you here; I’m sure you are bright, capable, and have the finances to do it. But don’t. It won’t end differently for you.
This business succeeded over the short term because lots of people wanted to try it (as customers). New stores got the benefit of these first timers; however, looks like only a small percentage of people actually became converts. Then, you’re left trying to pay for your expensive equipment and fancy build-out with nothing left for you.
You’d do better to get a job flipping burgers for $7/hour and put your capital in a savings account earning 3%.
At least you’d have time to sleep at night.
Did you know????? Dream Dinners is re-branding themselves with Dinners For Life. Just Another Way of Deception.
From what I’ve heard, Dinners for Life isn’t a Dream Dinners re-brand – I think it’s meant to be a new program that caters to specific dietary needs.
better look again, from all web-activity, it is linking to Dream Dinners. If it were just a program, why the build up of a website? Oh, I forgot, The Owners pay for that cost of website…yep, things don’t change with Darin Leonard around!
Poor Owners…another wasted program at their Expense!
Dinners for Life is a rebranding of Dream Dinners with a focus on a diabetes market. It’s not just a new program, but a spinoff of the already existing Dream Dinners idea to meal prep. Everything on the site is branded with the Dream Dinners name with all of the Franchise information pointing back to Dream Dinners itself.
This new concept is: “Our current menu offerings are specifically designed for those living with diabetes.”
While the site may be new, listing only three stores that are participating, my question is, how much is this new branding going to cost the current owners and is it optional?
This looks to be a brand new page, as it previously said it was coming April 6.
There should no surprise that the sites look and feel very similar. You can see this new endeavor at:
http://www.dinnersforlife.com
Also, this new site and business idea is an outcropping of their dinners for life program which they used for several of their meals back in March of 2008. You can see comments about the idea by clicking the link below.
Darin and Dream Dinners under the lights:
Isn’t that a very narrow “niche” market? How can that be profitable for the store owners?
The ingredients have to be more expensive, fresh, low sugar, low carb…I don’t see how this is going to be profitable for anyone but those (again) collecting royalties..
And is that menu in addition to their current one which means more inventory you need to carry for ingredients?
I have a question regarding the lawsuits filed in Washington State. I am a former California owner. I wrote the attorneys representing the Plaintiff’s in Washington and asked the Attorneys if they would be willing to represent any California owners. I never received a response. I am presently shopping around for a good Franchise Litigation attorney in California. I am curious if any other California former-owners are interested in filing a lawsuit against DD similar to those in Washington State. Why should California owners be left out?
I keep thinking the same thing, this sounds like a lot of expense for a very small return. Having some of these items on hand to make substitutions seems like a pretty good idea, but this launching of a whole new site seems excessive for what is probably a small percentage of the customers a store has.
Word on the street is there are more lay-offs coming for the skeleton staff at DD in Snohomish. Tina has sent another email to the staff looking for volunteers to cut back to part time and has gotten the same number of volunteers as last time, none. This will be tough on the so-called leadership. The staff is basically back to friends and family so they have to decide to trash more friendships (like Stephanie did to Sherri) or get rid of people they see at family holidays. Step-on me has gotten rid of everyone she doesn’t like so now we might see who sits where on the totem pole for those she does.
well, well, I do enjoy the dirty gossip that ozzes from the pit of Dream Dinners.
Let’s see, if you go to Stephanie’s face book page, she posts proudly a picture of her closes friends (Many Moms Making Many Memories” Catering crew)
Elaine is Tina’s Best friend, works in IT- and is so amazingly smart as a former hoochie hairdresser, can maintain the website, right?
Lori is again Tina’s Best Friend, been by her side since day one, and can successfully bully Owners into paying the Royalites…gotta keep Lori around, huh?
Cristen, (Tina’s Best Friend) is the book keeper, now if she goes, who will continue to ‘cook-da-books?’
then of course, Lets not forget Tina’s nieces, Lyndsay and Leslie…aren’t they doing Marketing?? I mean, lets really think about Not getting rid of them because, well, just maybe, they are still working on the Weight Watchers relationship.
who did I leave out, Ruthann, David Sessions, Collette, Beckiiiiiii??? this little group is probably next on the chopping block.
now that I am really thinking about this, its been almost two years, I would not be surprised if Darin Leonard throws in the towel. however, he did boast awhile back how He is not taking a paycheck.
very interesting.
That brings up a good point, Darin has been at the helm for a year and a half now and from the numbers alone, Dream Dinners doesn’t look to be in any better financial shape than when he started. Store numbers are lower than when he started and still dropping, the number of people employed by Dream Dinners is still dropping, the lawsuit is still pending and there is nothing to indicate that the revenue stream is actually increasing. It’s not like the ship wasn’t already taking on water when the new captain took the helm, but it still looks like this boat is sinking. Unless I have completely missed something I don’t see anything that can be taken as a turnaround for this business. They still seem to be living on borrowed time and hopes and dreams.
Do we really think Darin is still working for free? Do you really think anyone would put up with this sort of rubbish for this long for free?