L.A. Weight Loss Center Closings, Cutbacks & Rumors
March 21, 2008 by Sean Kelly
Filed under Business
(FranchisePick.Com) Last year, more than 400 company-owned weight loss centers operating as L.A. Weight Loss rebranded their centers Pure Weight Loss. A few months later, the chain abruptly closed, leaving thousands of customers owed hundreds of thousands of dollars in products and services and employees and managers unemployed with bounced paychecks.
Rumors are rampant that the once-affiliated franchise chain still operating as L.A. Weight Loss may be heading for a similar fate. This KFSN (Fresno) story of L.A. Weight Loss centers sounds eerily familiar. There’s also a video of customers and employees of the closing L.A. Weight Loss Centers.
Read the entire KFSN (Fresno) story, or excerpts below:
Frustrated Customers Want Money Back
3/16/2008 Fresno (KFSN) — Many frustrated customers flooded LA Weight Loss stores Saturday, wondering if they’ll get their money back.
This one day after Action News revealed area stores are closing and some employees say they were told to continue signing up new customers.
LA Weight Loss has been promising to help people in the valley shed extra pounds since 2003. The company says it’s now closing four Fresno area stores over the next few months because of market conditions.
LA Weight Loss says it will offer refunds to all active clients which brought many customers to the north Fresno store Saturday.
* * * * *
The company says it won’t reimburse clients for the follow-up maintenance period that kicks in once a customer has reached their weight goal…
* * * * *
…some employees tell Action News they were told to push these products and sign up new clients despite knowing the stores would be closing.
We hid the identities of these sales associates who fear they’ll be fired for talking about what they call questionable sales tactics.
Stores have posted signs about cutting back to new spring hours next week. Employees say the short hours are part of downsizing in preparation for closure.
* * * * *
LA Weight Loss says you can get the paperwork to apply for a refund at the center you go to. The only people eligible are those seeing the counselors and getting food products from the center.
WHAT DO YOU THINK? SHARE A COMMENT BELOW.
__________________________
Visit FRANBEST’s: Unbiased franchise information, franchise interviews and detailed, searchable information on 400 franchise and business opportunities.
.
Franchisees, customers & experts vote for their favorite new franchises at Top New Franchise: Who’s hot. Who’s not.
This is sooo true! LA Weight Loss Centers in Memphis and Germantown TN are closing, yet they are still enrolling people! I heard froma sales person her self that she knew the center was closing, but corporate management was urging them to keep signing people up. She ended up quiting the center. Someone needs to do something about this. The center has cut their hours to M, W and Friday 9-7—They used to be open 6 days a week! Sound very familiar to what is going on in Fresno, right??
I urge everyone, go to your centers–get your bars and materials you paid for. Demand it before they pack up on you!
Rita in Memphis
This is true! I am an employee and there are all kinds of internal memos about the closing of our centers… They are blaming on “market conditions” and the recession, but they are cutting hours, and making us make copies of client materials (instead of sending us nice materials to use) to cut costs. Most clients signed up thinking we would be there 6 days a week–now we are only open 3 days a week. The end of LAWL is near.
Concerned Employee
Lori: Can you be a litle more specific? are the memos from corporate, referring to the entire chain or are you referring to the memphis area or other franchise area? Which centers are they announcing will close?
The centers I am with are part of what they call LATO- LA Weight Loss Take Over- These are centers that were once franchised, but the franchise owner went bankrupt and the centers were taken over by LA Franchise Companies in an effort to pump up sales and get them re-marketed for re-sale in the local community.
Since the LA Franchise Company has taken us over, they have been litteraly down our throats about sales every hour on the hour. They call the centers every hour. They are blaming the staff for sluggish sales and the downfall of the dynasty. They refuse to believe that any of the 20/20 scandal or numerous reports on sites like Ripoffreport.com could have anything to do with it.
In their last corporate communication, they stated that they would have “SPRING HOURS” for the next month in anticipation of even more slowdown in the market. We have gone from being open 55 hours per week, down to 27 hours! They are not replacing staff……
They said if we cannot improve sales, the company would be forced to close markets that were not performing….Looks like thats what happened in Fresno in you posted video….Those centers were part of LA Take Over.
Hi, can I get some pros and cons on this Weight Loss?
News Reporter
The centers are open Monday through Saturday now. No more spring hours. They have hired new people. I believe they are doing fine. A friend of mine is an employee.
Hi My name is ?, I’v worked for la weight loss when we were pure weight loss, then in december coporate bought us out, now i fear for my job, because its happening again, i”ve been employed for La weight loss for 4 years as ass. omanager, I also feel sad for clients that purchased programs and products,were located in Fayetteville, North carolina, if u can give me any good and sain advice contact me!
Thanks for being so HONEST Alice. You knew over a month ago your center was closing, but chose not to tell your clients. Your dishonesty may be one of the reasons we are all out money and you are out of a job. I wish your clinets could be included as a job reference.