In early February, ByeByeNow.com Travel Inc. president Peter Kowal informed franchisees in the system that the travel agency had filed for Chapter 11 protection. The company's main plan now is to find a buyer for its franchise arm.
"We're operational here as the franchisor," says Kowal. "We continue to offer services. We plan on continuing those services by having more horsepower, having more resources available to us and ultimately growing [the franchise] again."
At press time, ByeByeNow.com (No. 298 in our 2001 Franchise 500®) had received several letters of intent from buyers interested in the franchise. Before the franchise can be sold, the bankruptcy court must approve the deal. After the sale, current ByeByeNow.com franchise agreements will remain valid, and franchisees will have the option of signing with the new franchisor.
On February 20, pet-food delivery franchise Whiskers & Paws Catering Inc. (No. 228 in our 2001 Franchise 500®) filed for Chapter 7 bankruptcy in the United States Bankruptcy Court, District of Nevada.
At press time, the company and its representative were not available for comment. All nongovernmental creditor claims must be filed with the bankruptcy clerk's office by June 27.