There was a time, not that long ago, when customers lined up in droves to get a hot Krispy Kreme glazed doughnut. People clamored to purchase franchise rights and throw open the doors as quickly as possible. Life at Krispy Kreme was looking up.
Until everything came crashing down. Stores started to struggle, lawsuits popped up, and U.S. Securities and Exchange Commission investigations were launched.
“The balance sheet was getting out of kilter, and the franchisee relationship started to weaken,†says Jim Morgan, chairman, president, and CEO of Krispy Kreme Doughnuts Inc.
