American Bridge Releases #Bad4AZ Doug Ducey Ad (video)

Doug Ducey

Doug Ducey

American Bridge, who recently release a detailed report about Tea Party Republican gubernatorial candidate Doug Ducey, has released a new Ducey web ad with the theme “Bad for Arizona.”

Ironically, a @Bad4AZ social media campaign with memes such as the one above was launched about two weeks ago on Twitter, Tumblr, and Facebook. Either great minds think alike or it’s just that obvious that Ducey is bad for Arizona. Spread the word @Bad4AZ or @Good4AZ or on Tumblr here. Video and more after the jump.

From American Bridge…

Former Cold Stone Creamery CEO Doug Ducey will have his first debate with Fred DuVal tonight, and DuVal better be prepared for anything. As in, anything at all, true or false.

Ducey has run his campaign largely on the back of his business record — but his real business record is sprinkled with problems, so he’s prone to misrepresent it.

Ducey has repeatedly bragged about building his ice cream empire without any help from the government. But that doesn’t have a lick of truth to it. The reality is that Cold Stone Creamery got millions of dollars in Small Business Administration loans and defaulted on around 40% of those loans — a remarkably high rate.
So whatever Doug Ducey says tonight [Sept 10 debate] just remember, the real scoop might come out later.


  1. Well, Bob, the truth is that, in general, franchises suck to own. The agreements are always set up to favor the parent corporation and the failure rates are a lot higher than anyone imagines. McDonalds, for instance enjoys a 20% average profit margin while its franchisee’s profit most often runs in the single digits. And McDonald’s franchises DO fail, dispite what most people think. If the “Gold Standard” of franchises has a dark side, what can you expect from the rest of the field?

    The truth is Ducey should shut up about his business savvy because his record isn’t that good. But the point I was making is that, relatively speaking, it isn’t as bad as it is being made out to be. Take any franchise and you have about a 50-50 chance their SBA loan failure rate will be worse. Now that is only SBA loans; I have no idea about bank loans for which there are no public records.

    • I agree with you factually, Steve, that franchises do suck to own. I’ve looked at these as an attorney, both at the front end, where I’ve been appalled at how rich the deals tend to be the franchisors and how pushy they are to get the franchisee to sign, and at the back end, where I’ve been asked to help clean up the mess.

      So, yes, Ducey should shut up about his business savvy. But it’s more than that. You excuse him a bit on the basis that franchises often fail. Another angle, based on my experience, is that his sleaze factor is consistent with the sleaze factor in the franchise industry generally, which means he’s, well, sleazy.

      The upshot? What you’re saying actually could be true without rendering the ad misleading. The ad never said, or even suggested, he was the only franshisor out there screwing his franchisees, did it?

      • You got me with that. I have no witty reposte’. I am on the losing end of this argument so I am going to pick up my marbles and go home…at least on this subject. ;o)

  2. I keep reading about this 40% SBA loan failure rate of Duecy’s franchises as if it was somehow extraordinary and unusual. I have stated that it is not unusual only to told I was an idiot. Well, let’s put it in perspective. Here are some other franchises and their SBA loan failure rates:

    Carvel Ice Cream – 57%
    Johnny Rockets – 56%
    Dollar Discount Stores – 56%
    Country Kitchen – 54%
    Fuddruckers – 52%
    Econo-lube – 50%
    Lee Myles Transmissions – 50%
    Blimpies Subs – 46%
    Quiznos Subs – 44%
    Cold Stone Creamery – 42%
    Honey Baked Ham – 40%
    McDonalds – 20%
    Church’s Fried Chicken – 20%

    Keep in mind that I only picked out the franchises I thought people would recognize. There were more than 150 franchises with a higher SBA failure rate than Cold Stone.

    The point is that franshises of any type are a risky venture. Those who lose their franchise are always bitter and looking for someone to blame. The ads may tell a truth, but they are misleading as to what they mean about Duecy. By SBA standards, his franchise was more successful than many.

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