Clarifying My Independent Contractor Relationship with Burgerim
In the franchise industry, transparency and trust are essential. This page provides complete clarity regarding my limited consulting relationship with Burgerim and addresses recent questions.
Development Manager – Qargo Coffee
I am an entrepreneur and franchise development professional with extensive experience in the food and beverage industry. Throughout my career, I have worked with multiple brands as an independent consultant, providing franchise development expertise to help companies expand their operations.
My passion lies in creating innovative restaurant concepts that combine quality, efficiency, and unique customer experiences. This vision led me to manage Qargo Coffee, a distinctive coffee shop franchise that utilizes shipping containers as a signature design element, creating both pop-up and full-size café locations.
With Qargo Coffee, I am committed to building a franchise system that prioritizes transparency, ethical practices, and most importantly, franchisee success. Our business model focuses on providing franchisees with comprehensive support, proven systems, and a unique brand that stands out in the competitive coffee market.
My approach to franchising is rooted in integrity and accountability. I believe a franchisor's success is measured by its franchisees' success. Transparency in all business dealings is not just good practice. It's essential.
A fresh approach to coffee franchising featuring innovative shipping container design and premium beverage offerings.
Learn Moreinfo@qargocoffee.com
(786) 913-9991
Miami, FL
Understanding the true nature of the relationship
My relationship with Burgerim was strictly as an independent contractor through Mark Bastorous LLC, providing limited franchise development consulting services.
I was never an employee of Burgerim. I held no executive position, no management role, and no operational control within the company.
The relationship ended in 2019 following a contractual payment dispute. I was a creditor owed money for services rendered, not a corporate insider.
A clear chronology of the relationship
Franchise Development Services Agreement Signed
Mark Bastorous LLC entered into an independent contractor agreement to provide limited franchise development consulting services to Burgerim.
Limited Consulting Services Provided
Performed specific consulting tasks as outlined in the agreement, with no involvement in corporate management, operations, or strategic decisions.
Notice of Default Issued
A formal Notice of Default was issued through legal counsel after Burgerim failed to satisfy significant payment obligations for services rendered under the consulting agreement.
Relationship Terminated
Following the payment dispute, the consulting relationship ended. I had no further involvement with Burgerim after this date.
Focus on Qargo Coffee
Developed Qargo Coffee, building a franchise system based on transparency, ethical practices, and franchisee success.
In 2019, a contractual dispute arose regarding payments owed to Mark Bastorous LLC under the Franchise Development Services Agreement. Through legal counsel, a formal Notice of Default was issued after Burgerim failed to satisfy significant payment obligations for services rendered under the agreement.
The dispute related to compensation owed under the consulting contract. As a result, the relationship ended in 2019. Since that time, I have had no involvement with Burgerim.
This clarifies that the relationship concluded as a commercial dispute between independent business entities, not involvement in Burgerim's corporate management or governance.
Complete transparency: Review the actual contracts and legal notices
Signed May 26, 2017
Demonstrates independent contractor relationship, limited scope, and no employment status
Issued May 3, 2019
Legal notice documenting payment dispute and demonstrating creditor status, not insider relationship
These documents are provided in full to demonstrate the limited, independent contractor nature of the relationship and the commercial dispute that led to its termination. I encourage anyone with questions to review the complete documents.
Complete clarification of the relationship
In the franchise industry, transparency and trust are essential. As the Development Manager of Qargo Coffee, I believe it is important to address questions that have recently been raised regarding my prior business relationship with Burgerim.
In 2017, through my independent entity, Mark Bastorous LLC, I entered into a Franchise Development Services Agreement to provide consulting services related to franchise development activities. This relationship was structured strictly as an independent contractor engagement and did not involve employment or a corporate management role within Burgerim.
It is also important to note that the consulting agreement was executed through a separate legal entity, Mark Bastorous LLC. My activities were limited to consulting services typical of third-party franchise development consultants in the franchise industry.
It is critical to understand what this relationship was not:
Under the agreement, I provided limited consulting services specifically related to franchise development activities, as outlined in the contract. These services were performed on an independent contractor basis, with clear boundaries and limited scope.
The relationship ended in 2019 following a contractual payment dispute. Burgerim failed to satisfy payment obligations for services I had rendered under the consulting agreement. A formal Notice of Default was issued through legal counsel. This dispute clearly establishes that I was a creditor owed money for services provided, not a corporate insider or member of management.
Since the termination of the consulting relationship in 2019, I have had no involvement whatsoever with Burgerim. Qargo Coffee is a completely separate entity with no connection, affiliation, or relationship with Burgerim or any of its entities.
Qargo Coffee was founded with the intention of building a responsible franchise system based on transparency, strong operations, and long-term franchisee success. At Qargo Coffee, we are fully compliant with FTC regulations and committed to:
Regarding Prior Franchise Industry Activities and Item 2 Disclosure
This statement is submitted to clarify the nature of Mark Bastorous' prior activities relating to Burgerim and to explain why those activities were reasonably understood not to fall within the disclosure requirements of Item 2 of the Federal Trade Commission Franchise Rule.
In 2017, Mark Bastorous, through his independent entity Mark Bastorous LLC, entered into a Franchise Development Services Agreement with Burgerim Group USA. The agreement contemplated independent contractor services related to franchise development activities within a defined territory.
The services performed under the agreement were typical of third-party franchise development consultants operating in the franchise industry and were not structured as employment or corporate management roles within the franchisor organization.
The agreement was executed through Mark Bastorous LLC, a separate legal entity. Mr. Bastorous did not hold any officer, director, partner, or executive title within Burgerim or any affiliated franchisor entity.
The agreement did NOT provide Mr. Bastorous with:
Mr. Bastorous' activities were limited to assisting with franchise development efforts and related consulting services.
In 2019, after disputes arose regarding payments owed under the agreement, legal counsel for Mr. Bastorous' entity issued a formal Notice of Default to Burgerim.
The notice asserted that Burgerim had failed to satisfy contractual payment obligations under the development agreement, including amounts owed for franchise development services and related contractual compensation.
As a result, the relationship became a commercial dispute between independent business entities regarding unpaid contractual obligations. Mr. Bastorous' entity was effectively acting as a creditor seeking payment for services rendered rather than as a participant in Burgerim's corporate management or franchisor governance.
Item 2 of the FTC Franchise Rule requires franchisors to disclose certain individuals associated with the franchisor, including:
Because Mr. Bastorous' prior activities with Burgerim were performed as an independent contractor through a separate entity and did not involve corporate management responsibility within the franchisor organization, it was reasonably understood that these activities did not fall within the scope of Item 2 disclosure requirements.
When Qargo Coffee prepared its Franchise Disclosure Document, the company acted in good faith and based its disclosures on its understanding of the FTC Franchise Rule and the nature of Mr. Bastorous' prior activities.
There was no intent to omit or conceal information from prospective franchisees.
Qargo Coffee remains fully committed to transparency and regulatory compliance. To the extent regulators believe that additional clarification regarding prior franchise industry consulting activities would enhance disclosure transparency, the company is prepared to expand such disclosures in future Franchise Disclosure Documents.
Respectfully submitted,
Mark Bastorous
Development Manager – Qargo Coffee, Inc.
This statement demonstrates that Mark Bastorous' prior activities with Burgerim were conducted as an independent contractor through a separate legal entity, without corporate management authority, and concluded in a commercial payment dispute where he was a creditor, not an insider. Qargo Coffee has acted in good faith and remains committed to full transparency and regulatory compliance.
Development Manager – Qargo Coffee
We believe in complete transparency. If you have any questions about this clarification or about Qargo Coffee, please don't hesitate to reach out.
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