It does seem like wide-spread deceptive practices, but I am surprised so many people (and lenders) get involved running franchise restaurants considering the well-known problems related to hiring, marketing, pricing, operations, franchise fees, and so on.
Take Subway. It's a dumpster fire, despite its new PE owners promising to turn things around (https://nypost.com/2024/08/14/business/subway-calls-emergenc...). Why would anyone get involved in this kind of business?