Vending seems like a stable, low overhead, recession proof business, right? Not for Tom’s Foods and their franchisees. They filed bankruptcy last month.

Tom’s Foods Inc. has reported a lender has filed a motion in the New York Supreme Court seeking $60 million plus interest that Tom’s owes it…..

The company has changed hands three times in the past 21 years and hasn’t turned a profit in more than a decade, posting a loss of $3.3 million in 2003 on revenue of $196 million. Tom’s today sells more than 300 snack food products in 43 states. It operates manufacturing plants in California, Florida, Tennessee, Texas and Georgia, including three in Columbus. It employs 1,650 people.

You can look in the back of Entrepreneurship Magazine and see dozens of ads for snack food and candy vending franchises (remember the 6-foot gumball machine?).

Maybe their franchise infrastructure and training have contributed to the problem. Check this out in the FAQ:

5. Am I required to attend any training programs?
No. Tom’s has no requirements that you attend training programs…

No training is required for franchisees? Maybe they give franchisees a magic truck that overcomes any lack of training.

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