The franchise fee of $74,000 is notably higher than the typical range of $39,500-$54,625 for this category. What specific items, training, and support are included in this premium fee that justify the additional cost?
#1
The ad fund rate of 4.0% exceeds the typical range of 1.0-2.5%. How is this additional advertising fund allocated, and can franchisees see a detailed breakdown of how it was spent in the past 12 months?
#2
Your technology fee of $125 monthly is below the typical range. Does this fee cover all required software, systems, and technology platforms, or are there additional technology costs not included in this amount?
#3
What was the specific nature of the 1 franchisor-initiated litigation case filed in the past 3 years, and what was the outcome or current status?
#4
Your average gross sales of $1,308,326 significantly exceed the typical range. Can you provide Item 19 data broken down by unit location type, franchisee experience level, and tenure to better understand which units achieve these higher sales?
#5
What are the 16 non-curable defaults listed in the franchise agreement that allow for immediate termination, and how often have these been invoked?
#6
The renewal fee is $7,500 after the initial 10-year term. What are the 9 specified renewal conditions, and what are typical renovation or refurbishment costs required to meet the mandatory updating requirements?
#7
Can you provide details on the minimum annual sales requirements (Annual Performance Requirements) mentioned in the financial obligations clause and the consequences if a franchisee falls short?
#8
How many of the current 194 units have exercised renewal options, and are there any patterns in which units choose not to renew?
#9
The 2-year, 25-mile non-compete is described as covering 'any business offering products or services relati...' - can you clarify the full scope of this restriction and provide examples of businesses that would be prohibited?
#10
Of the 4 transfers in 2024 and 3 in 2023, were any initiated due to financial difficulty or performance issues, and what is the typical selling price for an existing 101 Mobility franchise?
#11
What supplier restrictions are most significant (specification, brand, approved supplier, or single-source purchasing), and how do these affect the franchisee's ability to manage costs?
#12
The late payment interest rate is 18% per annum according to financial obligations. What are the payment terms, grace periods, and frequency of payments required?
#13
Can you provide the cure periods for each of the 4 curable defaults mentioned (ranging from 10-30 days) and explain what constitutes each type of violation?
#14
Personal guarantees are required from all owners without limitation. In the event of franchisee default, has the franchisor pursued personal guarantees against individual owners, and are there limitations on this practice?
#15
What mandatory franchisor-established programs or services is a franchisee required to participate in, and what are the associated costs?
#16
Are there any encroachment issues where multiple 101 Mobility franchises are located very close to each other, and how does the franchisor manage territory overlap?
#17
The system grew from 188 to 194 units in 3 years (3.1% growth). What is the franchisor's target growth rate, and how many units does it plan to open in the next 5 years?
#18