Cereset

Can you provide details about the 1 litigation case filed against Cereset? What was the nature of the dispute, and has it been fully resolved?

The franchise fee of $35,000 is below industry norms for wellness franchises. What does this fee cover, and are there any additional startup costs not reflected in the fee structure?

Why is the royalty rate 8.0% when the typical range for this franchise type is 6.0-7.5%? Is there flexibility to negotiate this rate?

Given the 5-year initial term is half the typical 10-year term for wellness franchises, what are the renewal terms and any associated renewal fees if you want to continue after year 5?

The non-compete radius of 5 miles is significantly below the typical 10-25 miles for this category. How is competitive encroachment managed if another Cereset location opens within this area?

Territory is protected but not exclusive. What does 'protected' mean in practice, and can the franchisor open company-owned or other franchise locations in your territory?

You control only $100,000 in minimum annual gross revenue starting year 2. What is the current average gross revenue per unit, and what percentage of franchisees exceed this threshold?

The 3 cases of units ceasing for 'other' reasons in 2022 and 2023—what circumstances led to these closures, and were any related to the franchisor?

The personal guarantee requirement makes you and your spouse liable for all franchise obligations. Can this be limited or removed during negotiation?

The franchisor controls 6 supplier categories (furnishings, signage, technology, inventory, uniforms, marketing). Are these the only approved suppliers, and what are typical markup percentages on these products?

Late payment interest is set at 18% per annum. Under what circumstances would late payments occur, and is there a grace period before interest accrues?

What does the $195 monthly technology fee cover, and does it include ongoing software updates, customer management systems, and support?

All disputes must be arbitrated in Maricopa County, Arizona. If you operate outside Arizona, what are the practical implications of this requirement for travel and legal costs?

The system grew from 31 to 55 units in 3 years while maintaining consistent unit closures. Are these new units primarily franchises or company-owned locations?

What training and ongoing support are included with the franchise, given the System Health score of 80 (above typical range) and Support & Training score of 90?

Of the 2 units closed in 2021, 2022, and 2023 respectively, how many were franchisor-terminated versus owner-initiated closures?

The Contract Terms score of 48 is significantly below the typical range of 60-65. What specific contract provisions are considered franchisor-favorable, and are any negotiable?

Since there are no renewal options listed, does the franchise agreement allow for any continuation after the 5-year initial term, or would you need to renegotiate entirely?

The transfer fee is $10,000. Does this apply if you sell the business to an approved buyer, and what are the franchisor's approval criteria?