Dessert Mango Mango

The termination rate of 8.3% is 7-8 times higher than the typical range for this type of franchise. What are the primary reasons franchisees are being terminated, and what specific defaults have triggered these terminations?

Can you provide details on the 4 units closed in 2024 and 3 units terminated that year? Were these due to franchisee performance issues, market conditions, or other factors?

The franchise fee of $30,000 is $5,000-$10,000 below the typical range. Is this a promotional rate, and if so, for how long will it be available?

Median gross sales of $568,680 are approximately 27% below the typical range for this category. What percentage of franchisees fall below the bottom quartile of $222,695, and what is the typical payback period?

With a 5-year initial term, franchisees have only one 5-year renewal option for a maximum of 10 years. How do you support long-term franchisee planning with such a short total potential term compared to the 20-26 year typical range?

The non-compete clause restricts any business selling freshly prepared desserts within 25 miles for 2 years. How strictly is this enforced, and have there been any legal disputes regarding non-compete violations?

The agreement lists 26 non-curable defaults that allow immediate termination. Can you provide examples of these defaults and clarify which operational issues trigger termination without a cure period?

What remodeling and refurbishment requirements apply at renewal with no cost cap specified? What is the typical cost franchisees should budget for renewal-related facility improvements?

The royalty rate of 4.0% is below the typical 5.0-6.0% range. Are there any additional per-unit fees, marketing assessments, or contribution requirements not reflected in this rate?

Given the elevated turnover, can you provide information on franchisee profitability and average unit volumes for top performers versus those that exited?

Of the 36 current units, how many are in their initial term versus renewal period, and what is the renewal rate for units that have reached the end of their initial 5-year term?

The agreement requires use of only authorized suppliers. What is the markup or margin structure on mandated supplies, and how much of the unit's COGS typically comes from franchisor-designated suppliers?

What specific pricing controls does the franchisor exercise over menu items, and how frequently are price changes mandated?

The franchisor reserves discretion to require spouse guarantees. What percentage of franchisees have been required to provide spousal personal guarantees, and under what circumstances?

With territory being protected but not exclusive, what does this mean operationally—can the franchisor open other Dessert Mango Mango locations within a franchisee's territory?

The renewal fee is capped at $5,000, but renewal conditions include unspecified remodeling costs. What is the average total renewal cost franchisees should expect?

How many of the 3-year zero litigation cases involve arbitration or disputes that were settled outside formal filing, and what does the dispute resolution process require?

The system has grown from 29 units (3 years ago) to 36 (current), a 24% growth rate. Are new units performing as well as early units, given the declining sales metrics?

Given the 8 exits (closures and terminations) in the past year on a base of 32-36 units, what support or intervention programs exist to prevent underperforming franchisees from failing?