What specific performance or operational issues led to the termination of 4 units in 2025, and were these related to a systemic problem or individual franchisee circumstances?
#1
Given the 17.4% termination rate in 2025, what support or corrective measures are being provided to the remaining 19 units to prevent additional terminations?
#2
Why does the franchise agreement include no renewal options after the initial 10-year term? What happens to franchisees at the end of their contract period?
#3
The non-compete clause restricts activity within 10 miles for 2 years post-termination. Can you provide examples of how this has been enforced and what disputes, if any, have arisen from this provision?
#4
Territory is marked as protected but not exclusive. What does 'protected' mean in practice, and are there safeguards against the franchisor placing additional units near existing franchisees?
#5
The transfer fee of $5,000 is significantly lower than the typical range of $8,937.50-$18,437.50 for this category. Are there additional hidden costs or conditions associated with unit transfers that are not disclosed in the fee schedule?
#6
Only 6 of the original 17 units from one year ago remain in the system (35% retention). Can you identify which units were terminated versus closed, and provide the contact information for terminated franchisees so I can understand their experience?
#7
The franchise agreement requires binding individual arbitration in Columbia, Maryland, with class action waiver. What is the typical cost of arbitration for disputes, and have any arbitration cases been filed in the past 3 years?
#8
Item 19 financial performance data is not included in your FDD. Can you provide average gross sales, average unit volume, and net profit data for units in operation for at least the past 2 years?
#9
Why is there no ongoing royalty or advertising fund fee listed? How does the franchisor generate revenue beyond the initial franchise fee and technology fee, and what support services are included?
#10
The contract term of 10 years with zero renewal conditions is below industry standard for sports franchises. How often do franchisor-owned units or test units operate under different renewal terms?
#11
Given the high termination rate, what specific operational, financial, or compliance triggers lead to termination, and what remediation period is offered before termination proceedings begin?
#12
The system grew from 0 units three years ago to 23 units currently. Can you provide month-by-month growth data and clarify when each unit opened to understand growth velocity and which units have actually remained open?
#13
How are the personal guarantee and spouse guarantee requirements enforced in practice? Have any franchisees been pursued for additional payment beyond franchisee-level liability?
#14
What training and ongoing support is provided given the Support & Training score of 76 (below the typical range of 79.0-93.0)? Can you quantify training hours, number of support staff, and frequency of field visits?
#15
The technology fee of $450 is assessed, but the rate structure is unclear. Is this a monthly, annual, or one-time fee, and what specific technology or services are included?
#16
Are there any pending or anticipated litigation cases, regulatory investigations, or disputes involving the franchisor that are not reflected in the current 3-year litigation data?
#17
What is the franchisor's policy on encroachment protection given that the territory is marked as protected but not exclusive? Can you provide a map showing existing unit locations and their protected territories?
#18