Freedom Boat Club

What were the specific circumstances of the 1 litigation case filed against the franchisor, and has it been resolved or is it ongoing?

Can you explain the 50-mile non-compete radius, which is notably wider than typical? How does this restriction affect franchisee mobility and territory flexibility?

Why is the initial term only 5 years compared to the industry standard of 10 years, and does this shorter term affect long-term investment viability?

The monthly technology fee of $1,000 is significantly higher than industry norms. What specific services and features are included in this fee, and how is it justified relative to competitors?

Can you provide details on the 17 units that closed in 2024? Were these voluntary exits, non-renewals, or other circumstances?

What factors contributed to the increase in closures from 8-12 units annually in 2022-2023 to 17 units in 2024?

The franchisee must achieve $500,000 in minimum gross revenue in the final 12 months to be eligible for renewal. What percentage of current franchisees meet this threshold, and what happens if they fall short?

Are there any Item 19 financial performance disclosures available, and if not, why does the franchisor not provide this information?

Given the 2-year, 50-mile non-compete clause, what business activities are explicitly prohibited, and are there any exceptions for related services?

How many of the 7 renewal conditions are discretionary versus objective, and can the franchisor decline renewal even if conditions are met?

What is the $100 late payment fee plus Prime interest rate (or higher) applied to, and does this apply to all payment types?

The franchise agreement specifies 8 categories of supplier restrictions. Can you provide the complete list and explain the franchisor's approval process for alternative suppliers?

What are the 20 non-curable defaults listed in the termination clause that allow immediate termination without a cure period?

How does the arbitration requirement affect franchisee rights, and are there any exceptions to mandatory arbitration or class action waivers?

Personal guarantees are required from all owners and spouses. Are there circumstances under which guarantees can be released or reduced?

Of the current 408 units, how many are owned by the same franchisee (multi-unit operators), and are there different renewal requirements or protections for multi-unit owners?

Can you explain why the Financial Performance score is 40/100, and what specific performance metrics or benchmarks should prospective franchisees expect?

What support, training, and marketing assistance is provided given the Contract Terms score of 58/100, which is below typical for the category?

Are there any legal disputes currently pending involving franchisees, suppliers, or regulatory bodies that are not reflected in the disclosed litigation case?

How has the franchisor adjusted its model or support in response to the elevated closure rates in 2024, and what changes are being implemented to improve unit retention?