GoMobile Tires

Can you provide details on the single case initiated against the franchisor? What was the nature of the dispute and what was the outcome or current status?

The system grew from 21 to 64 units (44.98% CAGR) in 3 years. What specific strategies or market conditions drove this exceptional growth, and is this growth rate expected to continue?

With a 0% three-year turnover rate, what factors contribute to unit retention? Are there any franchisees who have expressed plans to exit or not renew?

The Transfer Fee of $20,000 is significantly higher than the automotive industry typical range of $4,500-$13,750. What justifies this premium transfer fee, and does it discourage unit transfers?

Your Ad Fund Rate of 5.0% is 2.5-6.7 times higher than typical for automotive franchises (0.75-2.0%). How is this higher ad fund deployed, and what specific marketing results does it generate?

Technology Fee of $499/month places your system at the upper end for automotive franchises. What specific technology platforms and tools does this fee cover, and can franchisees opt out of any components?

The contract specifies 22 termination causes, compared to the automotive typical range of 13-18. Can you clarify which 4-9 additional causes you include and how they differ from standard automotive franchise agreements?

Renewal requires payment of a successor agreement fee equal to 50% of the then-current initial franchise fee. Given current growth trajectory, how much would a franchisee expect to pay for renewal in year 10?

The contract requires minimum gross revenue targets at each anniversary. What are the specific revenue thresholds for the first 5 years, and what happens if a franchisee falls short of these targets?

Post-term non-compete restrictions apply for 24 months within 25 miles of the territory or any GoMobile Tires location. How many GoMobile Tires locations currently exist, and how do these overlapping restrictions affect a franchisee's ability to pursue other opportunities after exit?

Personal guarantees are required from all entity owners, and spouses of married franchisees must sign personal guaranty agreements. Can you explain the scope of personal liability and potential exposure for franchisees?

All disputes must be resolved through mandatory binding arbitration in Washington County, Oregon. Do you provide any alternative dispute resolution options, and what are typical arbitration costs?

Support & Training score is 69/100, below the typical automotive range of 80-100. What specific training and ongoing support does the franchise provide, and how does it compare to competitor offerings?

The three 2024 exits included 1 closure, 1 termination, and 1 transfer. What were the specific reasons for the closure and termination, and were these initiated by the franchisor or the franchisee?

Late payment penalties include a 5% monthly late fee (60% annually) plus 18% annual interest. Has this penalty structure been enforced, and how many franchisees have incurred late fees in the past 12 months?

The franchise does not provide Item 19 financial performance data. Can you provide audited or verified financial performance data for established units (2+ years old) broken down by unit age and geography?

Territory is marked as exclusive with encroachment protection. How is encroachment defined in your contract, and have there been any disputes regarding encroachment or territory overlap?

The initial franchise fee is $40,000 with estimated ongoing monthly costs of at least $499 (technology) + royalties + ad fund. What is the estimated total first-year investment including equipment, inventory, and working capital?

System expansion accelerated significantly in years 2-3. What percentage of recent unit additions were company-operated vs. franchisee-operated, and what is your target unit count for the next 3 years?