Grasons

Can you provide detailed information about the 1 litigation case reported in the 3-year period, including the parties involved, nature of the dispute, and outcome?

What specific reasons were cited for the 3 franchisor-initiated terminations in 2024? Were these related to performance metrics, compliance issues, or other factors?

Given that the termination rate of 5.0% exceeds the typical range for this franchise type (0.0-3.83%), what are the primary violations or performance issues leading to franchise terminations?

Why do median gross sales of $162,980 fall significantly below the typical range of $217,409-$904,622 for comparable franchises? Can you explain this performance gap?

What is the distribution of sales performance across the franchise system? How many units fall into the bottom quartile ($31,916) versus top quartile?

Can you provide the Item 19 financial performance data, including the number of franchisees reporting sales figures and the breakdown by unit age and location?

The system has grown 30.4% in the past year. How sustainable is this growth rate, and what is the franchising pipeline for the next 12-24 months?

Given the 2-year non-compete clause with no mileage radius specified, how is the non-compete distance determined and enforced in practice?

How does the franchisor define and enforce the 'protected' territory designation when the territory is not exclusive? What encroachment protections are guaranteed?

What support does the franchisor provide to struggling units, particularly those performing at bottom quartile sales levels of $31,916?

Can you explain the personal guarantee requirement that binds spouses to franchise obligations? Under what specific circumstances has the franchisor enforced these personal guarantees?

What is included in the $250 monthly technology fee, and how has this fee changed or is it expected to change over the franchise term?

Of the 14 new units added in the past year, how many are conversions versus new territory development? What is the average time to profitability for new units?

What were the circumstances of the 1 closure and 1 'ceased other' unit in 2022, and the 3 closures in 2024? Were these franchisee-initiated or franchisor-directed?

How many units were transferred in 2022 (2 units shown), and were these transfers completed smoothly or were there disputes regarding transfer approval?

What is the average length of time franchisees operate before exiting the system? Do longer-tenured franchisees have higher retention rates?

Can you provide historical Item 19 data from prior years to show sales trends and whether median performance is improving or declining?

What happens to franchisees who do not renew at the end of the 10-year initial term? Is the non-renewal rate truly 0.0% or are renewals essentially mandatory?

Given the System Health score of 80/100 (above typical range), what specific metrics drive this rating? What operational standards underpin this strong score?

What is the actual cost of business ownership when accounting for all fees (royalty, ad fund, technology) plus typical operating expenses? Can you provide a sample P&L statement?