Lviv Croissants

The technology fee of $500/month is significantly higher than the typical range of $75-$300 for this franchise category. What specific technology services and systems are included in this fee, and how is it justified relative to competitors?

Your transfer fee of $5,000 is notably lower than the typical range of $7,500-$17,500. Under what circumstances would a franchisee need to pay this fee, and what approvals or conditions apply to transfers?

The ad fund rate of 1.0% is below the typical 1.5%-3.0% range. How is the ad fund allocated, and can you provide documentation of how it was spent in the past 12 months?

Your franchise fee of $20,000 is below the typical $30,000-$40,000 range for Food & Beverage franchises. Does this lower fee reflect a newer system, or are there additional costs not captured in this initial fee?

The non-compete restriction of 3 miles is significantly narrower than the typical 5.0-23.75 mile range. Can you explain the rationale for this limited geographic restriction, and does this create encroachment risk?

With only 1 current unit and 0 units 1 year and 3 years ago, how long has this franchise been operating, and what is your growth strategy for expanding the system?

The agreement requires personal guarantees with unlimited joint and several liability from all owners. What protections are available to franchisees against personal asset seizure, and are there insurance recommendations?

The operational control clause requires purchases from franchisor-approved suppliers only across 8 categories. Can you provide a detailed list of approved suppliers and the pricing structure compared to open-market alternatives?

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

The renewal conditions include a $5,000 succession fee and requirement to upgrade to current standards within the renewal term. What does 'current standards' mean operationally, and what upgrade costs should franchisees anticipate?

Can you provide the contact information and experience profiles for all current and former franchisees, including the single unit currently operating?

Item 19 (financial performance data) is not provided. Can you explain why financial performance data is not available, and would you be willing to provide representative unit economics?

With zero litigation cases reported, have there been any disputes, complaints, or issues with franchisees that were resolved outside formal litigation?

The 6-month to 1-year advance notice requirement for renewal means commitment decisions must be made well before term expiration. What happens if a franchisee provides notice of non-renewal—are there any clawback provisions or ongoing obligations?

The agreement includes spouse guarantees in community property states. In what states is this franchise currently operating, and how aggressively is this spousal guarantee provision enforced?

Can you explain the $5,000 renewal fee structure—is this a one-time fee per renewal, or are there additional costs associated with meeting the 6-12 month advance notice and operational conditions?

Territory is described as 'protected but not exclusive.' What protections does this provide against the franchisor opening competing units nearby, and have any franchisees requested additional territorial clarification?

The initial term is 10 years with 1 renewal option (total 20 years). After the renewal option expires, what are the franchisee's exit options, and does the franchisor have the right to repurchase or reclaim the territory?