Next Day Access

The franchisor has initiated 8 lawsuits against franchisees or other parties—what are the nature and outcomes of these cases, and are there any ongoing disputes affecting current franchisee operations?

Two cases are currently pending—what are the details of these pending litigations, when do you expect resolution, and could they impact franchise operations or support?

Your franchise fee of $73,000 and royalty rate of 8.0% are both above industry standards for home services—how are these higher fees justified relative to franchisee returns and support provided?

The non-compete clause extends 100 miles from the former location for 2 years—what is the business rationale for this unusually broad geographic restriction compared to industry norms of 25-40 miles?

Territory is marked as protected but not exclusive with no encroachment protection—what does 'protected' specifically mean operationally, and can the franchisor place other Next Day Access units within my territory?

Your system grew 78.6% in the past year (22 net new units)—how are you managing franchisee support, training, and quality control during this rapid expansion phase?

What were the specific reasons for the 2 unit closures/non-renewals in 2024, and are there any patterns or common factors among the 5 total exits since 2022?

Financial data shows average sales of $1.38 million but median sales of $737,438—what explains this wide dispersion, and what sales levels are achievable in different market conditions or territories?

The franchise agreement contains 20 non-curable defaults resulting in immediate termination without notice—can you provide the complete list of these defaults, and has this termination clause been enforced against franchisees?

Personal guarantees are required from all shareholders, members, and their spouses with unlimited liability—what recourse do franchisees have if they believe the guarantee terms are inequitable or if circumstances change?

You have zero terminations recorded and a 7.1% non-renewal rate—are departing franchisees required to sell their business back to the franchisor, or can they sell to qualified third parties without franchisor approval?

The $10,000 renewal fee is charged every 10 years—are there any other material changes to terms, fees, or conditions when a franchise renews that franchisees should anticipate?

With 50 total units currently, how many franchisees are profitable, and what is the average payback period for initial investment across your system?

The support and training score of 73 is below industry standards—what specific initial training, ongoing support, and field support services are included, and are there additional costs?

Given the 2 pending litigation cases and 8 prior franchisor-initiated suits, are there any claims or disputes that could result in material changes to franchise operations or financial performance?

The franchise agreement mentions a post-term non-compete restriction within a 75-mile radius—how does this coordinate with the 2-year 100-mile non-compete, and which restriction applies in what circumstances?

Are franchisees required to purchase products, services, or technology from designated suppliers, and what percentage of gross revenue typically goes to franchisor-controlled revenue sources?

The system's Item 19 shows significant sales variation by territory—what demographic, market, or geographic factors most strongly correlate with the performance of top-quartile vs. bottom-quartile franchisees?