Prep Academy Tutors

Can you provide detailed information about the 1 unit that was terminated in 2024 and the specific reasons for termination under the franchise agreement?

What specific circumstances led to the 1 unit closure in 2024, and was this a franchisor-initiated or franchisee-initiated exit?

Given the 6.25% termination rate in 2024, which is significantly above category norms, what are the most common reasons franchisees have been terminated or have ceased operations?

The franchise has grown from 1 unit to 16 units in 3 years. How many of the original franchisees from the early years (2022-2023) remain in operation today?

Why is the transfer fee ($2,000) substantially lower than the category typical range ($7,400-$20,000), and does this reflect a different transfer approval process?

The franchise agreement includes only 9 termination causes compared to the category typical range of 15-22. What specific defaults or breaches are considered non-curable, and can you provide examples of how these are applied in practice?

How many of the 5 renewal conditions could be difficult for a franchisee to meet, and have any franchisees been denied renewal in the past?

The non-compete clause specifies 50 miles, which is above the category typical range. How is this distance calculated from the franchisee's location, and what happens if a franchisor-approved location is opened within this radius?

Your Financial Performance score (40/100) is well below the category typical range (54-60). Why does the franchise not provide Item 19 financial performance data, and what financial metrics should a prospective franchisee expect to achieve?

Given that the Support & Training score (75/100) is below the category typical range (78.25-97.75), what specific initial training and ongoing support programs are included, and how do they compare to competitors?

The initial and total potential term are both 10 years, which is shorter than the category typical range (15-20 years). Why was this shorter term chosen, and what are the franchisee's renewal options?

Can you clarify the difference between the 5-day and 15-day cure periods mentioned in the termination clause, and which types of defaults fall into each category?

The personal guarantee requirement has unlimited scope. Have there been instances where the franchisor pursued guarantors personally after a franchisee's business closed?

How many current franchisees are within their first 2 years of operation, and what is the survival rate for units beyond year 2?

Given the rapid growth rate (77.78% in the past year), how has the franchisor scaled training, support, and quality control to maintain standards across the expanding network?

Can you provide references from at least 5 franchisees, including at least 2 who opened units within the past 18 months and 2 who have operated for more than 2 years?

What specific indemnification obligations would a franchisee be required to assume, and are there any caps on liability exposure for franchisee indemnification to the franchisor?

The renewal fee is $2,000. Are there any other fees or investments required upon renewal, such as rebranding, equipment upgrades, or system updates?

How does the franchisor's encroachment policy protect existing franchisees, and have any complaints or disputes about encroachment been filed in the past 3 years?