Pure Glow

The transfer fee of $33,333 is substantially higher than the typical range of $7,500-$20,000 for Health & Beauty franchises. What specific costs or services does this fee cover, and is there any flexibility in this amount for multi-unit operators?

Your median gross sales of $404,578 fall below the typical range for this category. Can you provide a detailed breakdown of average unit volumes by location and year of operation to help explain this variance?

The system has grown 150% in the last year from 2 to 5 units. What are your unit development targets and sales benchmarks for the next 3 years, and how does franchisee performance compare across these newer units?

The franchise agreement requires purchases of proprietary products only from the franchisor or designated suppliers. What is the markup on these products, and do you have price comparison data showing how these costs affect franchisee profitability?

Your non-compete radius of 5 miles is below the typical range of 5.75-25 miles for Health & Beauty franchises. How do you protect existing franchisees from market saturation, and are there any non-compete adjustments for different market densities?

The franchise agreement specifies 18 non-curable defaults resulting in immediate termination. Can you provide the full list of these defaults and explain the reasoning behind making them non-curable versus curable?

Renewal requires payment of a successor franchise fee equal to 25% of the then-current initial franchise fee. If your current fee is $50,000, could the renewal fee potentially increase significantly with future fee adjustments, and is there a cap on renewal fee increases?

Personal guarantees are required from owners with more than 20% ownership, and spouses must also sign liability documents. Can you clarify the extent of spouse liability and whether this requirement applies to all spouse signatures or only those with direct ownership interest?

Given the rapid growth from 2 to 5 units, what is your average franchisee satisfaction and renewal rate to date? Are there any franchisees who have chosen not to renew or who have transferred their units?

The franchise agreement provides only 5 days for cure on payment defaults but 30 days for other defaults. Can you explain the rationale for this disparity, and what happens during the 5-day cure period if a franchisee disputes the payment claim?

Your Ongoing Fees score of 60 falls below the typical range of 62.0. When combined with the 7.0% royalty, 1.0% ad fund, and $375 technology fee, what is the total percentage of gross sales that franchisees typically pay in ongoing fees?

What support and training is provided to new franchisees given the system's small current size of 5 units, and do you have experienced multi-unit franchisees who can serve as mentors?

Can you provide Item 19 financial performance data broken down by unit age (e.g., units in operation less than 1 year, 1-3 years, 3+ years) to better understand typical ramp-up periods?

The franchise agreement mentions 5 categories of supplier restrictions for proprietary products. What are these categories, and what percentage of a franchisee's typical operating costs are subject to these restrictions?

With zero litigation cases reported, can you explain whether this reflects a lack of disputes or a policy of settling disputes confidentially? Are there any pending disputes not yet reflected in public records?

The initial term is 10 years with 2 renewal options of 5 years each. Are there any performance conditions that must be met to qualify for renewal beyond the listed 8 conditions, and what happens if a franchisee fails to meet these conditions?

What is the average investment required beyond the $50,000 franchise fee to open a Pure Glow location, including buildout, inventory, equipment, and working capital, and does this align with the Investment Costs score of 58?

Can you provide a list of all mandatory purchases and ongoing fees that are not included in the royalty, ad fund, or technology fee categories to ensure accurate financial projections?

Given the exclusive territory protection, what is the typical geographic size of a territory, and how is territory size determined for different market types (urban versus suburban)?

The post-term non-compete prevents operating businesses providing tanning services and/or skincare. Does this restriction apply equally to all business types, or are there specific skincare services that would not be restricted?