Salad House

The technology fee of $677/month significantly exceeds the typical range of $200-$500 for fast casual restaurants. What specific technology systems and services does this fee cover, and are there any additional technology costs beyond this monthly charge?

Your unit growth rate of 53.9% in the past year and 30.5% 3-year CAGR substantially exceed typical growth rates for this category. What is driving this accelerated growth, and is this pace sustainable based on current franchise development pipeline?

The non-compete radius of 25 miles exceeds the typical range of 5-20 miles for fast casual concepts. How is this 25-mile radius defined (from the franchisee's location, franchisor headquarters, or other reference point), and what geographic limitations would apply if you wanted to open another restaurant after exiting?

With zero litigation cases in the franchise system history, have there been any disputes or conflicts with franchisees that were resolved outside of formal litigation, and if so, what were the primary issues?

The system has zero unit exits (closures, terminations, or transfers) since 2021. Can you explain why the turnover rate is 0.0%—is this because all franchisees are performing well, or are there other factors such as long-term contracts or recent franchise launches?

Median unit volumes (MUV) are reported as $1,516,079 and average as $1,612,384. How many units reported these figures, what is the range of actual unit sales performance, and which locations are most and least profitable?

What are the specific circumstances under which a franchisee can be terminated for cause, and have any franchisees ever been terminated for breach of contract?

The franchise fee is $40,000 and renewal fee is $2,000. Are there any additional costs due at renewal beyond the $2,000 fee, such as required equipment upgrades, training, or system updates?

Can you provide details on the 4 legal clauses scored as franchisor-favorable (post-term restrictions, dispute resolution, liability/indemnification, and operational control)? Specifically, how restrictive are supplier requirements, and what happens if you want to use an alternative supplier not on the approved list?

Dispute resolution requires non-binding mediation followed by binding arbitration in Union County, New Jersey. If you operate outside New Jersey, what are the practical implications of this venue requirement, and have disputes been resolved through this process?

Personal guarantees are required from each owner and their respective spouse. Can this guarantee be limited to a specific amount, and what is the spouse's liability if they are not actively involved in franchise operations?

What support and training are provided during the initial launch period, and what ongoing training or operational support is included in the 6.0% royalty versus what is charged separately?

The 2-year non-compete applies to any business offering fresh salads, soups, wraps, and related products. Does this restriction apply to all food service formats (e.g., catering, corporate meals, ghost kitchens), or only to brick-and-mortar locations?

Are there any financial performance guarantees or minimum sales thresholds that franchisees are expected to meet in their first year, and what happens if a unit underperforms?

What percentage of current franchisees have renewed their agreements, and have any franchisees chosen not to renew (and if so, what were their reasons)?

Can you provide a breakdown of the advertising fund usage and demonstrate how the 2.0% ad fund is allocated between local franchisee marketing, systemwide campaigns, and administrative costs?

What is the typical time to profitability for a new unit, and at what point do most franchisees recover their initial investment?

Are there any plans to expand the geographic footprint significantly, and how might rapid system growth affect territory exclusivity and market saturation for existing franchisees?

What operational metrics (labor costs, food costs, customer acquisition costs) are tracked and shared with franchisees, and how do individual unit economics compare to the reported systemwide averages?

Are there any restrictions on how you can operate during the renewal period—for example, must you agree to updated standards or system changes as a condition of renewal?