SCOOTER'S COFFEE

What is the nature of the pending litigation case initiated by the franchisor, and what is the expected timeline for resolution?

Can you provide details on the 20 units that closed in 2024 and the 20 units that experienced 'ceased other' exits? What factors contributed to these closures?

The ad fund rate of 4.0% is above the category typical range of 2.0-3.0%. How is this ad fund allocated and deployed, and what measurable return on marketing spend can franchisees expect?

Your Investment Cost score (56/100) falls below the typical range for this category. What explains the higher initial investment requirements for this franchise?

Territory is non-exclusive with no encroachment protection. Can the franchisor open additional Scooter's Coffee locations within 10 miles of my location, and if so, what recourse do I have?

The closure trend shows 0 closures in 2022, 2 in 2023, and 20 in 2024. What operational or market changes in 2024 led to this significant increase in unit closures?

Can you provide the names and contact information for at least 10 franchisees who closed their locations in 2023-2024 so I can understand the reasons for closure?

How many of the 36 transfers in 2024 involved change of ownership versus the same owner opening additional locations?

The franchise agreement requires mandatory binding arbitration with class action waivers. Are there any pending or settled arbitration cases involving multiple franchisees regarding common operational or supply chain issues?

Can you clarify the personal guarantee language? Are guarantees limited to the initial franchise fee and ongoing royalties, or do they extend to all franchise agreement obligations without limit?

What are the 7 specified conditions required for renewal of the franchise agreement, and what percentage of franchisees have successfully renewed versus failed to meet renewal conditions?

You require exclusive purchasing from franchisor-designated suppliers for 8 categories including coffee beans and syrups. Can I see the pricing structure for these required purchases and how it compares to market rates?

The renewal fee is listed as $10,000 or 25% of the then-current initial franchise fee, whichever is greater. What is the current franchise fee trajectory, and could the renewal fee potentially exceed $10,000?

The Financial Performance score (62/100) is above the typical category range. Can you detail how many franchisees are currently profitable, and what is the average payback period for the initial investment?

How many franchisees have exercised their renewal option versus allowed their agreement to expire, and what percentage of franchisees have reached the end of their initial 10-year term?

The System Health score is 90/100, well above the typical range. What specific metrics or operational indicators contribute to this high rating?

Can you provide a breakdown of the 1 case initiated by the franchisor—what was the claim, against which party, and what was the outcome or current status?

Are there any disputes or complaints from franchisees regarding the exclusive purchasing requirements or supplier relationships that have resulted in grievances short of litigation?