TemperaturePro

The franchise fee of $147,500 is significantly higher than the typical range of $45,000-$59,900 for home services franchises. What specific training, equipment, technology, or support justifies this premium pricing?

System Health scores only 10/100, well below the 50-70 typical range. What specific operational or financial metrics does the franchisor track to demonstrate system stability, and what is the current status of these metrics?

The system has declined from 36 units to 27 units over 3 years (25% reduction), with 17.2% turnover in the past year alone. Can you provide detailed exit interview data explaining why franchisees have left, and what changes has the franchisor made in response?

14 units closed over 3 years while only 4 transferred. Are these voluntary closures due to business failure, or is there documentation showing these units remained profitable at the time of closure?

The total potential franchise term is only 10 years with no renewal options. Why does this contract lack renewal provisions that are standard in the industry, and what happens to franchisees' investments when their initial term expires?

Non-compete restrictions extend 60 miles, exceeding the typical industry range of 25-40 miles. How does the franchisor justify this broader geographic restriction, and what compensation is offered if the franchisor terminates a franchise early?

The Investment Costs score is 23/100, far below the typical 74-75 range. Does this reflect hidden costs not disclosed in the franchise fee, and what is the actual total startup investment including working capital and first-month operations?

Financial Performance scores 40/100 and the franchisor provides no Item 19 financial performance data. What is the average unit volume for operating franchises, and can the franchisor provide profitability data for units open 3+ years?

The franchise requires 24/7/365 operations and mandatory purchase of inventory from franchisor or designated suppliers. What percentage of franchisee revenue typically goes to supply purchases, and can franchisees source materials competitively from other vendors?

One case was initiated by the franchisor in the past 3 years. What was the nature of that case, what was the outcome, and are there pending disputes not yet officially filed?

The contract includes binding arbitration with a waiver of class action rights and requires personal guarantees without limitation. If a franchisee disputes terms or performance, how many franchisees are typically pursuing grievances outside formal litigation, and what is the cost of arbitration?

Termination causes count is only 8, below the typical 14-21 range. What legitimate grounds allow the franchisor to terminate franchisees, and can you provide examples of how these have been applied?

Renewal conditions count is 4, below the typical 6-9 range. Given the lack of renewal options in the contract, how does the franchisor address franchisee compliance with renewal-equivalent standards during the 10-year term?

Risk Factors score is 52/100, below the typical 58-76 range. What specific risk mitigation strategies or guarantees does the franchisor offer to protect franchisee investments given the declining unit base?

With a 10.3% transfer rate (above typical), what is the franchisor's process for approving new owners, and what percentage of transfer requests are denied? Are transfer fees refundable if approval is denied?

The ad fund rate is 1.0%. How is this fund deployed across the 27-unit system, and can you provide documentation showing return on investment from marketing spend?

Of the 9 unit losses over 3 years, how many were in the first 3 years of operation versus more established franchises, and what is the survival rate for units operating 5+ years?

The franchisor initiated one case; was this against a franchisee, and if so, what was the outcome and what triggered the dispute?