Given that Financial Performance scores 40/100 (below the typical range of 42.25-60.0), why does the franchisor not provide Item 19 financial performance disclosures, and what financial metrics should prospective franchisees request?
#1
Investment Costs score 24/100, significantly below the typical range of 75.0. Can you explain the specific costs beyond the $45,000 franchise fee and $250 technology fee that drive total initial investment?
#2
The contract lists 22 termination causes (above typical range of 15.0-21.75). What are the specific non-curable defaults beyond payment defaults that allow immediate termination without a cure period?
#3
Support & Training scores 78/100, below the typical range of 79.0-93.0. What specific training and ongoing support services are provided during the initial setup and first operational year?
#4
The franchise has only 1 operating unit. How long has the franchisor been operating company-owned locations, and what is their track record?
#5
Can you provide references from the single franchisee currently operating a location, or explain why this is not available?
#6
The post-termination non-compete is 2 years within a 15-mile radius or 10 miles of any other franchise location. How is the 10-mile measurement defined, and could it effectively restrict franchisee options?
#7
The agreement requires binding arbitration with class action waivers on an individual basis. What happens if a prospective franchisee disputes the enforceability of this clause?
#8
All owners and spouses must execute personal guarantees. In what scenarios would spouses' personal assets be at risk, and can this guarantee be negotiated?
#9
The franchisor designates exclusive suppliers for 8 categories including food and beverage supplies and pickleball equipment. What are the typical cost markups on these exclusive supplies compared to open-market alternatives?
#10
Renewal requires meeting 7 specified conditions including 'substantial compliance' with the agreement. How is substantial compliance defined, and what specific violations could disqualify renewal?
#11
Given the very small system size (1 unit), how does the franchisor sustain corporate operations, support, and technology infrastructure?
#12
What was the franchisor's experience before launching The Pickle Pad franchise? Do the founders have prior franchise industry experience?
#13
Renewal requires written notice—at what point during the 10-year term must notice be provided, and what happens if notice is missed?
#14
Can you provide the complete list of 22 termination causes in the contract and clarify which ones require a cure period versus immediate termination?
#15
The territory is protected but not exclusive—what restrictions prevent the franchisor from opening competing locations nearby, and what is the enforcement mechanism?
#16
Has the single operating franchisee already paid the transfer fee, or is the $15,000 fee applied only if the unit changes hands?
#17
What was the rationale for pricing this franchise at $45,000 when comparable sports and recreation franchises in this category typically require significantly different investments?
#18
Are there plans to expand marketing and support infrastructure as new franchisees join, or will the current support model remain unchanged?
#19
If the franchise system fails to achieve a certain number of units by a specified date, does the franchisee have any rights or remedies?
#20