WSI (Digital Marketing)

The franchise fee of $69,700 is above the typical range for this category. What specific services, training, or support justify this premium pricing compared to competitors?

Unit count declined from 178 to 154 over 3 years (-4.71% CAGR). What are the primary reasons franchisees are choosing not to renew, and has the franchisor implemented changes to improve renewal rates?

The non-compete agreement is 1 year and 25 miles, below the typical 2-year standard. Can you clarify why this is shorter and how it protects your business post-exit?

Renewal requires satisfying 10 conditions compared to the typical 5-8. Can you provide the complete list of these 10 renewal conditions and explain any material upgrades or system changes required?

The termination clause permits 15 non-curable defaults with immediate termination. Can you provide examples of these 15 non-curable defaults and explain what circumstances would trigger immediate termination without cure opportunity?

Personal guarantees are required from all direct and indirect shareholders regardless of ownership percentage. If you have passive investors or multiple owners, are they all required to personally guarantee the franchise agreement?

All suppliers must have prior written franchisor approval. How long is the approval process, what approval criteria apply, and are there approved vendor lists or exclusive suppliers?

The franchisor may set maximum and minimum pricing restrictions on products and services. Can you provide examples of current pricing restrictions and explain how pricing flexibility is managed?

Item 19 financial performance data is included. What is the average unit volume (AUV), average gross sales, and what percentage of units achieve or exceed these averages?

No litigation has been reported in 3 years, which is positive. Can you confirm whether there have been any disputes, complaints, or regulatory actions not captured in formal litigation?

Closed units peaked at 30 in 2022 but declined to 12 in 2024. What specific changes did the franchisor implement between 2022-2024 to improve unit retention?

30 units closed in 2022 and 23 ceased for other reasons. Can you clarify what 'ceased other' means and provide the underlying reasons for these closures?

The 1-year non-compete is much shorter than industry standard. Is there a reason the franchisor accepted a 1-year instead of 2-year non-compete, and would they consider extending it?

Technology fee is $475 annually. What specific technology, software, and digital tools does this fee cover, and how is it adjusted for inflation or new service additions?

With no territorial protection, what prevents the franchisor from opening competing units nearby or selling to competitors in your area?

The renewal fee is $5,000 for a 10-year renewal. Are there additional capital expenditure requirements to upgrade systems, equipment, or materials upon renewal?

The transfer fee is $11,000. Can you explain the approval criteria for transferring the franchise to another party and the circumstances under which the franchisor might deny a transfer?

Termination rate is 1.9%, which is relatively low. Can you identify the specific defaults that have triggered terminations and whether any were disputed by franchisees?

What training, ongoing support, and marketing assistance is included, given that Support & Training scores well (87/100) despite declining unit count?

Given the Investment Cost score of 71 compared to a typical range of 75, what factors caused this score variance and what additional investment costs should franchisees anticipate?