YESCO

What were the specific reasons for the 1 litigation case filed against YESCO, and has it been resolved? What were the outcomes or settlements?

Can you provide details on the 7 unspecified conditions required for renewal, beyond the $15,000 successor franchise fee, to understand the full renewal obligations?

The ad fund rate of 3.0% is above typical ranges for your category. How is this ad fund utilized, and can you provide performance metrics or examples of campaigns funded?

Why does YESCO not charge a technology fee when the typical range for this category is $100-$500 monthly? What technology support is included with your system?

Of the 7 unit closures over 3 years, how many were due to franchisee non-renewal versus voluntary cessation, and what were the primary reasons cited?

The top quartile sales of $2,486,985 are significantly above typical for your category. What variables (territory size, business type, experience level) correlate with these outlier high performers?

Given the $400,000 minimum revenue requirement within 24 months and a median unit generating $776,958 annually, what percentage of franchisees fail to meet this threshold in year 1-2?

Can you clarify the 'unspecified changes' franchisees must make to renew? What are typical examples, and do these changes require capital investment?

The 2-year, 50-mile non-compete applies to any YESCO business location. How many YESCO locations exist in typical franchise territories, and how does this limit post-exit opportunities?

What is the justification for the 5-day cure period for payment defaults versus 30 days for other breaches? Have many franchisees been terminated under the immediate termination clause for the 19 specified violations?

With 0% terminations recorded, how many franchisees have received cure notices, and what percentage successfully cured versus exited voluntarily?

The transfer fee of $5,000 is below typical ranges. Does this low fee indicate easier transfers, and what conditions must be met for transfer approval?

Personal guarantees with joint and several liability bind spouses to franchise obligations. How frequently have you enforced these guarantees against spouses in default situations?

Can you provide the actual performance data for units in the bottom quartile? What is the failure rate for units generating less than $400,000 in year 1?

The 18% annual interest rate on late payments is at the high end for franchises. What percentage of franchisees experience payment defaults, and how often is this interest applied?

With non-exclusive territory, what prevents YESCO from opening company-owned or franchised units near existing franchisees, and are there case examples of this occurring?

The system has been flat (99 units) for 1 year despite $50,000 franchise fees. Is YESCO actively recruiting new franchisees, and if so, why haven't new units offset closures?

Of the 3 units listed as 'ceased other' in 2023 and 1 in 2024, what do these classifications mean, and do they represent franchisee exit or other circumstances?