Lower Risk
No litigation cases disclosed in FDD Items 3 and 4.
Source: FDD Items 3–5
FDD Items 3 & 4
Litigation Metrics
Cases disclosed
0
Total from FDD Items 3 and 4
Bankruptcy (Item 4)
—
Franchisor or officer bankruptcy
Overall risk score
72 / 100
FranchiseVerdict composite
Rating
CAUTION
STRONG / MODERATE / CAUTION / AVOID
FDD Items 5, 6 & 17 — what you give up
Contract Risk Indicators
Mandatory arbitration
Required
Disputes resolved outside court — limits your legal options
Jury trial waiver
Waived
You give up the right to a jury trial
Non-compete
2 yrs
Post-termination restriction on similar businesses
Franchisor can compete
Yes
Franchisor can open competing locations in or near your territory
Right of first refusal
Yes
Franchisor can match any purchase offer when you try to sell
Governing law
England and Wales
State whose law governs disputes — relevant if you're not based there
What drove the 72/100 rating
Risk Score Breakdown
- 01MINOROnly 2 units in system indicates minimal scale, validation base, and franchise viability
- 02MINORNo average revenue or net income disclosure prevents ROI assessment and suggests weak financial performance
- 03MINOR20% royalty on gross receipts is extremely high with no income data to justify it
- 04HIGHGoing Concern status = FALSE indicates potential financial distress at franchisor level
- 05MINORUnknown unit growth trajectory suggests stagnation or contraction in a 6-year-old+ system
- 06MINORNo Item 19 financial performance representations limits due diligence and creates opacity
- 07MINORWide investment range ($27.8K–$120K) suggests inconsistent territory valuations or undefined costs
- 08MINOR$0 franchise fee masks high royalty burden and may indicate desperate recruitment strategy
Severity inferred from FDD text — not a regulatory or legal classification
Litigation data from FDD Items 3, 4, and 5. SBA data from public 7(a) FOIA records (FY2020–present). Not legal advice — consult a franchise attorney before signing any franchise agreement.