B64/100FDD 2026
ameriCARE / AMLI Care — Litigation & Risk
Health & Wellness - Senior Care · FDD Items 3, 4 & 5
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
64 / 100
FranchiseVerdict composite
Rating
MODERATE
STRONG / MODERATE / CAUTION / AVOID
7(a) FOIA data · FY2020–present
SBA Loan Performance
Aggregated from public SBA 7(a) loan disclosures. Default rate is the share of loans that were charged off or settled for less than the full balance.
Total 7(a) loans
22
Government-backed loans issued
Default rate
0.0%
vs <3% typical · system-wide
5-yr default rate
—
Defaults
0 loans
Loans charged off or defaulted
FDD Items 5, 6 & 17 — what you give up
Contract Risk Indicators
Mandatory arbitration
Required
Disputes resolved outside court — limits your legal options
Non-compete
1 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
Georgia
State whose law governs disputes — relevant if you're not based there
What drove the 64/100 rating
Risk Score Breakdown
- 01MINORSystem declining 20% YoY (8 units) suggests significant franchisee dissatisfaction or market contraction
- 02HIGHGoing Concern status is FALSE — franchisor may face financial/operational viability issues
- 03MEDNo average revenue or net income disclosed (Item 19) — impossible to assess profitability or ROI
- 04MINORHigh franchise fee ($189k) combined with territory-based royalty structure (1/3 of collections) creates unclear earnings model
- 05MINORConfusing royalty structure (1/3 of collections + 6% of gross sales for pilot) lacks transparency and may incentivize aggressive billing
- 06MINOROnly 8 remaining units limits peer validation and suggests potential system failure trajectory
- 07MINOR10-year term is lengthy given declining unit count and unproven unit economics
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.