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B65/100FDD 2024

ARCHIVE Contents Restoration — Litigation & Risk

Cleaning - Commercial & Janitorial · FDD Items 3, 4 & 5

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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
65 / 100
FranchiseVerdict composite
Rating
MODERATE
STRONG / MODERATE / CAUTION / AVOID

FDD Items 5, 6 & 17 — what you give up

Contract Risk Indicators

Mandatory arbitration
Not required
You retain the right to sue in court
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
Nevada
State whose law governs disputes — relevant if you're not based there

What drove the 65/100 rating

Risk Score Breakdown

  1. 01MINOROnly 3 units systemwide indicates extremely early-stage or stagnant franchise system with minimal proven scalability
  2. 02MEDNo disclosed average revenue or net income (Item 19 absent) makes ROI validation impossible and prevents informed investment decision
  3. 03MINORHigh initial investment range ($73,650-$200,850) relative to system size raises questions about unit economics and franchisor support capacity
  4. 04MED5-year term is shorter than industry standard (typically 10 years), suggesting either experimental model or franchisor caution
  5. 05MEDNo disclosed growth trajectory for 3-unit system; unclear if system is expanding, stable, or contracting
  6. 06MEDNiche service market (contents restoration) has limited addressable market and may face cyclical demand tied to disasters/insurance claims

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.