FranchiseVerdict
ASP - AMERICA’S SWIMMING POOL COMPANY logo
A28/100FDD 2025

Asp - America’s Swimming Pool Company — Litigation & Risk

Home Services - Other · FDD Items 3, 4 & 5

Back to overview

Moderate — Review

1 case disclosed in FDD Items 3 and 4.

Source: FDD Items 3–5

FDD Items 3 & 4

Litigation Metrics

Cases disclosed
1
Total from FDD Items 3 and 4
Bankruptcy (Item 4)
—
Franchisor or officer bankruptcy
Overall risk score
28 / 100
FranchiseVerdict composite
Rating
STRONG
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
60
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
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
Maryland
State whose law governs disputes — relevant if you're not based there

What drove the 28/100 rating

Risk Score Breakdown

  1. 01HIGHActive litigation (April 2024) involving breach of contract and post-termination obligations suggests franchisor enforcement issues or franchisee disputes
  2. 02MINORSlow unit growth of 4.3% YoY in a mature 391-unit system indicates market saturation or franchisee underperformance
  3. 03MEDNo Item 19 (Financial Performance Representations) disclosed — cannot verify if average $146,355 net income is achievable for median franchisees
  4. 04MINORTiered royalty structure creates misalignment: franchisees earning $100k+ pay lower rates, suggesting franchisor may struggle at lower revenue tiers
  5. 05MINORHigh initial investment ($84k-$210k) relative to median net income ($146k) means 7-14 month payback period with zero margin for error

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.