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A51/100FDD 2025

Bango Bowls — Litigation & Risk

Food & Beverage - Full Service · 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
51 / 100
FranchiseVerdict composite
Rating
STRONG
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
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
New York
State whose law governs disputes — relevant if you're not based there

What drove the 51/100 rating

Risk Score Breakdown

  1. 01MINOROnly 7 units in system with unknown growth trajectory — insufficient scale and unclear expansion momentum
  2. 02MEDNet income not disclosed in FDD — inability to verify profitability claims or validate the $788,784 average revenue translates to actual owner earnings
  3. 03MINORWide investment range ($177K–$614K) suggests inconsistent unit economics or undefined build-out standards
  4. 04MED6% royalty on gross sales (not net) combined with undisclosed net income creates uncertainty about actual franchisee take-home
  5. 05MEDMicro-brand status with minimal track record — only 7 units provides limited data for franchisee success pattern validation

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.