A31/100FDD 2026
Best Option Restoration — Litigation & Risk
Cleaning - Commercial & Janitorial · 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
31 / 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
50
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
3 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
Colorado
State whose law governs disputes — relevant if you're not based there
What drove the 31/100 rating
Risk Score Breakdown
- 01MEDNet income not disclosed in FDD Item 19 — impossible to validate profitability claims against $718k average revenue
- 02MINORExplosive 46.9% YoY unit growth (72 units) suggests rapid expansion that may outpace operational infrastructure and franchisee support quality
- 03MINORHigh royalty floor ($500-$1,500/month minimum) creates $6k-$18k annual fixed costs regardless of sales performance — risky for startup phase
- 04MINORWide investment range ($186k-$231k spread of $44.5k) indicates inconsistent unit economics or territory-dependent costs with no explanation
- 05MED10-year term is long-term commitment with limited exit clarity given rapid growth phase and potential market saturation
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.