B64/100FDD 2025
Big Frog Custom T-Shirts — Litigation & Risk
Business Services - Printing & Signs · FDD Items 3, 4 & 5
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
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
16
Government-backed loans issued
Default rate
10.0%
vs <3% typical · system-wide
5-yr default rate
—
Defaults
1 loans
Loans charged off or defaulted
Total loan volume
$2.2M
Avg loan size
$139K
Participating lenders
9
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
Florida
State whose law governs disputes — relevant if you're not based there
What drove the 64/100 rating
Risk Score Breakdown
- 01HIGHActive litigation with franchisee (Adroit 365) involving breach of contract and conversion claims, with franchisor counterclaim for trademark infringement suggests systemic operational/relationship issues
- 02MEDNet income not disclosed in FDD Item 19 despite $513k average revenue — impossible to assess actual profitability or ROI on $164k-$323k investment
- 03MINORRoyalty structure creates cash flow pressure: $1,200/month minimum ($14,400/year) represents 2.8% of average revenue even before growth, limiting franchisee margins
- 04MINOROnly 74 units system-wide with unknown growth trajectory — insufficient scale and transparency on unit growth/attrition rates
- 05HIGHGoing Concern flag is FALSE (meaning concern exists) — franchisor financial stability questions despite modest unit base
- 06MEDHigh initial investment ($163k-$323k) combined with undisclosed profitability metrics creates unfavorable risk/reward profile
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.