D72/100FDD 2024
DoodyCalls — Litigation & Risk
Personal Services - Pet Care · 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
72 / 100
FranchiseVerdict composite
Rating
CAUTION
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
33.3%
vs <3% typical · system-wide
5-yr default rate
100.0%
Defaults
1 loans
Loans charged off or defaulted
Total loan volume
$2.1M
Avg loan size
$132K
Participating lenders
4
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 72/100 rating
Risk Score Breakdown
- 01MEDNet income not disclosed in FDD — cannot assess actual profitability or ROI; $392k revenue does not guarantee acceptable earnings
- 02MINORMinimum Royalty Fee structure not specified — franchisees could owe 7.5% of revenue regardless of profitability, creating cash flow pressure
- 03MEDHigh initial investment ($64-83k) relative to disclosed average revenue ($392k) yields thin margins if net income is materially lower than gross
- 04MINORRapid unit growth (19.4% YoY) without profitability disclosure raises sustainability concerns — growth may mask franchisee struggles
- 05MINORNo Item 19 (Earnings Claims) means franchisor provides zero financial performance guarantees; results highly variable and unverified
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.