![i4 Search Group logo](https://cdn.brandfetch.io/i4searchgroup.com/w/128/h/128/fallback/lettermark?c=<img src="https://cdn.brandfetch.io/domain/apple.com?c=1idsvcTjLv919Ax0E2s" alt="Logo by Brandfetch" />){kind=small}
A54/100FDD 2025
i4 Search Group — Litigation & Risk
Business Services - Staffing · 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
54 / 100
FranchiseVerdict composite
Rating
STRONG
STRONG / MODERATE / CAUTION / AVOID
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
Ohio
State whose law governs disputes — relevant if you're not based there
What drove the 54/100 rating
Risk Score Breakdown
- 01MEDNo Item 19 financial performance data disclosed (average revenue and net income not provided) — impossible to assess ROI on $65k-$351k investment
- 02MINORHigh royalty rate of 14% on gross sales (not net profit) creates cash flow pressure, especially in early years
- 03MED39 total units is a small system with limited brand recognition; while growing 26.7% YoY, absolute growth is modest (~9 units added)
- 04HIGHNo going concern status disclosed — suggests potential franchisor financial instability or recent changes in ownership/structure
- 05MINORWide investment range ($65k-$351k) indicates high variability in startup costs with unclear cost drivers and lack of transparency
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.