Bottom line
- Total investment $168K – $395K including a $50K franchise fee.
- Average unit revenue of $551K/year.
- Rated CAUTION with a risk score of 73/100.
- Emerging franchise — only 1 year of franchising with 0 units. Early-stage systems carry higher risk but may offer better territory availability.
Item 1 · who you're contracting with
The Franchisor
Yale framework · single-unit ROIC
Returns Analysis
Pulls Item 7 (investment) and Item 19 (revenue) from this brand's FDD into the Yale unlevered-ROIC formula. Override any input to stress-test it against your own assumptions.
The model · Yale framework
What would one Intelligent Assistant unit return on the cash you put in?
Unlevered ROIC · per unit
25%
Below typical band (30–60%)
Levered LBO scenario · Yale Crease Capital framing
What would 25 Intelligent Assistant units return on equity?
Equity IRR · 5-yr
49.9%
7.57× MOIC
Year-1 DSCR
1.88×
EBITDA ÷ debt service
Equity required
$772K
on $3.9M purchase
Total debt
$3.1M
SBA $1.9M + senior + seller note
Overview
About
Franchisees appear to operate intelligent assistant/AI-related service businesses, though the specific service delivery model, customer acquisition method, and day-to-day operations are not detailed in available materials. The vague business model combined with zero disclosed operating units raises serious questions about whether the concept has proven commercial viability.
Item 7 · what it costs
The Vitals
Item 19
Financial Performance
Item 20 · unit dynamics
The Growth Chart
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 10 states with active franchisees
The Territory Map
Derived from franchisee contact records. Shows states with at least one current operator — not where the franchisor is registered to sell new units (that data is re-extracting in a future refresh).
States derived from franchisee phone area codes (Item 20). Approximate — ported numbers may show the original state, not the franchisee's current location.
Government records
SBA Loan Data
Aggregated from SBA 7(a) loan disclosures, public data unique to FranchiseVerdict.
No SBA loan data available for this brand.
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
This franchise presents extreme risk due to going concern status, 29-year litigation history involving FTC and state regulators, zero disclosed units, missing profitability data, and a franchisor with apparent chronic compliance failures in sales practices.
Score breakdown · what drove the 73 / 100 rating
- 01HIGHGoing concern status is FALSE — indicates the franchisor itself may be financially unstable or operationally uncertain
- 02HIGHExtensive litigation history spanning 29 years (1993 FTC injunction, Maryland 1996, California 2021 & 2022) suggests chronic compliance issues with franchise sales practices and potential predatory patterns
- 03MEDZero disclosed franchise units with unknown growth trajectory — impossible to validate system health, franchisee success rates, or market viability
- 04MINORNo average net income disclosure violates Item 19 transparency standards and prevents ROI validation on $168k-$395k investment
- 05MEDHigh royalty burden (greater of 6% or $500-$1,000/month minimum) with undisclosed average revenues makes profitability unpredictable
- 06HIGH35-year term is unusually long and locks franchisees into relationship with litigation-prone franchisor for over 3 decades
- 07MINORFranchise fee ($49,500) represents 29-30% of minimum investment, suggesting franchisor revenue-dependent on recruitment rather than franchisee success
Severity inferred from the FDD text · not a regulatory classification
FDD Items 5, 6, 12, 17 · continued from Risk & Legal
Contract & Territory Detail
Item 11
Training & Operations
Item 20
Franchisee Contacts
Phone numbers extracted directly from this brand's FDD Item 20. After purchase, you'll also receive a list of validation questions tailored to this brand.
Franchisee contacts
10 numbers
One-time purchase · CSV download · Validation questions included
FDD download
Intelligent Assistant · FDD (2025) PDF