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B61/100FDD 2025

OccMed Connect — Litigation & Risk

Health & Wellness - Other · FDD Items 3, 4 & 5

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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
61 / 100
FranchiseVerdict composite
Rating
MODERATE
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
Michigan
State whose law governs disputes — relevant if you're not based there

What drove the 61/100 rating

Risk Score Breakdown

  1. 01MEDNo average net income disclosed in Item 19 — impossible to assess actual profitability despite $252k average revenue
  2. 02MINORDual royalty structure ($10 per patient visit + 7% gross sales) creates unpredictable cost burden with no breakeven analysis provided
  3. 03MEDOnly 10 franchised units with unknown growth trajectory suggests limited system traction and scaling challenges
  4. 04MEDHigh initial investment ($101k–$193k) relative to disclosed revenue with no franchisee earnings claims creates ROI uncertainty
  5. 05HIGHGoing Concern flag is FALSE but franchisor financials not disclosed — raises questions about corporate stability
  6. 06MINORWorkers' compensation niche market creates revenue concentration risk tied to employer health/safety regulations

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.