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D70/100FDD 2025

Onyva — Litigation & Risk

Personal Services - Beauty & Salon · 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
70 / 100
FranchiseVerdict composite
Rating
CAUTION
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
Massachusetts
State whose law governs disputes — relevant if you're not based there

What drove the 70/100 rating

Risk Score Breakdown

  1. 01MINOROnly 1 unit in entire system indicates either pre-revenue startup or severe contraction — no viable comparable data
  2. 02HIGHGoing Concern status is FALSE, suggesting financial instability or inadequate capitalization at corporate level
  3. 03MEDNet income not disclosed despite $1.09M average revenue claim — inability or unwillingness to show profitability raises credibility concerns
  4. 04MINORHigh initial investment ($410k-$808k) combined with unproven single-unit system creates extreme capital risk
  5. 05MINOR$59,500 franchise fee plus royalties on unvalidated revenue model
  6. 06MINORNo growth trajectory visible with only 1 unit — cannot assess system viability or franchisee success pattern
  7. 07MINORProtected territory provides no competitive moat if underlying business model is flawed

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.