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B56/100FDD 2025

Playful Pack — Litigation & Risk

Personal Services - Pet Care · 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
56 / 100
FranchiseVerdict composite
Rating
MODERATE
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
2
Government-backed loans issued
Default rate
—
vs <3% typical · system-wide
5-yr default rate
—
Defaults
0 loans
Loans charged off or defaulted
Total loan volume
$325K
Avg loan size
$163K
Participating lenders
1

FDD Items 5, 6 & 17 — what you give up

Contract Risk Indicators

Mandatory arbitration
Not required
You retain the right to sue in court
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
No
Right of first refusal
Yes
Franchisor can match any purchase offer when you try to sell
Governing law
Virginia
State whose law governs disputes — relevant if you're not based there

What drove the 56/100 rating

Risk Score Breakdown

  1. 01MINORNo Item 19 (Average Net Income) disclosure — cannot verify actual profitability claims against $774,883 average revenue
  2. 02MINOROnly 9 units system-wide with unknown growth trajectory — indicates nascent/stalled expansion
  3. 03MINORMinimum royalty of $300/week ($15,600/year) creates fixed cost burden even during low-revenue months
  4. 04MEDHigh investment range ($286k-$489k) relative to disclosed average revenue provides narrow margin of safety
  5. 05HIGHGoing Concern status is FALSE — unclear if this means the franchisor lacks going concern or if data is simply unavailable
  6. 06MED10-year term locks franchisees into long commitment with limited historical performance data

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.