FranchiseVerdict
RADIANT WAXING logo
B63/100FDD 2026

Radiant Waxing — Litigation & Risk

Personal Services - Beauty & Salon · FDD Items 3, 4 & 5

Back to overview

Moderate — Review

2 cases disclosed in FDD Items 3 and 4.

Source: FDD Items 3–5

FDD Items 3 & 4

Litigation Metrics

Cases disclosed
2
Total from FDD Items 3 and 4
Bankruptcy (Item 4)
—
Franchisor or officer bankruptcy
Overall risk score
63 / 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
9
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
$4.5M
Avg loan size
$502K
Participating lenders
5

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
Colorado
State whose law governs disputes — relevant if you're not based there

What drove the 63/100 rating

Risk Score Breakdown

  1. 01MINORDeclining unit count (-1.7% YoY) suggests system contraction and potential saturation or operational issues
  2. 02HIGHActive consolidated litigation by franchisee group (Kathleen Martin et al.) indicates systemic disputes over contract terms or franchisor practices
  3. 03MEDNet income not disclosed in Item 19 prevents ROI validation; only revenue ($554,671 avg) is transparent, making profitability assessment impossible
  4. 04MINORHigh initial investment ($432k-$708k) combined with 6% royalty creates elevated break-even threshold with unclear path to positive returns
  5. 05HIGHCompleted trademark infringement litigation (Aesthetica LLC) signals potential brand identity vulnerabilities and legal exposure
  6. 06HIGHGoing Concern status is False, which may indicate financial stress at corporate level affecting franchisee support

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.