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B62/100FDD 2025

RoofAid USA — Litigation & Risk

Home Services - 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
62 / 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
Indiana
State whose law governs disputes — relevant if you're not based there

What drove the 62/100 rating

Risk Score Breakdown

  1. 01MEDNo average revenue or net income disclosed in FDD (Item 19 missing or incomplete) — impossible to assess unit economics or ROI potential
  2. 02MEDOnly 7 units system-wide with modest 16.7% YoY growth suggests early-stage brand with unproven scalability and limited peer support network
  3. 03MINORWide royalty range (3-8%) based on undefined 'prior years gross receipts' creates unpredictable cost structure and potential disputes over tier classification
  4. 04MINORHigh initial investment ($121.5K-$272.2K) combined with unknown profitability creates significant financial risk for franchisees
  5. 05MINORSmall unit count limits ability to cross-validate financial claims or obtain candid feedback from multiple franchisees

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.