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F80/100FDD 2022
Sasquatch Strength® — Litigation & Risk
Health & Fitness · FDD Items 3, 4 & 5
Moderate — Review
1 case disclosed in FDD Items 3 and 4.
Source: FDD Items 3–5
FDD Items 3 & 4
Litigation Metrics
Cases disclosed
1
Total from FDD Items 3 and 4
Bankruptcy (Item 4)
—
Franchisor or officer bankruptcy
Overall risk score
80 / 100
FranchiseVerdict composite
Rating
AVOID
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
1
Government-backed loans issued
Default rate
0.0%
vs <3% typical · system-wide
5-yr default rate
0.0%
Defaults
0 loans
Loans charged off or defaulted
Total loan volume
$255K
Avg loan size
$255K
Participating lenders
1
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
Washington
State whose law governs disputes — relevant if you're not based there
What drove the 80/100 rating
Risk Score Breakdown
- 01MEDOnly 5 units system-wide indicates extremely limited track record and scaling capability
- 02HIGHActive litigation (June 2022) involving lease assumption disputes suggests franchisor-franchisee relationship strain
- 03HIGHGoing Concern = False status is a critical warning sign of financial instability
- 04MINORNo average revenue or net income disclosure prevents ROI validation on $359,575-$493,000 investment
- 05MED6.5% royalty on undisclosed revenues means franchisees cannot model profitability or breakeven
- 06MINORLack of Item 19 financial performance representations eliminates accountability and comparability
- 07MINOR5-year term with protected territory may lock franchisees into underperforming relationship
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.