FranchiseVerdict
Tumble Fresh Coin Laundry logo
B65/100FDD 2026

Tumble Fresh Coin Laundry — Litigation & Risk

Cleaning - Commercial & Janitorial · FDD Items 3, 4 & 5

Back to overview

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
65 / 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
Minnesota
State whose law governs disputes — relevant if you're not based there

What drove the 65/100 rating

Risk Score Breakdown

  1. 01MEDNet Income not disclosed in FDD — impossible to verify profitability claims or calculate true ROI against $1.08M-$2.72M investment range
  2. 02MINOROnly 17 units system-wide with unknown growth trajectory — insufficient scale and unclear expansion momentum raises sustainability concerns
  3. 03MEDHigh capital requirement ($1.08M-$2.72M) paired with undisclosed net income creates extreme uncertainty about payback period and break-even timeline
  4. 04MINOR6% royalty on gross sales (not net) means franchisees pay royalties even during unprofitable months, compounding financial risk
  5. 05MINORExtremely wide investment range ($1.6M spread) suggests inconsistent site costs, build-out standards, or lack of predictable economics

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.