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B62/100FDD 2025

Window Gang — Litigation & Risk

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

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Elevated Risk

16 cases disclosed in FDD Items 3 and 4.

Source: FDD Items 3–5

FDD Items 3 & 4

Litigation Metrics

Cases disclosed
16
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

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
6
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
$1.8M
Avg loan size
$296K
Participating lenders
5

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

What drove the 62/100 rating

Risk Score Breakdown

  1. 01HIGHActive fraud and breach of contract litigation against franchisor with pattern of prior fraud settlements
  2. 02MINORMultiple governmental consent orders across states for registration and disclosure violations indicating systemic compliance failures
  3. 03MEDNet income not disclosed despite $385K average revenue — opacity suggests marginal or negative unit-level profitability
  4. 04MINORSlow unit growth (12.5% YoY) and only 54 units indicates weak franchisee recruitment and potential satisfaction issues
  5. 05HIGHAffiliate litigation pattern (360 Painting, Rooterman) suggests shared operational/legal problems across corporate family
  6. 06MEDHigh initial investment ($131-242K) combined with 6% royalty creates significant break-even pressure with undisclosed margins

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.