What is the significance of the date April 22, 2025, in relation to the 360 Painting financial statements?
360_Painting Franchise · 2025 FDDAnswer from 2025 FDD Document
For value received, Premium Service Brands, LLC, a Delaware limited liability corporation located at 126 Garrett Street, Suite J, Charlottesville, VA 22902 (the "Guarantor"), absolutely and unconditionally guarantees to assume the duties and obligations of 360 Painting, LLC, a limited liability corporation located at 126 Garrett Street, Suite J, Charlottesville, VA 22902 (the "Franchisor"), under its franchise registration in each state where the franchise is registered, and under its Franchise Agreement identified in its 2025 Franchise Disclosure Document, as it may be amended, and as that Franchise Agreement may be entered into with franchisees and amended, modified or extended from time to time. This guarantee continues until all such obligations of the Franchisor under its franchise registrations and the Franchise Agreement are satisfied or until the liability of Franchisor to its franchisees under the Franchise Agreement has been completely discharged, whichever first occurs. The Guarantor is not discharged from liability if a claim by a franchisee against the Franchisor remains outstanding. Notice of acceptance is waived. The Guarantor does not waive receipt of notice of default on the part of the Franchisor. This guarantee is binding on the Guarantor and its successors and assigns.
The Guarantor executes this guarantee in Charlottesville, VA on the 28th day of April, 2025.
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 56)
What This Means (2025 FDD)
Based on the 2025 Franchise Disclosure Document, the date April 22, 2025, is not explicitly mentioned. However, the document does reference the date April 28, 2025, as the date Premium Service Brands, LLC executed a guarantee of performance for 360 Painting, LLC's obligations under its franchise registration in the State of Virginia and its franchise agreements. This guarantee ensures that Premium Service Brands, LLC will assume the duties and obligations of 360 Painting, LLC under its franchise registration in each state where the franchise is registered, and under its Franchise Agreement identified in its 2025 Franchise Disclosure Document.
This guarantee remains in effect until all obligations of 360 Painting, LLC under its franchise registrations and the Franchise Agreement are satisfied or until the liability of 360 Painting, LLC to its franchisees under the Franchise Agreement has been completely discharged, whichever occurs first. The guarantor, Premium Service Brands, LLC, is not discharged from liability if a claim by a franchisee against 360 Painting, LLC remains outstanding.
Prospective franchisees should note that this guarantee provides an additional layer of security, as Premium Service Brands, LLC is committed to fulfilling 360 Painting's obligations. This could be particularly important in the event of financial difficulties or other challenges faced by 360 Painting, LLC. The FDD states that notice of acceptance is waived, but the Guarantor does not waive receipt of notice of default on the part of the Franchisor.