Is workers' compensation insurance required for a 360 Painting franchise?
360_Painting Franchise · 2025 FDDAnswer from 2025 FDD Document
You may have to purchase additional coverage, either in dollar limits or types, if required by your state's laws.
Factors that may affect your cost of insurance include the value and age of your equipment, number of employees, your safety record and record of workers' compensation claims, record of liability claims and driving record.
You may purchase this insurance from a vendor of your choice.
- 16.3 Taxes. Franchisee shall promptly pay when due all taxes levied or assessed by reason of its operation and performance under this Agreement including, but not limited to, if applicable, state employment tax, state sales tax (including any sales or use tax on equipment purchased or leased) and all other taxes and expenses of operating the Business.
In no event shall Franchisee permit a tax sale or seizure by levy or execution or similar writ or warrant to occur against the Business, the Vehicles or any tangible personal property used in connection with the operation of the Business.
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 56)
What This Means (2025 FDD)
According to the 2025 360 Painting Franchise Disclosure Document, whether workers' compensation insurance is required depends on state laws. Franchisees may need to purchase additional coverage, either in dollar limits or types, to comply with their state's regulations.
The cost of insurance for a 360 Painting franchise can be influenced by several factors, including the value and age of equipment, the number of employees, the franchisee's safety record, workers' compensation claims history, liability claims record, and driving record. Franchisees have the flexibility to choose their insurance vendor.
Franchisees are also responsible for promptly paying all taxes related to their business operations, including state employment tax and state sales tax, if applicable. They must also ensure that no tax sale or seizure occurs against the business, vehicles, or tangible personal property used in the operation.