What is the franchisee confirming when signing the Franchisee Representations document for a 7 Brew franchise?
7_Brew Franchise · 2025 FDDAnswer from 2025 FDD Document
Important Instructions: Brew Culture Franchise, LLC ("we," "us," or "our") and you are ready to sign a Franchise Agreement for the development and operation of a 7 BREW Store (the "Store") and a Development Rights Rider for the development and operation of multiple 7 BREW Stores. This document's purpose is to determine whether any statements or promises were made to you that we have not authorized, that do not appear in or are inconsistent with our franchise documents, and/or that may be untrue, inaccurate, or misleading. We also want to be sure that you understand certain terms of the agreements you will sign and their ramifications. Please review each of the following statements carefully and do not sign this document if it contains anything you think might be untrue. If you sign this document, you are confirming the truth of what it says. In addition, if you sign it, we will take actions in reliance on the truth of what it says.
Initial the spaces after the statements to confirm your understanding and the accuracy of the statements.
Source: Item 23 — RECEIPTS (FDD pages 83–279)
What This Means (2025 FDD)
According to the 2025 Franchise Disclosure Document, the Franchisee Representations document for 7 Brew is used to confirm that no unauthorized statements or promises have been made to the franchisee that are inconsistent with the franchise documents. By signing this document, the franchisee acknowledges the truth of the statements within it, upon which 7 Brew will rely. This document is not used if the franchise is to be operated in, or the franchisee is a resident of, California, Hawaii, Illinois, Indiana, Maryland, Michigan, Minnesota, New York, North Dakota, Rhode Island, South Dakota, Virginia, Washington, or Wisconsin.
The document requires the franchisee to initial various statements to confirm their understanding and accuracy. These statements cover a range of topics, including the franchisee's independent investigation of 7 Brew, their understanding of the risks involved, and an acknowledgement that actual results may vary and cannot be predicted by 7 Brew. The franchisee also confirms that they have had ample opportunity to discuss the agreement with advisors and contact existing franchisees.
Furthermore, the franchisee confirms that they understand the franchise agreement licenses rights for only one store at a specified location, and that no exclusive territorial rights are granted unless specified in a Development Rights Rider. They also acknowledge that 7 Brew has not provided any guarantees regarding income, sales volume, or profitability, except as provided in Item 19 of the FDD. By initialing and signing this document, the franchisee affirms their understanding of these key aspects of the franchise agreement and their independent assessment of the business opportunity.