Does the All States M.E.D. FDD state that the list of former franchisees includes those who voluntarily ceased to do business under the franchise agreement?
All_States_M_E_D Franchise · 2024 FDDAnswer from 2024 FDD Document
The following is a list of the names, city and state, and current business telephone number, or if unknown, the last known home telephone number of every franchisee who had an outlet terminated, canceled, not renewed, or otherwise voluntarily or involuntarily ceased to do business under the franchise agreement during our most recently completed fiscal year or who have not communicated with us within 10 weeks of the Issuance Date of this Disclosure Document. If you buy this franchise, your contact information may be disclosed to other buyers when you leave the franchise system.
None.
Source: Item 23 — RECEIPTS (FDD pages 44–174)
What This Means (2024 FDD)
According to the 2024 All States M.E.D. Franchise Disclosure Document, Exhibit G-2, the List of Former Franchisees, includes franchisees who "terminated, canceled, not renewed, or otherwise voluntarily or involuntarily ceased to do business under the franchise agreement during our most recently completed fiscal year or who have not communicated with us within 10 weeks of the Issuance Date of this Disclosure Document." The exhibit states that if a prospective franchisee buys the franchise, their contact information may be disclosed to other buyers when they leave the franchise system.
However, the document indicates that there are currently no former franchisees to list. The document states "None." under the list of former franchisees.
Prospective franchisees should be aware that this list provides transparency into the turnover of franchisees within the All States M.E.D. system. While the current list is empty, future FDDs may contain names of former franchisees, offering insights into the stability and success rates within the franchise network.