If I request it, what kind of written substantiation will Alloy provide for the financial performance representation?
Alloy Franchise · 2025 FDDAnswer from 2025 FDD Document
Our management prepared this financial performance representation based on information provided by our affiliate and franchisee CRM system that we believe to be reliable. None of the revenue or gross sales information for our Affiliate Operating Facilities or Franchisee Facilities has been audited. Written substantiation for the financial performance representation will be made available to the prospective franchisee upon reasonable request.
Other than the preceding financial performance representation, we do not make any financial performance representations. We also do not authorize our employees or representatives to make any such representations either orally or in writing. If you are purchasing an existing outlet, however, we may provide you with the actual records of that outlet. If you receive any other financial performance information or projections of your future income, you should report it to the franchisor's management by contacting Suzanne Robb at 2500 Old Alabama Road, Suite 24, Roswell, Georgia 30076 or 678-430-8610 or at suzanne@teamalloy.com, the Federal Trade Commission, and the appropriate state regulatory agencies.
Source: Item 19 — FINANCIAL PERFORMANCE REPRESENTATIONS (FDD pages 57–62)
What This Means (2025 FDD)
According to Alloy's 2025 Franchise Disclosure Document, written substantiation for the financial performance representation will be made available to prospective franchisees upon reasonable request. This means that Alloy has documentation to support the financial claims made in Item 19 of the FDD, and you, as a potential franchisee, have the right to review it.
It is important to note that the financial performance representation provided by Alloy is based on information from their affiliate and franchisee CRM system, which Alloy believes to be reliable. However, the FDD also states that none of the revenue or gross sales information for the Affiliate Operating Facilities or Franchisee Facilities has been audited. This means the data has not been verified by an independent accounting firm.
Besides the financial performance representation in Item 19, Alloy does not authorize its employees or representatives to make any other financial performance representations, either orally or in writing. However, if you are considering purchasing an existing Alloy outlet, the franchisor may provide you with the actual records of that specific outlet. If you receive any financial performance information or projections that are not included in Item 19, you should report it to Alloy's management, the Federal Trade Commission, and the appropriate state regulatory agencies.