[Item 7: ] ESTIMATED INITIAL INVESTMENT

• 1. All fees paid to us pursuant to this Franchise Disclosure Document are uniform and nonrefundable. Fees paid to vendors or other suppliers may be refundable depending on the vendors and suppliers.
• 1. We discuss the Initial Franchise Fees in detail in Item 5 of this Franchise Disclosure Document.
• 1. This estimate is for the cost of two (2) people to attend initial training in the Bellingham, Washington area. You are responsible for the travel and living expenses, wages, and other expenses incurred by your trainees during initial training. The actual cost will depend on your point of origin, method of travel, class of accommodations, and dining choices. You are not always required to attend in-person initial training and, thus, may have no costs associated with pre-opening travel expenses and living expenses while training.
• 1. A physical office is not required for an Augusta Lawn Care Business, however, you can have one if you would like.
• 1. An additional vehicle, to the extent you have a personal vehicle, is not required for an Augusta Lawn Care Business, however, you can have one if you would like.
• 1. You must purchase certain initial inventory as we require in the Manual or otherwise in writing, from Approved Suppliers.
• 1. The estimate includes the cost of acquiring business licenses and permits. Your costs will vary depending upon your Augusta Lawn Care's location.
• 1. You are required to spend between $10,000 and $30,000 towards Grand Opening advertising.
• 1. You must purchase certain computer equipment as we require in the Manual or otherwise in writing, from Approved Suppliers. This estimate does not include transportation or set-up charges.
• 1. You must obtain and maintain, at your own expense, the insurance coverage we require and satisfy other insurance-related obligations. The amounts listed in this table reflect our estimate of basic insurance for your first month of operation, and is based upon the experience of our

[Item 8: RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES]

ITEM 8 RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES

You must operate your Augusta Lawn Care Business according to our System and specifications. Except as described below, however, we do not require you to purchase or lease goods, services, supplies, fixtures, equipment, inventory, or real estate for your Augusta Lawn Care Business from us or any affiliate, or an Approved Supplier.

Approved Products and Services

You may only market, offer, sell, and provide the approved services, as well as any related merchandise and other products that we authorize for sale in conjunction with the Approved Products and Services. We will provide you with a list of our then-current Approved Products and Services, along with their standards and specifications, as part of the Manuals or otherwise in writing prior to the opening of your Franchised Business. We may update or modify this list in writing at any time.

If you wish to offer any product or service in your Franchised Business other than our Approved Products and Services, or use any item in connection with your Franchised Business that does not meet our System standards and specifications, then you must obtain our prior written approval as described more fully in this Item.

Approved Suppliers

While we do not currently do so, we have the right to require you to purchase any items or services necessary to operate your Franchised Business from a supplier that we approve or designate (each, an "Approved Supplier"), which may include us or our affiliate(s). If we choose to do so, we will provide you with a list of our Approved Suppliers in writing as part of the Manuals or otherwise in writing, and we may update or modify this list as we deem appropriate.

We may develop proprietary products for use in your Franchised Business, including private-label products that bear our Marks, and require you to purchase these items from us or our affiliate(s).

[Item 23: RECEIPTS]

(h) Augusta Lawn Care (or its designee) has an option to replace You as lessee under any equipment lease or note for equipment that is used in connection with the Augusta Lawn Care Business. Upon request by Augusta Lawn Care, You shall give Augusta Lawn Care or its designee copies of the leases for all equipment used in the Augusta Lawn Care Business immediately upon termination. Upon request by Augusta Lawn Care, You shall allow Augusta Lawn Care and/or its designee the opportunity, at a mutually satisfactory time, to inspect the leased equipment. Augusta Lawn Care must request the information and access described in this paragraph within fifteen (15) days after termination. It must advise You of its (or its designee's) intention to exercise the option within fifteen (15) days after it has

Source: Item 9 — FRANCHISEE'S OBLIGATIONS (FDD pages 20–21)