Is Holdco's guaranty of performance for Beef O Bradys included in Exhibit A?

According to Beef O Bradys's 2025 Franchise Disclosure Document, Holdco's guaranty of performance is included in Exhibit A. Specifically, Holdco, which is FSC Franchise Holdings LLC, provides an absolute and unconditional guarantee to assume Beef O Bradys's duties and obligations under the Franchise Agreement if Beef O Bradys becomes unable to perform them.

For a prospective franchisee, this guaranty offers a level of security. It means that if Beef O Bradys, as the franchisor, encounters financial or operational difficulties that prevent it from fulfilling its obligations to franchisees, Holdco is legally bound to step in and ensure those obligations are met. This could include providing ongoing support, maintaining brand standards, and upholding the terms of the franchise agreement.

Exhibit A of the FDD includes the audited financial statements of both Beef O Bradys and Holdco as of December 31, 2024, December 31, 2023, and December 31, 2022. Reviewing these financial statements will allow a prospective franchisee to assess the financial health and stability of both Beef O Bradys and Holdco, providing further insight into the strength of the guaranty. This is a valuable aspect for franchisees to consider, as it mitigates some of the risks associated with the franchisor's potential inability to perform.