When considering a Brightstar Care franchise, did any employee or person representing BrightStar Franchising, LLC make any claims, statements, promises, or representations regarding potential sales, revenues, expenses, earnings, income, or profit levels?
Brightstar_Care Franchise · 2025 FDDAnswer from 2025 FDD Document
| 6. | Did any employee or other person speaking on behalf of BrightStar Franchising, LLC make |
|---|---|
| any statement or promise regarding the costs involved in operating a franchise that is | |
| contrary to, or different from, the information contained in the Disclosure Document? | |
| Check one: () Yes () No. If yes, please comment: | |
| 7. | Do you understand that the estimated initial investment range outlined in Item 7 of the |
| Disclosure Document includes only 90 days of operating expenses for the first Agency you | |
| open and does not include additional working capital for accounts receivables or incremental | |
| working capital needed for opening additional agencies? Check one: () Yes () No. If | |
| no, please comment: | |
| 8. | Except as stated in Item 19, did any employee or other person speaking on behalf of |
| BrightStar Franchising, LLC make any oral, written or visual claim, statement, promise or | |
| representation to you that stated, suggested, predicted or projected sales, revenues, expenses, | |
| earnings, income or profit levels at any BrightStar Franchising, LLC location or business, or | |
| the | |
| likelihood | |
| of | |
| success | |
| at | |
| your | |
| franchised | |
| business? | |
| Check | |
| one: | |
| ( ) Yes ( ) No. If yes, please state in detail the oral, written or visual claim or representation: |
Source: Item 22 — CONTRACTS (FDD pages 117–118)
What This Means (2025 FDD)
According to Brightstar Care's 2025 Franchise Disclosure Document, prospective franchisees are asked to acknowledge whether they received any unauthorized claims regarding potential financial performance. Specifically, the Acknowledgment Addendum to the BrightStar Franchising, LLC Agency Franchise Agreement includes a question for the franchisee to confirm whether any employee or person speaking on behalf of BrightStar Franchising, LLC made any claims, statements, promises, or representations about potential sales, revenues, expenses, earnings, income, or profit levels that were not disclosed in Item 19 of the FDD.
This acknowledgment is crucial because it aims to ensure that franchisees are not relying on any financial projections or promises outside of what is officially provided in the FDD. Item 19 of the FDD typically contains information about the financial performance of existing franchises, if Brightstar Care chooses to include it. By having franchisees acknowledge this, Brightstar Care seeks to protect itself from potential disputes arising from alleged unauthorized financial representations.
The franchisee is required to answer "yes" or "no" to the question. If the franchisee answers "yes", they are instructed to provide details of the claim or representation. This process ensures that both the franchisor and franchisee are aligned on the financial expectations and that the franchisee is not entering the agreement based on potentially misleading information. This addendum is not applicable to franchisees in California, Hawaii, Illinois, Indiana, Maryland, Michigan, Minnesota, New York, North Dakota, Rhode Island, South Dakota, Virginia, Washington, or Wisconsin.
This type of acknowledgment is a common practice in franchising to ensure transparency and protect both parties. It is important for a prospective Brightstar Care franchisee to carefully review and truthfully answer all questions in the Acknowledgment Addendum, as their answers are considered important and Brightstar Care will rely on them.