Does Buildingstars make any representations or warranties regarding the potential success of the business?
Buildingstars Franchise · 2025 FDDAnswer from 2025 FDD Document
FRANCHISEE and its guarantors have been advised to make an independent investigation of BUILDINGSTARS' operations. BUILDINGSTARS has not and does not represent that FRANCHISEE can expect to attain a specific level of sales, profits, or earnings. FRANCHISEE and its guarantors have been advised to obtain independent professional advice regarding this franchise. FRANCHISEE and its guarantors understand that it may sustain losses as a result of the operation or the closing of the business. FRANCHISEE and its guarantors understand that the business venture contemplated by this Agreement involves a high degree of financial risk and depends to a large degree on FRANCHISEE'S skills, abilities, initiative, and hard work.
Source: Item 22 — CONTRACTS (FDD page 43)
What This Means (2025 FDD)
According to Buildingstars's 2025 Franchise Disclosure Document, Buildingstars does not make any representations regarding the potential success of the business. The FDD states that Buildingstars has not and does not represent that a franchisee can expect to attain a specific level of sales, profits, or earnings.
Buildingstars advises franchisees and their guarantors to make an independent investigation of Buildingstars' operations and to obtain independent professional advice regarding the franchise. This suggests that prospective franchisees should not rely solely on information provided by Buildingstars and should conduct their own due diligence.
The FDD also states that franchisees understand that they may sustain losses as a result of the operation or closing of the business and that the business venture involves a high degree of financial risk. The success of the business depends largely on the franchisee's skills, abilities, initiative, and hard work. This is a common disclaimer in franchise agreements, as the franchisor cannot guarantee the success of any individual franchise due to the many factors that are outside of their control.