As a prospective Caring Senior Service franchisee, what contracts are included as exhibits in the FDD?
Caring_Senior_Service Franchise · 2025 FDDAnswer from 2025 FDD Document
We offer you a franchise agreement (the "Franchise Agreement"), attached to this Disclosure Document as Exhibit B, which gives you the right to establish and operate one Franchised Business at a location mutually approved by you and us (the "Location") within your approved geographic assigned Territory. The Franchise Agreement gives you the right to use the Proprietary Marks and the System solely with the operation of the Franchised Business, and, unless we agree otherwise, solely within your assigned Territory (See Item 12). Each Franchised Business will offer the Services under the Proprietary Marks. You will need approximately 650 to 800 square feet of office space for your Franchised Business, which can be in an executive suite of offices or other acceptable types of offices.
In addition to the establishment of new Franchised Businesses we offer a conversion program under which existing in-home care businesses may convert to a Caring Senior Service® Franchised Business. Conversion Franchised Businesses will receive certain fee reductions through our Conversion Addendum attached as Exhibit K to our form of Franchise Agreement.
Development Addendum
In certain circumstances, we will offer to you the right to acquire development rights under the Development Addendum attached as Exhibit L to our form of Franchise Agreement (the "Development Addendum") to purchase the right to develop additional Franchised Businesses in agreed-upon territories contiguous to your assigned Territory under your first Franchise Agreement (the "Development Territories"). We will mutually agree-upon the additional Development Territories to be purchased before you sign the Development Addendum and they will be included in the Development Agreement.
Source: Item 22 — CONTRACTS (FDD page 53)
What This Means (2025 FDD)
According to the 2025 Caring Senior Service FDD, several exhibits are attached to the disclosure document. Exhibit B is the Franchise Agreement itself, which outlines the terms and conditions of the franchise relationship. Exhibit K is the Conversion Addendum, which provides details on fee reductions for existing in-home care businesses that convert to a Caring Senior Service franchise. Exhibit L is the Development Addendum, which outlines the terms for acquiring development rights to open additional Caring Senior Service franchises in adjacent territories. Exhibit C contains a list of current franchisees, including their names, addresses, and telephone numbers. Exhibit D lists former franchisees who have terminated, canceled, not renewed, or otherwise ceased doing business under the Franchise Agreement, or who have not communicated with Caring Senior Service within 10 weeks of the FDD's issuance date. Finally, Exhibit J is the Franchisee Disclosure Acknowledgment Statement, a compliance questionnaire used to determine if any unauthorized statements or promises were made to the franchisee during the franchise sales process.
These exhibits provide prospective Caring Senior Service franchisees with important information about the franchise system and their contractual obligations. The Franchise Agreement (Exhibit B) is the core document that governs the relationship between the franchisee and Caring Senior Service, outlining the rights and responsibilities of both parties. The Conversion Addendum (Exhibit K) and Development Addendum (Exhibit L) offer opportunities for franchisees to expand their businesses through conversions or by acquiring additional territories.
The lists of current (Exhibit C) and former (Exhibit D) franchisees allow prospective franchisees to conduct due diligence and gather insights from existing and past operators. The Franchisee Disclosure Acknowledgment Statement (Exhibit J) is a tool used by Caring Senior Service to ensure that franchisees are not relying on any unauthorized representations made during the sales process, which helps to protect both the franchisee and the franchisor.
It is important for prospective Caring Senior Service franchisees to carefully review all of these exhibits before making a decision to invest in a franchise. Understanding the terms of the Franchise Agreement, the opportunities for expansion, and the experiences of other franchisees can help prospective franchisees make an informed decision and avoid potential pitfalls.