Does Chicken Guy make any representations about the past financial performance of company-owned outlets?
Chicken_Guy Franchise · 2025 FDDAnswer from 2025 FDD Document
Potential Franchisee further acknowledges that Chicken Guy has not and will not make representations or warranties as to the potential sales at a Chicken Guy!
Restaurant, and no information supplied by Chicken Guy shall be construed as a prediction of future sales.
Potential Franchisee agrees that neither Chicken Guy
nor its representatives shall have any liability to Potential Franchisee, Potential Franchisee's representatives or any other person resulting from the use of the Confidential Information.
Source: Item 19 — FINANCIAL PERFORMANCE REPRESENTATIONS (FDD pages 46–47)
What This Means (2025 FDD)
According to the 2025 Chicken Guy FDD, Chicken Guy does not make any representations or warranties as to the potential sales at a Chicken Guy Restaurant. The FDD states that no information supplied by Chicken Guy should be construed as a prediction of future sales.
This means that prospective franchisees should not rely on any information provided by Chicken Guy as a guarantee of future financial performance. It is the franchisee's responsibility to conduct their own due diligence and market research to determine the potential profitability of a Chicken Guy franchise in their desired location. This includes analyzing market conditions, competition, and local demographics.
Chicken Guy assumes no liability for a restaurant achieving a certain sales volume or level of profitability. Franchisees bear the risk of estimating potential sales and profitability. This is a common practice in franchising, as the success of a franchise location depends on many factors, including the franchisee's management skills, local market conditions, and competition.