What is the franchisee of Craters & Freighters assuring regarding reliance on claims or representations?
Craters_Freighters Franchise · 2025 FDDAnswer from 2025 FDD Document
Except as listed in ITEM 19 of the Craters & Freighters Franchise Company Franchise Disclosure Document, no oral, written, visual or other claim or representation (including but not limited to charts, tables, spreadsheets or mathematical calculations to demonstrate actual or possible results based on a combination of variables, such as multiples of price and quantity to reflect gross sales, or otherwise), which stated or suggested a specific level or range of actual or potential sales, costs, income, expenses, profits, cash flow, tax effects or otherwise (or from which such items might be ascertained) from Craters & Freighters Franchise Company franchised businesses, was made to me by any person or entity, nor have I relied in any way on any such claim or representation, except as follows:
Source: Item 23 — RECEIPTS (FDD pages 50–193)
What This Means (2025 FDD)
According to Craters & Freighters' 2025 Franchise Disclosure Document, the franchisee assures that they have not relied on any claims or representations regarding potential sales, costs, income, expenses, profits, cash flow, or tax effects, except as explicitly stated in Item 19 of the FDD. This includes assurances that no oral, written, visual, or other claims suggesting specific financial results were made to them by any person or entity, and that they have not relied on any such claims.
This assurance is part of a broader statement the franchisee makes to Craters & Freighters, acknowledging that the company is relying on the franchisee's statements. This is to ensure there are no misunderstandings or legal violations related to the franchise agreement. The franchisee is essentially confirming that their decision to invest in a Craters & Freighters franchise is based on the information provided in the FDD and their own independent evaluation, rather than any external promises or guarantees of financial performance.
For a prospective Craters & Freighters franchisee, this means they should carefully review Item 19 of the FDD, which contains the company's financial performance representations. If no financial performance representations are made in Item 19, the franchisee is acknowledging that they are not relying on any potential earnings claims. This underscores the importance of conducting thorough due diligence and seeking independent professional advice before investing in a Craters & Freighters franchise. Franchisees should rely on their own research and business acumen rather than any unverified claims.