Does Craters & Freighters make any representations about the past financial performance of company-owned outlets?
Craters_Freighters Franchise · 2025 FDDAnswer from 2025 FDD Document
We do not make any representations about a franchisee's future financial performance or the past financial performance of company-owned or franchised outlet. We also do not authorize our employees or representative to make any such representations either orally or in writing. If you are purchasing an existing outlet, however, we may provide you with the actual records of that outlet. If you receive any other financial performance information or projections of your future income, you should report it to our Chief Executive Officer, Matthew Schmitz, Craters & Freighters Franchise Co., 331 Corporate Circle, Suite J, Golden, CO 80401, 303-399-8190, the Federal Trade Commission, and the appropriate state regulatory agencies.
Source: Item 19 — FINANCIAL PERFORMANCE REPRESENTATIONS (FDD pages 44–45)
What This Means (2025 FDD)
According to the 2025 Craters & Freighters Franchise Disclosure Document, Craters & Freighters does not make any representations about a franchisee's future financial performance or the past financial performance of company-owned or franchised outlets. Craters & Freighters also does not authorize its employees or representatives to make any such representations either orally or in writing.
However, if a prospective franchisee is purchasing an existing outlet, Craters & Freighters may provide the actual records of that outlet. The FDD cautions that if a prospective franchisee receives any other financial performance information or projections of future income, they should report it to Craters & Freighters' Chief Executive Officer, Matthew Schmitz, as well as the Federal Trade Commission, and the appropriate state regulatory agencies.
This policy is typical in franchising, as franchisors generally avoid making guarantees about financial performance due to the many factors that can influence a franchisee's success. It is the responsibility of the prospective franchisee to conduct their own due diligence and financial analysis to determine if the franchise opportunity is right for them.