What should a prospective Craters & Freighters franchisee do if no claims or representations were relied upon?
Craters_Freighters Franchise · 2025 FDDAnswer from 2025 FDD Document
_______________________________________________________
(If none, you should write NONE in your own handwriting and initial.)
- 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 the 2025 Craters & Freighters Franchise Disclosure Document, prospective franchisees are required to acknowledge whether they relied on any claims or representations not explicitly stated in Item 19 of the FDD. This acknowledgment is part of the Statement of Franchisee in Exhibit H.
Specifically, the document provides a space for franchisees to list any oral, written, visual, or other claims or representations that were made to them regarding potential sales, costs, income, expenses, profits, cash flow, or tax effects that influenced their decision. If no such claims were relied upon, the franchisee is instructed to write "NONE" in their own handwriting and initial it. This ensures that Craters & Freighters has a record that the franchisee did not base their investment decision on any information outside of the official FDD, except as explicitly noted.
This requirement protects both the franchisee and Craters & Freighters. It ensures that franchisees are not making decisions based on potentially misleading or inaccurate information provided outside of the formal disclosure process. It also protects Craters & Freighters from potential legal claims based on such external representations. Franchisees should carefully consider this statement and ensure its accuracy, as it serves as an acknowledgment of the information relied upon during the franchise evaluation process.