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Crawl_Space_Ninja Franchise · 2024 FDDAnswer from 2024 FDD Document
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We offer franchises for the right to operate a business that provides crawl space and basement encapsulation, including waterproofing, dehumidification, ventilation, insulation, mold removal and prevention, air sealing, and door installation, among other things, under the "Crawl Space Ninja" Marks, using our distinctive operating procedures and standards in a limited protected territory and from a single location (the "Franchised Business"). The distinguishing characteristics of a Crawl Space Ninja Franchised Business include, but are not limited to, the Crawl Space Ninja's distinctive trade dress, proprietary designs and techniques, operations methods, inventory, procedures for management, training, advertising, and promotional programs, all of which may be changed, improved or further developed by us at any time (the "System").
Multi-Territory Offering
We may, as we deem appropriate in our discretion, offer qualified parties the right to operate the Franchised Business in multiple Territories. If we extend you an offer to operate in multiple Territories, you must enter into our then-current form of Multi-Territory Addendum attached to this Disclosure Document as Exhibit C (the "Multi-Territory Addendum").
Typically, we will not grant a party the right to operate in more than three (3) Territories under a signed Multi-Territory Addendum. Once you have (i) entered into the Multi-Territory Addendum, (ii) simultaneously entered into a Franchise Agreement for each Territory in which you will operate the Franchised Business, and (iii) completed all pre-opening obligations under the Franchise Agreement for your initial Territory, including attending and completing the Initial Training Program, you may operate your Franchised Business in each of the Territories granted to you under the Multi-Territory Addendum. However, if we grant you the right to operate the Franchised Business in two (2) or more Territories, you will be required to lease or purchase a second service vehicle no later than six (6) months following your execution of the Multi-Territory Addendum.
You will also be required to pay us a multi-territory fee immediately upon execution of your Franchise Agreements and Multi-Territory Addendum (the "Multi-Territory Fee"), which will vary based on the number of Territories in which we grant you the right to operate under that agreement. Please see Item 5 for additional information on how the Multi-Territory Fee is calculated. The Multi-Territory Fee covers the Initial Franchise Fee due under the Franchise Agreement for each Territory in which the Franchised Business will operate.
Market and Competition:
The market for your Crawl Space Ninja Franchised Business is made up of residential and commercial property owners.
The market for crawl space/basement repair and encapsulation services is mature and competitive. You will compete with businesses, including national, regional and local businesses, offering services similar to those offered by your Crawl Space Ninja Franchised Business. There are other basement and crawl space repair franchises, as well as independent businesses throughout the United States, that may offer similar products and services. Your business may also be affected by economic conditions.
Source: Item 1 — THE FRANCHISOR, AND ANY PARENTS, PREDECESSORS AND AFFILIATES (FDD pages 6–8)
What This Means (2024 FDD)
According to the 2024 Crawl Space Ninja FDD, Crawl Space Ninja Franchising LLC grants franchises for operating a business providing crawl space and basement encapsulation services. These services include waterproofing, dehumidification, ventilation, insulation, mold removal and prevention, air sealing, and door installation, all conducted under the Crawl Space Ninja brand. The franchise operates within a protected territory from a single location, utilizing Crawl Space Ninja's operating procedures and standards. These characteristics encompass trade dress, designs, operational methods, inventory management, training, advertising, and promotional programs, which Crawl Space Ninja may modify over time.
Crawl Space Ninja may offer qualified parties the opportunity to operate in multiple territories through a Multi-Territory Addendum. If granted the right to operate in multiple territories, franchisees must enter into the Multi-Territory Addendum. Franchisees securing multiple territories must lease or purchase a second service vehicle within six months of executing the Multi-Territory Addendum.
Franchisees must comply with all applicable local, state, and federal laws and regulations, including those related to business operations, land use, insurance, discrimination, employment, and workplace safety. Advertising of the Crawl Space Ninja Franchised Business is regulated by the Federal Trade Commission. Depending on the state, a contractor's license and/or mold remediation certification may be required. Franchisees are responsible for investigating and complying with all applicable regulations and obtaining necessary licenses and permits.