What is the minimum total revenue required for a Crawlspace Medic franchise in Year 4 of the agreement?
Crawlspace_Medic Franchise · 2024 FDDAnswer from 2024 FDD Document
er that revenue does not count toward your Minimum Performance Requirement.
You are required to maintain the following Minimum Performance Requirements for Total Revenue during the term of your franchise agreement.
Year 1 Year 2 Year 3 Year 4 Year 5 Minimum Performance Requirements Revenue Per Year of Agreement $225,000 $350,000 $600,000 $750,000 $900,000
Total Revenue
The revenue that makes up your Minimum Performance Requirement must come from within your protected territory. If you fail to maintain these Minimum Performance Requirements, it is considered a default of your franchise agreement and we have the right to eit
Source: Item 12 — TERRITORY (FDD pages 29–30)
What This Means (2024 FDD)
According to Crawlspace Medic's 2024 Franchise Disclosure Document, a franchisee must maintain certain minimum performance requirements for total revenue to avoid defaulting on the franchise agreement. In Year 4 of the agreement, the minimum total revenue required is $750,000.
This revenue must come from within the franchisee's protected territory. Failure to meet this minimum performance requirement could result in Crawlspace Medic reducing the size of the territory or terminating the franchise agreement altogether.
Prospective franchisees should carefully consider these minimum performance requirements and conduct thorough market research to determine if they can realistically achieve these revenue targets within their designated territory. It is important to understand the local market conditions and demand for Crawlspace Medic's services to assess the feasibility of meeting these requirements and maintaining a successful franchise.