If a prospective franchisee requests it, what written substantiation will Crisp & Green provide for the financial performance representation?
Crisp_Green Franchise · 2024 FDDAnswer from 2024 FDD Document
Written substantiation for the financial performance representation will be made available to prospective franchisees upon request.
Other than the above financial performance representation, we do not make any financial performance representations about a franchisee's future financial performance or the past financial performance of company-owned outlets or franchised outlets. We also do not authorize our employees or representatives 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 the franchisor's management by contacting Steele Smiley, Crisp & Green Franchising LLC, 746 Mill Street East, Wayzata, Minnesota 55391, 952-855-8400, the Federal Trade Commission, and the appropriate state regulatory agencies.
Source: Item 19 — FINANCIAL PERFORMANCE REPRESENTATIONS (FDD pages 57–62)
What This Means (2024 FDD)
According to Crisp & Green's 2024 Franchise Disclosure Document, written substantiation for the financial performance representation will be made available to prospective franchisees upon request. This means that if a potential franchisee asks for it, Crisp & Green is obligated to provide documentation supporting any financial claims they make about potential revenue or profits.
Beyond this general statement, the FDD does not specify the exact form or content of this substantiation. It could include a variety of documents, such as financial statements, sales reports, or other records that back up the financial performance representation.
It is important for prospective franchisees to request and carefully review this written substantiation. This will allow them to assess the reasonableness of the financial performance representation and make an informed decision about whether to invest in a Crisp & Green franchise. Additionally, if a prospective franchisee is purchasing an existing outlet, Crisp & Green may provide the actual records of that outlet.