Does Deck Medic guarantee a franchisee's note, lease, or obligation?

According to Deck Medic's 2024 Franchise Disclosure Document, Deck Medic does not guarantee a franchisee's note, lease, or obligation. This means that franchisees are solely responsible for fulfilling their financial commitments, and Deck Medic will not act as a guarantor for any loans or leases the franchisee obtains. This is a fairly standard practice in franchising, as franchisors typically do not assume the financial risks of their franchisees.

Deck Medic may offer direct financing for the initial franchise fee, but they are not obligated to do so. If Deck Medic does provide financing, the franchisee (and their spouse, if applicable) must sign a promissory note. Deck Medic also reserves the right to assign this note to a third party. Additionally, Deck Medic may provide indirect financing through third parties and receive referral fees from these third-party providers. The terms of financing with third parties will vary.

If a franchisee fails to repay their loan to Deck Medic, Deck Medic has the right to terminate the franchise agreement and acquire the rights to operate the Deck Medic business directly. Furthermore, franchisees must sign a security agreement for all of the franchised business's assets, and Deck Medic will file a UCC-1 financing statement. Under every note, the franchisee waives various notices, rights, and defenses, including rights to diligence, demand, presentment for payment, notice of nonpayment and protest, notice of amendments or modifications, any defense under the statute of limitations, and allows that a confessed judgment may be taken against them. These conditions highlight the importance of carefully considering the financial obligations and risks associated with purchasing a Deck Medic franchise.