Where does Degree Wellness place its temporary cash investments?

According to Degree Wellness's 2025 Franchise Disclosure Document, the company places its temporary cash investments with high credit quality financial institutions. It is noted that these investments may, at times, exceed the Federal Deposit Insurance Corporation (FDIC) insurance limit.

For a prospective franchisee, this indicates that Degree Wellness prioritizes the safety and security of its cash holdings by using reputable financial institutions. However, the disclosure that investments may exceed FDIC limits suggests that some funds could be at risk in the event of a significant financial institution failure. The FDIC typically insures deposits up to $250,000 per depositor, per insured bank.

It would be prudent for a potential Degree Wellness franchisee to inquire about the specific institutions used for these investments and the measures taken to mitigate risks associated with exceeding FDIC insurance limits. Understanding the diversification and risk management strategies employed by Degree Wellness can provide greater confidence in the financial stability of the company.