Does the Dermani Medspa franchisee understand all of the information contained in the FDD and any state-specific addendum?
Dermani_Medspa Franchise · 2025 FDDAnswer from 2025 FDD Document
EXHIBIT M FRANCHISEE COMPLIANCE CERTIFICATION
THE DERMANI MEDSPA® FRANCHISING LLC FRANCHISEE COMPLIANCE CERTIFICATION
As you know, dermani MEDSPA® Franchising LLC (the "Franchisor") and you are preparing to enter into a Franchise Agreement for the establishment and operation of a franchised business (the "Franchised Business") that will manage a "dermani MEDSPA®" (the "dermani MEDSPA®"). The purpose of this Questionnaire is to determine whether any statements or promises were made to you that the Franchisor has not authorized and that may be untrue, inaccurate or misleading. Please review each of the following questions and statements carefully and provide honest and complete responses to each.
Another goal in asking you these questions is to be confident that you are prepared to become a dermani MEDSPA franchisee, that you understand the risks of owning your own business, and that we have complied with our obligations in providing you with the information required by law.
We may, in lieu of requesting that you review and sign this Certification, review these questions with you during our pre-closing meeting, and may take notes of your verbal responses for our records.
23.
As you have reviewed the financial performance representations in Item 19 of the Disclosure Document, do you understand that: a.
Item 19 contains only historical data from certain franchised and/or affiliate-owned dermani MEDSPA®s, and are not a promise, assurance or guaranty of future results of your Franchised Business; b. your results are likely to differ from the historical results reported; c. your results as a start-up business and Franchised Business are likely to be different than existing dermani MEDSPA®s; and d. you have had ample opportunity to review Item 19 with a lawyer, accountant and/or other advisor of your choosing.
Yes No 24.
Do you understand: a. that this franchise business may be impacted by other risks, including those outside your or our control such as local, national or global economic, political or social disruption, such as the 2020 COVID-19 outbreak; b. that such disruptions, and any preventative, protective, or remedial actions that federal, state, and local governments may take in response to a disruption may result in a period of business disruption, reduced customer demand, and reduced operations for dermani MEDSPA®s, and may require that we take actions that might not be contemplated under the Franchise Agreement; and c. the extent to which any such disruption impacts the dermani MEDSPA® system, and your franchise business, will depend on future developments which are highly uncertain and which we cannot predict?
Yes No 25.
If no, please comment: We encourage and strongly recommend that all prospective franchisees contact and speak with existing franchisees as part of your review and diligence process, to inquire about their operations and experience.
If you have done so, please identify the franchisees with whom you have communicated: 1 2 3 Others:
If you did not contact any franchisees, please explain why: 26.
I signed the Franchise Agreement and Addenda (if any) on, 20, and acknowledge that no Agreement or Addendum is effective until signed and dated by the Franchisor. 27. affiliates, or independent brokers: During my negotiations and evaluations leading up to my decision to buy a dermani MEDSPA® franchise, I communicated with the following individuals from dermani MEDSPA® or its Name Address 1. 2. 3.
Source: Item 23 — RECEIPTS (FDD pages 66–311)
What This Means (2025 FDD)
According to the 2025 Dermani Medspa Franchise Disclosure Document, Dermani Medspa uses a Franchisee Compliance Certification (Exhibit M) to ensure franchisees understand the risks of owning their own business and that the franchisor has met its legal obligations in providing the required information. This certification process is designed to confirm that no unauthorized promises or statements have been made to the franchisee. Dermani Medspa may either request the franchisee to sign the certification or review the questions with the franchisee during a pre-closing meeting, documenting their verbal responses. This process aims to verify the franchisee's preparedness and understanding of the franchise agreement.
The Franchisee Compliance Certification includes specific questions to confirm the franchisee's understanding of key aspects of the franchise. For example, franchisees must acknowledge that they understand the financial performance representations in Item 19 are historical data and not a guarantee of future results. They must also confirm they had the opportunity to review Item 19 with advisors. Additionally, franchisees need to understand the potential impact of external risks, such as economic, political, or social disruptions like the COVID-19 outbreak, on their business.
Furthermore, the certification process emphasizes the importance of prospective franchisees contacting existing franchisees to learn about their experiences. Franchisees are asked to identify the franchisees they have communicated with or explain why they did not contact any. The document also includes an acknowledgment that the franchisee signed the Franchise Agreement and any addenda, understanding that the agreement is only effective once signed and dated by Dermani Medspa. This comprehensive approach ensures that franchisees are well-informed and aware of the various factors that could affect their Dermani Medspa franchise.