According to the 2025 Epcon Communities Franchise Disclosure Document, Exhibit M is the Security Agreement. A security agreement is a contract that outlines the rights and responsibilities of both the lender and the borrower when a loan is secured by collateral.

For a prospective Epcon Communities franchisee, this means understanding the terms under which the franchisor might require a security interest in the franchisee's assets. This agreement would detail what assets are pledged as collateral, the conditions under which the franchisor could seize those assets (default), and the franchisee's obligations to maintain the value of the collateral.

It is important for potential franchisees to carefully review the Security Agreement with legal counsel to fully understand the implications of pledging assets as security, and to assess the risks associated with this agreement. This ensures they are aware of their rights and obligations, and the circumstances that could lead to the loss of their assets.