As a Hyper Kidz franchisee, am I acknowledging that the success of the business depends on my ability as an independent businessperson?
Hyper_Kidz Franchise · 2024 FDDAnswer from 2024 FDD Document
- 21.1 YOU ACKNOWLEDGE THAT THE SUCCESS OF THE BUSINESS VENTURE CONTEMPLATED BY THIS AGREEMENT INVOLVES SUBSTANTIAL BUSINESS RISKS AND WILL BE TOTALLY AND COMPLETELY DEPENDENT UPON YOUR ABILITY AS AN INDEPENDENT BUSINESSPERSON. WE EXPRESSLY DISCLAIM THE MAKING OF, AND YOU ACKNOWLEDGE NOT HAVING RECEIVED, ANY WARRANTY OR GUARANTY, EXPRESS OR IMPLIED, AS TO THE POTENTIAL VOLUME, PROFITS OR SUCCESS OF THE BUSINESS VENTURE CONTEMPLATED BY THIS AGREEMENT.
- 21.4 YOU EXPRESSLY ACKNOWLEDGE THAT YOU HAVE NOT RELIED UPON ANY EARNINGS CLAIMS, SUCH AS ORAL OR WRITTEN STATEMENTS OR SUGGESTIONS, MADE BY ANY REPRESENTATIVE OF OR ANY OTHER PERSON PURPORTING TO BE ACTING ON OUR BEHALF REGARDING THE POTENTIAL FUTURE SALES, REVENUES OR PROFITS WHICH MAY BE DERIVED FROM OPERATION OF HYPER KIDZ BUSINESSES OR DEVELOPMENT OF THE DEVELOPMENT AREA.
Source: Item 23 — RECEIPTS (FDD pages 52–205)
What This Means (2024 FDD)
According to the 2024 Hyper Kidz Franchise Disclosure Document, as a franchisee, you acknowledge that the success of your Hyper Kidz business is subject to substantial business risks and is completely dependent on your capabilities as an independent businessperson. Hyper Kidz expressly disclaims making any guarantees or warranties, either express or implied, regarding the potential volume, profits, or overall success of the business venture.
This acknowledgment means that Hyper Kidz does not guarantee any specific level of financial performance or success. The franchisee bears the responsibility for managing and operating the business effectively. This includes making sound business decisions, managing finances, and ensuring customer satisfaction. The success of the Hyper Kidz business hinges on the franchisee's ability to navigate the challenges of entrepreneurship.
Furthermore, the FDD states that you acknowledge that you have not relied upon any earnings claims, such as oral or written statements or suggestions, made by any representative of Hyper Kidz regarding the potential future sales, revenues, or profits which may be derived from the operation of Hyper Kidz businesses. This reinforces the understanding that any projections or expectations about potential earnings are not guaranteed and should not be the primary basis for your investment decision. As a prospective franchisee, you are expected to conduct your own independent investigation and assessment of the business opportunity.