Does Ledgers make any representations about the past financial performance of company-owned outlets?
Ledgers Franchise · 2025 FDDAnswer from 2025 FDD Document
We do not make any representations about a franchisee's future financial performance or the past financial performance of company-owned or franchised outlets. We also do not authorize our employees or representatives to make any such representations either orally or in writing. If you are purchasing an existing outlet, however, we may provide you with the actual records of that outlet. If you receive any other financial performance information or projections of your future income, you should report it to the franchisor's management by contacting Mary Jane DeJaager at 780 Lynnhaven Parkway, Suite 240, Virginia Beach, VA 23452, the Federal Trade Commission, and the appropriate state regulatory agencies.
Source: Item 19 — FINANCIAL PERFORMANCE REPRESENTATIONS (FDD page 42)
What This Means (2025 FDD)
According to the 2025 Ledgers Franchise Disclosure Document, Ledgers does not make any representations about the past financial performance of company-owned or franchised outlets. Item 19 explicitly states that Ledgers does not provide information about potential financial performance, either historical or projected.
This means that prospective franchisees will not receive any specific data from Ledgers regarding the actual financial results of existing Ledgers locations. This is a common practice among franchisors, as past performance is not necessarily indicative of future results and can vary greatly depending on location, management, and local market conditions.
However, the FDD does state that if a prospective franchisee is purchasing an existing outlet, Ledgers may provide the actual records of that specific outlet. This allows the potential buyer to review the financial history of that particular business. The FDD also cautions that if a prospective franchisee receives any other financial performance information or projections, they should report it to Ledgers' management, the Federal Trade Commission, and the appropriate state regulatory agencies. This is to protect potential franchisees from unauthorized or misleading claims.
Prospective franchisees should conduct their own independent research and due diligence, including market analysis and financial projections, to assess the potential profitability of a Ledgers franchise. They may also want to speak with existing franchisees to gather insights into their experiences and financial performance.