Which section of the Pump It Up Franchise Agreement outlines the personal guaranty?
Pump_It_Up Franchise · 2025 FDDAnswer from 2025 FDD Document
ective franchisee.
If you are an Entity, your owners and their spouses must sign the personal guaranty attached to the Franchise Agreement, agreeing to be personally bound by the provisions of such Franchise Agreement.
Market and Competition
We are part of the children's recreation, amusement, and entertainment industry. Our principal targeted customers are children under the age of 18. We also are an attractive venue for organizations including after-school programs, day care facilities, and youth sporting groups.
Source: Item 9 — FRANCHISEE OBLIGATIONS (FDD pages 29–30)
What This Means (2025 FDD)
According to Pump It Up's 2025 Franchise Disclosure Document, if the franchisee is an entity, the owners and their spouses must sign a personal guaranty attached to the Franchise Agreement, agreeing to be personally bound by the provisions of the agreement.
Additionally, the FDD states that Pump It Up requires any owner of a 5% or more interest in the franchised business to sign a personal guaranty undertaking to be bound by the financial provisions of the Franchise Agreement. The form of guaranty that the owners and their spouses must sign is included as Exhibit 5 to the Franchise Agreement.
Prospective Pump It Up franchisees should carefully review Exhibit 5 and understand the full scope of the personal guarantee, including the specific obligations and potential liabilities they will be assuming. Franchisees should consult with a legal and financial advisor to fully understand the implications of signing a personal guarantee before entering into a franchise agreement.