How is the term 'Average' (or 'mean') calculated in Item 19 for Spray Net?

According to Spray Net's 2025 Franchise Disclosure Document, the term "Average," also known as the "mean," is calculated by summing the applicable data and dividing that total by the number of individual businesses included in the data set. This is a standard method for calculating the average, providing a measure of central tendency for the financial performance data presented in Item 19.

For a prospective Spray Net franchisee, understanding how averages are calculated is crucial for interpreting the financial performance representations. By knowing that the average is derived from the sum of all data points divided by the number of businesses, franchisees can better assess the typical performance they might expect. This is particularly important when comparing the average to other metrics like the median, which represents the middle value and can provide a different perspective on performance.

It's important to note that while the average provides a general benchmark, individual Spray Net franchise locations may perform significantly above or below this average. Factors such as location, market conditions, and the franchisee's management skills can all influence actual financial outcomes. Therefore, prospective franchisees should consider the range of performance data, including the high and low values, in addition to the average, to gain a more comprehensive understanding of potential financial results.

Spray Net also provides the median, high, and low values for various financial metrics, offering a more complete picture of the range of performance among its franchises. Reviewing all these measures can help a potential franchisee develop realistic expectations and assess the potential risks and rewards of investing in a Spray Net franchise.