Where can I find the Stretch Zone Area Development Agreement exhibit that discusses the guaranty obligation?
Stretch_Zone Franchise · 2025 FDDAnswer from 2025 FDD Document
| Obligation | Section in Area Development Agreement | Franchise Disclosure Document Item |
|---|---|---|
| x. Dispute resolution | Section 9.1 | ITEMS 6 and 17 |
| y. Guaranty | Exhibit G | ITEM 1 |
Source: Item 9 — ITEM -9 FRANCHISEE'S OBLIGATIONS (FDD pages 33–36)
What This Means (2025 FDD)
According to Stretch Zone's 2025 Franchise Disclosure Document, details regarding the guaranty obligation within the Area Development Agreement can be found in Exhibit G. Item 1 of the Franchise Disclosure Document also contains information regarding the guaranty.
This means that if you are considering an Area Development Agreement with Stretch Zone, you should carefully review Exhibit G to understand the specifics of the guaranty. The guaranty typically requires you to personally guarantee the obligations of your business entity under the Area Development Agreement. This could put your personal assets at risk if your Stretch Zone business fails to meet its financial obligations.
It is important to consult with a legal and financial advisor to fully understand the implications of the guaranty before signing the Area Development Agreement. They can help you assess the risks and determine if the guaranty is acceptable for your individual circumstances. Understanding the guaranty is a crucial part of your due diligence when considering a Stretch Zone franchise.