Item 20 (Outlet and Franchisee Information)

Item 20 of the Franchise Disclosure Document provides a detailed accounting of franchise system growth and turnover, including the total number of franchised and company-owned outlets at the start and end of the fiscal year, the number of outlets that opened, closed, transferred, and terminated during the year, and state-by-state franchisee contact information. This item is critical for assessing system health: high closure rates, frequent transfers, or significant franchisor-owned outlet conversions may signal underlying issues. Item 20 also lists franchisees by state, enabling prospective buyers to conduct validation calls with current operators.