16 questions tailored to R.E.JOHNSEN, LLC's 2026 FDD data. 2 are flagged as high priority based on disclosures in the document.
Use these questions during your discovery day, franchisee validation calls, and attorney review. Questions marked High Priority are tied to specific disclosures in the 2026 FDD and should not be skipped. Print or copy this list before any franchisor meeting.
Investment, earnings, fees, and break-even analysis
3 questions
What is the average time to profitability for a new R.E.JOHNSEN, LLC location, based on franchisees who opened in the last three years?
Since Item 19 financial performance is not disclosed in the 2026 FDD, can you share average unit revenue figures from existing franchisees — and can you connect me with three to five current owners to verify those numbers?
High Priority
The royalty rate is 13%. Is that applied to gross revenue or net revenue, and are there any volume tiers that reduce the rate over time?
Agreement terms, litigation, renewal, and exit
3 questions
The franchise agreement is 5 years. What are the conditions under which you can terminate the agreement early, and what recourse does the franchisee have?
What restrictions does the franchise agreement place on selling or transferring my franchise — including the right of first refusal and any transfer approval process?
What are the renewal terms at the end of the franchise agreement, and does renewal require signing the then-current agreement — which may differ materially from the original terms?
Day-to-day running, staffing, and supply chain
3 questions
How many of your current franchisees are owner-operators versus semi-absentee investors, and do unit economics differ meaningfully between those models?
What does the ramp-up period look like for a new location — how long before most franchisees reach steady-state volume, and what are the most common operational mistakes in that window?
Are franchisees required to purchase supplies or inventory exclusively through approved vendors, and how do those prices compare to open-market alternatives?
Protection, boundaries, and encroachment
3 questions
Since the FDD indicates no exclusive territory protection, what prevents you from awarding another franchisee or opening a company-owned location near my site?
High Priority
How do you define the protected radius — or alternative trade area — for my location, and is that definition written into the franchise agreement?
Does my territory protection extend to online and digital channels — including third-party delivery platforms — or is it limited to physical storefronts?
Onboarding, field support, technology, and marketing
4 questions
What does the initial training program cover, how long does it run, and who bears the cost of travel and lodging?
How many franchisees does each field consultant support, how often do they visit, and what does a typical support interaction look like?
What technology systems — POS, scheduling, inventory, CRM — are part of the franchise system, and what are the associated monthly or annual fees not listed in Item 6?
Is there an active franchisee advisory council, and how much influence does it have over system-wide decisions such as menu changes, pricing, or marketing campaigns?
Item 20 of the FDD lists current and former franchisees with contact information. Calling at least five to ten owners is the single most valuable step in franchise due diligence — more informative than any disclosure document.
Ask them: Are you hitting the numbers you expected? Would you do it again? What does the franchisor do well, and where do you wish you had more support?
Data shown is extracted from the 2026 Franchise Disclosure Document filed with state regulators. Fees, investment ranges, and other terms may have changed since this filing. Always request the current FDD directly from the franchisor before making any investment decisions. This information is not financial, legal, or investment advice. Full disclaimer.
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