Archive Franchise

Financial Health Notes

Archive Franchise Network, LLC is in its initial start-up phase, and its financial condition is explicitly called into question by the franchisor itself as a special risk in the FDD. The company reported no revenue in its fiscal years ending December 31, 2021, 2022, and 2023, indicating it has not yet generated income from its franchising activities. It incurred operating losses of $8,910 in 2021, $16,796 in 2022, and $180 in 2023. As of December 31, 2023, Archive Franchise Network, LLC had only $30,944 in cash and had a liability of $30,800 due to related parties. This financial situation suggests that Archive Franchise Network, LLC may struggle to provide adequate services and support to its franchisees.

Ongoing Support

After opening, ARCHIVE Contents Restoration franchisees receive continuing consultation and advice from the franchisor, provided through telephone, fax, intranet communication, and occasional on-site visits (additional on-site visits requested by the franchisee may incur a fee plus expenses). The franchisor provides specifications for and designates sources of supply for ongoing equipment, inventory, goods, and supplies. ARCHIVE Contents Restoration may establish a toll-free telephone number for customer service, and franchisees must comply with its procedures. The franchisor may also hold an Annual Conference, which ARCHIVE Contents Restoration franchisees may be required to attend, paying a registration fee (currently $1,000 for two attendees), plus their own travel, lodging, and meals. ARCHIVE Contents Restoration continually develops and modifies its System, designating additional proprietary products and services that franchisees must offer. Refresher and ongoing training courses, or training for significant System changes, may be offered up to ten days per year, with ARCHIVE Contents Restoration franchisees and their Designated Managers/employees potentially required to attend and pay a tuition fee plus their own expenses. The franchisor approves or denies franchisee advertising/marketing materials. ARCHIVE Contents Restoration administers a National Brand Fund for advertising and brand marketing, to which franchisees contribute 1% of Gross Sales (potentially increasing to 2%). It maintains a shared drive, website portal, and other online access points for updates, webinars, advertising templates, and communication. Finally, ARCHIVE Contents Restoration may conduct inspections and audits of the Approved Location and operations to ensure compliance with System standards.

Territory Size Requirements

Archive Contents Restoration territories are generally defined by the number of households, ranging from 250,000 to 1,000,000, using the most recent statistics available at the time the franchise agreement is signed. Boundaries are determined by metropolitan or statistical boundaries, street boundaries, zip codes, or housing subdivisions. The franchisor is not obligated to modify a territory if population or demographics change over time. For area development agreements, the size of an Archive Contents Restoration development area varies based on the number of businesses the developer is granted the right to open and the location and demographics of the mutually agreed-upon area, with boundaries described by zip codes, streets, landmarks, or county lines.