FDD ITEM 20 · FISCAL 2023–2025
System 4 Item 20: outlets, closures & growth
In its latest FDD Item 20 (fiscal 2025), System 4 reported 61 franchised outlets at year end. 0 of 60 franchised outlets open at the start of the year left the system — an annualized exit rate of 0.0%— while 2 new outlets opened. Systemwide units moved +10.5% over 2023–2025.
| Status (FTC) | 2023 | 2024 | 2025 |
|---|---|---|---|
| Outlets at start | 58 | 57 | 61 |
| Opened | 2 | 2 | 2 |
| Transfers | 3 | 1 | 2 |
| Terminations | 1 | 0 | 0 |
| Non-renewals | 0 | 0 | 0 |
| Reacquired by franchisor | 0 | 0 | 1 |
| Ceased — other reasons | 0 | 0 | 0 |
| Outlets at end | 57 | 61 | 63 |
| Net change | -1 | +4 | +2 |
0 terminations + 0 non-renewals + 0 ceased (other) = 0 exits ÷ 60 at start = 0.0%
These are the three FTC Item 20 statuses in which a franchisee involuntarily or terminally leaves the system. Transfers (2) are resales, not exits; reacquisitions by the franchisor (1) are tracked separately. There is no official “failure rate” — this annualized exit rate is the disclosed, measurable floor.
| State | Franchised | Company-owned |
|---|---|---|
| CA | 7 | — |
| FL | 6 | 2 |
| TX | 6 | — |
| OH | 3 | — |
| TN | 3 | — |
| AL | 2 | — |
| AZ | 2 | — |
| MD | 2 | — |
| NV | 2 | — |
| PA | 2 | — |
| SC | 2 | — |
| VA | 2 | — |
| CO | 1 | — |
| CT | 1 | — |
| DC | 1 | — |
| DE | 1 | — |
| GA | 1 | — |
| HI | 1 | — |
| ID | 1 | — |
| IN | 1 | — |
| KY | 1 | — |
| MA | 1 | — |
| MI | 1 | — |
| MN | 1 | — |
| MO | 1 | — |
| NC | 1 | — |
| NE | 1 | — |
| NH | 1 | — |
| NJ | 1 | — |
| NY | 1 | — |
| OR | 1 | — |
| RI | 1 | — |
| UT | 1 | — |
| WA | 1 | — |
| WI | 1 | — |
| AR | 0 | — |
| IL | 0 | — |
| OK | 0 | — |
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