FDD ITEM 20 · FISCAL 2022–2024
Resting Rainbow Item 20: outlets, closures & growth
In its latest FDD Item 20 (fiscal 2024), Resting Rainbow reported 1 franchised outlets at year end. 0 of 0 franchised outlets open at the start of the year left the system— while 1 new outlets opened. Systemwide units moved +200.0% over 2022–2024.
| Status (FTC) | 2022 | 2023 | 2024 |
|---|---|---|---|
| Outlets at start | 1 | 1 | 1 |
| Opened | 0 | 0 | 1 |
| Transfers | 0 | 0 | 0 |
| Terminations | 0 | 0 | 0 |
| Non-renewals | 0 | 0 | 0 |
| Reacquired by franchisor | 0 | 0 | 0 |
| Ceased — other reasons | 0 | 0 | 0 |
| Outlets at end | 1 | 1 | 3 |
| Net change | 0 | 0 | +2 |
0 terminations + 0 non-renewals + 0 ceased (other) = 0 exits
These are the three FTC Item 20 statuses in which a franchisee involuntarily or terminally leaves the system. Transfers (0) are resales, not exits; reacquisitions by the franchisor (0) are tracked separately. There is no official “failure rate” — this annualized exit rate is the disclosed, measurable floor.
A broker is paid by the franchisor to place you. An independent CPA is paid by you — and the job is pressure-testing Resting Rainbow's numbers, including talking you out of a bad deal.
Talk to an independent CPA before you buy →