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Clean Your Dirty Face
How much does Clean Your Dirty Face cost?
Initial Investment Range
$131,797 to $330,847
Franchise Fee
$63,750 to $174,500
We offer a franchise to own and operate a distinctive spa concept offering facials, related beauty services, and related retail products and services under the name “Clean Your Dirty Face.”
Enjoy our partial free risk analysis below
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Clean Your Dirty Face March 27, 2025 FDD Risk Analysis
Free FDD Library AI Analysis Date: August 22, 2025
DISCLAIMER: Not Legal Advice - For Informational Purposes Only. Consult With Qualified Franchise Professionals.
Franchisor Stability Risks
Start HereDisclosure of Franchisor's Financial Instability
Medium Risk
Explanation
The franchisor’s audited financials show consistent profitability and positive net worth. However, cash on hand at the end of 2024 was low ($20,963), and member distributions were significant, exceeding net income for the year. While the company is profitable on paper, a prospective franchisee might find this cash position and distribution strategy could potentially impact the franchisor's ability to fund ongoing support and growth initiatives without relying heavily on new franchise fees.
Potential Mitigations
- Your accountant should analyze the franchisor's cash flow statements and balance sheets over several years to assess liquidity trends.
- A financial advisor can help you evaluate the potential impact of the franchisor's distribution strategy on its long-term stability.
- Discuss the franchisor's capitalization and plans for funding system growth with your business advisor.
High Franchisee Turnover
High Risk
Explanation
Item 20 data from 2022 shows two non-renewals out of a starting base of only six franchised units for that year. While the system has grown since, a high non-renewal rate in the system's early history could be an indicator of potential issues with the business model, franchisee satisfaction, or profitability that may have existed at that time. There was also one unit reacquired by the franchisor in 2023, which can sometimes be a sign of a distressed unit.
Potential Mitigations
- It is critical to contact former franchisees, especially those who did not renew, to understand their reasons for leaving the system.
- Your franchise attorney can help you formulate specific questions for former franchisees regarding their experience.
- An accountant can assist you in analyzing the turnover data in Item 20 as a percentage of the total system size for each year.
Rapid System Growth
High Risk
Explanation
Item 20 data indicates the system has grown very quickly, expanding from 6 to 26 franchised units over a three-year period. While growth can be positive, rapid expansion can sometimes strain a franchisor's ability to provide adequate and timely support, training, and site selection assistance to all of its new franchisees. You may find that resources for individual franchisee support are stretched thin as the franchisor focuses on expansion.
Potential Mitigations
- A business advisor can help you question the franchisor about how they have scaled their support infrastructure to match unit growth.
- It is important to ask a wide range of existing franchisees about their experiences with the quality and responsiveness of franchisor support.
- Have your accountant review the franchisor's financial statements in Item 21 to assess if they appear to have the capital to support this growth.
New/Unproven Franchise System
Medium Risk
Explanation
The franchisor began offering franchises for the current “Clean Your Dirty Face” concept in January 2020. Although the company has prior franchising experience with two other concepts, this specific system is relatively young and has a limited operating history. Investing in a newer system carries potential risks, as its brand recognition, operational systems, and long-term market viability may not be as established as those of more mature franchise systems.
Potential Mitigations
- Engaging a business advisor to perform thorough due diligence on the specific track record of this concept is advisable.
- Speaking with the earliest franchisees of this specific brand can provide valuable insight into its evolution and the franchisor's performance.
- Your attorney could help you understand if the relative newness of the system provides any leverage for negotiating more favorable terms.
Possible Fad Business
Medium Risk
Explanation
The business operates in the competitive beauty and wellness space with a spa concept offering facials. While this is an established industry, certain concepts or branding approaches can be susceptible to changing consumer trends. A prospective franchisee should consider the long-term sustainability of the specific brand and service model beyond current market fashions, as you will be bound by the franchise agreement even if consumer interest shifts.
Potential Mitigations
- Conducting independent market research with a business advisor to assess long-term consumer demand for this specific type of service is prudent.
- Evaluating the franchisor's stated plans for innovation, research, and development in Item 11 can offer insight into future adaptability.
- Discuss the business's resilience to economic shifts and changing trends with current franchisees.
Inexperienced Management
Low Risk
Explanation
This risk was not identified in the FDD Package. The franchisor's key executives, as described in Item 2 and Item 11, appear to have several years of experience with the company and within the industry. Inexperienced management can be a significant risk, as it may lead to poor strategic decisions, underdeveloped systems, and inadequate support for franchisees.
Potential Mitigations
- A discussion with your business advisor can help you evaluate the depth and relevance of the leadership team's background detailed in Item 2.
- When speaking with current franchisees, it is useful to ask about their direct experiences with the management team's competence and accessibility.
- Your attorney can help you research the professional history of the key executives listed in the FDD.
Private Equity Ownership
Low Risk
Explanation
This risk was not identified in the FDD Package. Item 1 indicates the franchisor is owned by another LLC, not a private equity firm. When a franchise is owned by a PE firm, there can be a risk that decisions are focused on short-term financial returns for investors, which may not always align with the long-term health of the franchisees' businesses.
Potential Mitigations
- It is always a good practice to ask your attorney to help you research the ownership structure of the franchisor and any parent companies.
- A business advisor can help you understand the potential impacts of different ownership structures on a franchise system's strategy and culture.
- Asking current franchisees about their perception of the ownership's goals and commitment to the brand is a valuable due diligence step.
Non-Disclosure of Parent Company
Low Risk
Explanation
This risk was not identified in the FDD Package, as the parent company, Krishna Chicago, LLC, is disclosed in Item 1. It is important for franchisors to disclose parent companies, especially if the parent guarantees the franchisor's obligations or is an essential supplier. Without such disclosure, a franchisee may lack a complete picture of the corporate structure and the ultimate financial stability backing the franchise system.
Potential Mitigations
- Your attorney should always verify that the ownership structure described in Item 1 is complete and clear.
- If a parent company is disclosed, your accountant should assess whether the parent's financial statements are included or should have been.
- Discussing the role and influence of the parent company with your business advisor can provide important context.
Predecessor History Issues
Medium Risk
Explanation
The FDD states in Item 1 that the franchisor has no predecessor required to be disclosed. However, the same Item discloses that the franchisor previously offered franchises for a very similar concept called “Mud Facial Bar.” Furthermore, Item 3 discloses litigation related to the “MUD” trademark. This apparent inconsistency could mean that the history of the prior concept, which may be relevant to your risk assessment, is not fully presented as a formal predecessor.
Potential Mitigations
- Your attorney should question the franchisor about the history of the “Mud Facial Bar” concept and why it is not considered a predecessor.
- A business advisor can help you research the history of the franchisor's prior brands to look for potential issues.
- It is important to ask long-tenured employees or franchisees about the previous concept and the transition to the current brand.
Pattern of Litigation
Low Risk
Explanation
This risk was not identified in the FDD Package. Item 3 discloses a single past lawsuit related to a trademark dispute, which was settled, but it does not show a pattern of litigation with franchisees. A history of multiple lawsuits, particularly those initiated by franchisees alleging fraud or misrepresentation, can be a major red flag indicating systemic problems within a franchise.
Potential Mitigations
- A thorough review of Item 3 with your franchise attorney is a crucial step to understand the nature of any disclosed litigation.
- Your attorney can conduct independent legal research to see if there is any litigation history that was not required to be disclosed.
- Asking current franchisees about the franchisor's relationship with the franchisee community can provide context on potential disputes.
Disclosure & Representation Risks
Example Risk: Franchisee Financial Obligations
Blue Risk
Explanation
This risk involves the financial obligations that a franchisee must meet, including initial fees, ongoing royalties, and other required payments. Understanding these obligations is crucial for long-term success.
Potential Mitigations
- Carefully review the Franchise Disclosure Document (FDD) and consult with a franchise attorney to fully understand all financial commitments before signing.
- Conduct regular risk assessments
- Implement monitoring and reporting systems
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Financial & Fee Risks
Example Risk: Franchisee Financial Obligations
Blue Risk
Explanation
This risk involves the financial obligations that a franchisee must meet, including initial fees, ongoing royalties, and other required payments. Understanding these obligations is crucial for long-term success.
Potential Mitigations
- Carefully review the Franchise Disclosure Document (FDD) and consult with a franchise attorney to fully understand all financial commitments before signing.
- Conduct regular risk assessments
- Implement monitoring and reporting systems
Unlock Full Risk Analysis
Purchase the complete risk review to see all 102 risks across all 10 categories.
Legal & Contract Risks
Example Risk: Franchisee Financial Obligations
Blue Risk
Explanation
This risk involves the financial obligations that a franchisee must meet, including initial fees, ongoing royalties, and other required payments. Understanding these obligations is crucial for long-term success.
Potential Mitigations
- Carefully review the Franchise Disclosure Document (FDD) and consult with a franchise attorney to fully understand all financial commitments before signing.
- Conduct regular risk assessments
- Implement monitoring and reporting systems
Unlock Full Risk Analysis
Purchase the complete risk review to see all 102 risks across all 10 categories.
Territory & Competition Risks
Example Risk: Franchisee Financial Obligations
Blue Risk
Explanation
This risk involves the financial obligations that a franchisee must meet, including initial fees, ongoing royalties, and other required payments. Understanding these obligations is crucial for long-term success.
Potential Mitigations
- Carefully review the Franchise Disclosure Document (FDD) and consult with a franchise attorney to fully understand all financial commitments before signing.
- Conduct regular risk assessments
- Implement monitoring and reporting systems
Unlock Full Risk Analysis
Purchase the complete risk review to see all 102 risks across all 10 categories.
Regulatory & Compliance Risks
Example Risk: Franchisee Financial Obligations
Blue Risk
Explanation
This risk involves the financial obligations that a franchisee must meet, including initial fees, ongoing royalties, and other required payments. Understanding these obligations is crucial for long-term success.
Potential Mitigations
- Carefully review the Franchise Disclosure Document (FDD) and consult with a franchise attorney to fully understand all financial commitments before signing.
- Conduct regular risk assessments
- Implement monitoring and reporting systems
Unlock Full Risk Analysis
Purchase the complete risk review to see all 102 risks across all 10 categories.
Franchisor Support Risks
Example Risk: Franchisee Financial Obligations
Blue Risk
Explanation
This risk involves the financial obligations that a franchisee must meet, including initial fees, ongoing royalties, and other required payments. Understanding these obligations is crucial for long-term success.
Potential Mitigations
- Carefully review the Franchise Disclosure Document (FDD) and consult with a franchise attorney to fully understand all financial commitments before signing.
- Conduct regular risk assessments
- Implement monitoring and reporting systems
Unlock Full Risk Analysis
Purchase the complete risk review to see all 102 risks across all 10 categories.
Operational Control Risks
Example Risk: Franchisee Financial Obligations
Blue Risk
Explanation
This risk involves the financial obligations that a franchisee must meet, including initial fees, ongoing royalties, and other required payments. Understanding these obligations is crucial for long-term success.
Potential Mitigations
- Carefully review the Franchise Disclosure Document (FDD) and consult with a franchise attorney to fully understand all financial commitments before signing.
- Conduct regular risk assessments
- Implement monitoring and reporting systems
Unlock Full Risk Analysis
Purchase the complete risk review to see all 102 risks across all 10 categories.
Term & Exit Risks
Example Risk: Franchisee Financial Obligations
Blue Risk
Explanation
This risk involves the financial obligations that a franchisee must meet, including initial fees, ongoing royalties, and other required payments. Understanding these obligations is crucial for long-term success.
Potential Mitigations
- Carefully review the Franchise Disclosure Document (FDD) and consult with a franchise attorney to fully understand all financial commitments before signing.
- Conduct regular risk assessments
- Implement monitoring and reporting systems
Unlock Full Risk Analysis
Purchase the complete risk review to see all 102 risks across all 10 categories.
Miscellaneous Risks
Example Risk: Franchisee Financial Obligations
Blue Risk
Explanation
This risk involves the financial obligations that a franchisee must meet, including initial fees, ongoing royalties, and other required payments. Understanding these obligations is crucial for long-term success.
Potential Mitigations
- Carefully review the Franchise Disclosure Document (FDD) and consult with a franchise attorney to fully understand all financial commitments before signing.
- Conduct regular risk assessments
- Implement monitoring and reporting systems
Unlock Full Risk Analysis
Purchase the complete risk review to see all 102 risks across all 10 categories.
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