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Business Description

We are a Texas limited liability company Snowcap Texas, LLC is the sole member of The Grout Medic, LLC Snowcap Texas, LLC was formed on November 29, 2018 and commenced operation with the acquisition of The Grout Medic, LLC on December 21, 2018 Our principal address for business is 2121 Lohmans Crossing Suite 504-228 Austin, TX 78734 Our agents for service of process are listed in Exhibit B to this Disclosure Document.

Prior Experience

We do not have any other parent or other affiliate companies. Our predecessor is The Grout Medic, LLC, an Illinois limited liability company that was formed on May 21, 2001 and commenced operations on May 1, 2004 f'The Grout Medic, LLC (Illinois)") The Grout Medic, LLC (Illinois) was located at 1585 Beverly Ct, Suite 111, Aurora, Illinois 60502 The Grout Medic, LLC (Illinois) was the franchisor for Grout Medic Outlets from April 2004 to December 2008 The Grout Medic, LLC (Illinois) never offered franchises in any other line of business, and never conducted any line of business other than offering Grout Medic Outlet franchises The Grout Medic, LLC (Texas) purchased all of the assets of The Grout Medic, LLC (Illinois), and assumed all of its obligations under The Grout Medic franchise agreement, on December 31, 2008 All franchisees of The Grout Medic, LLC (Illinois and Texas) are now franchisees of ours (The Grout Medic, LLC (Texas), owned by Snowcap Texas, LLC).

Business Offered

Grout Medic franchises use the trademarks of and to operate a Grout Medic Outlet A Grout Medic Outlet provides grout and tile restoration, maintenance, and refurbishing services through a uniform system consisting of high standards of service, use of quality products, and under the business format created and developed by Grout Medic (the "Grout Medic System") We offer two tiers of franchises. Tier One for metropolitan areas of at least 175,000 households (with a higher initial fee) and Tier Two for lower density areas with less than 175,000 households. Grout Medic Outlets are mobile businesses in which the services are sold and then provided in customer's homes, and therefore we will only grant you a franchise if you currently own or lease a personal vehicle suitable for traveling to customers' homes and providing Grout Medic® services The types of vehicles that are acceptable for you to use in the business are a pick-up truck, a sport utility vehicle C'SUV"), a van, or a full-sized car (eg, Ford Taurus) or a mid-sized car (eg, Honda Accord).

Initial Fees

For your first GROUT MEDIC franchise, if your franchise will be located in a Metropolitan Area (a "Tier One" franchise), meaning a Territory that has at least 175,000 households, the initial franchise fee is typically $19,500 (the "Initial Franchise Fee") If your franchise will be located in a less densely populated area in which there are less than 175,000 households (a "Tier Two" franchise), the initial franchise fee is typically $17,500 Also, if a prospective franchisee is converting their existing tile, grout or home restoration business to a GROUT MEDIC franchise, the initial franchise fee for an operator in a Tier 1 will be $17,500 for a single territory conversion, or $15,500 for an operator in a Tier 2 for a single territory conversion In exchange for the initial franchise fee paid for your initial The Grout Medic franchise, we will provide you with the Equipment Package as described in Exhibit 3 to this Franchise Agreement, which IS Exhibit C to this Disclosure Document, as well as Training as further descnbed in Item 11 of this Disclosure Document If you purchase an additional GROUT MEDIC franchise within twelve (12) months of purchasing your first GROUT MEDIC franchise, your initial franchise fee for the additional franchise will be one-half of our then-current initial fee, which currently means $9,750 for a Tier One franchise (granting a territory encompassing at least 175,000 households), $7,500 for a Tier Two franchise (granting a territory encompassing less than 175,000 households), and $8,750 and $7,500, respectively, for business conversions adding territory(ies) If you purchase additional GROUT MEDIC franchises more than 12 months after you purchase your first franchise, our then-current standard initial franchise fees will apply If you purchase additional franchise territory we will not provide an Equipment Package or initial training, since in most such situations the territory purchased will be adjacent to your original territory If you require an Equipment Package to operate the added franchise then the fee for such package would be $5,000, and if you require training of an additional person to manage that new franchise then you must pay us pay us a $1,250 fee plus our reasonable out of pocket expenses incurred in providing the training at our headquarters We have never sold an additional Equipment Package to a franchisee that purchased additional territories All initial payments are not refundable under any arcumstances All initial payments are due upon execution of the Franchise Agreement and must be paid in a lump sum via certified check, cashier's check or money order During 2019 we may provide inducements for new or our existing franchisees to purchase additional territories.

Financing

The Grout Medic, LLC does not offer direct or indirect financing We do not guarantee your note, lease or any other obligation incurred to develop or operate the franchised business.

Franchisee Revenue and Profit

The FTC's Franchise Rule permits a franchisor to provide information about the actual or potential financial performance of its franchised and/or franchisor-owned outlets, if there is a reasonable basis for the information, and if the information is included in the disclosure document Financial performance information that differs from that included in Item 19 may be given only if (1) a franchisor provides the actual records of an existing outlet you are considering buying, or (2) a franchisor supplements the information provided in this Item 19, for example, by providing information about possible performance at a particular location or under particular circumstances We do not make any representations about a franchisee's future finanaal performance or the past financial performance of company-owned or franchised outlets We also do not authorize our employees or representatives to make this representation either orally or in writing If you are purchasing an existing outlet, however, we may provide you with actual records of that outlet If you receive any other financial performance information or projections of your future income, you should report it to the franchisor's management by contacting JC Timmons, 2121 Lohmans Crossing Suite 504-228 Austin, TX 78734, telephone 800-700-1411, the Federal Trade Commission, and the appropriate state regulatory agencies.