$5

Business Description

Flower Tent USA, Inc. is the franchisor. Thomas F. Ansilio, Jr., opened the first Flower Tent Business in 1992 in Wyoming, Pennsylvania. Flower Tent Businesses provide plants, flowers, and other landscaping materials to patrons interested in gardening and landscaping. Flower Tent products are sold in a semi-outdoor environment under large tents or greenhouses. Flower Tent Businesses are open on a seasonal basis, approximately March U' through June 30''' (“Selling Season”). While the sales are seasonal, the planning, hiring, and zoning processes involved in running a Flower Tent Business span the entire year. As of December 31, 2018, there were 50 franchised Flower Tent Businesses and 13 Flower Tent Businesses operated by our affiliate. The Flower Tent, Inc. The Flower Tent businesses operated by our affiliate operate pursuant to franchise agreements with us, however we refer to these businesses as Affiliate- Operated Businesses in this Disclosure Document.

Prior Experience

The only name under which we do business is Flower Tent USA, Inc. We are a Pennsylvania Corporation formed on June 1, 2008. Our principal business address is P.O. Box 1675, Kingston, Pennsylvania 18704 (physical address: 12 Apollo Drive, West Wyoming, PA 18644). Our agents for service of process are disclosed in Exhibit D. We have been offering Flower Tent franchises since February 2009. We do not operate any Flower Tent Businesses, we do not offer franchises in any other line of business and we do not engage in any business not described in this Item 1. We do not have any predecessors or a parent company. Our co-founders and owners, Thomas Ansilio and Timothy Ansilio, also own our affiliate, The Flower Tent, Inc., and have operated Flower Tent Businesses under the “Flower Tent” mark since 1992. For purposes of this Disclosure Document, we refer to these businesses as Affiliate-Operated Businesses. Flower Tent, Inc. has the same principal business address as ours and has not offered franchises in any line of business. Flower Tent, Inc. also provides ancillary support services to Flower Tent franchisees in the form of purchasing supplies and products to be sold at Flower Tent locations, providing equipment and supplies for the tents and related location expenses, and through consulting and support regarding tent set- upjand layout.

Business Offered

We have developed a unique system for developing and operating Flower Tent Businesses. We identity this system by means of the Flower Tent trademarks and service marks. We retain the right to award or not award a franchise to any prospective franchisee, regardless of the stage of the award process or costs expended by the prospective franchisee. Under our Multi-Unit Franchise Agreement (“Franchise Agreemenf'), which is attached as Exhibit B, you may develop one to six franchised Flower Tent Businesses in a designated geographic area (“Development Territory”) at locations accepted by us. The Franchise Agreement will contain a schedule that will include site acceptance and opening deadlines for each Flower Tent Business (“Development Schedule”). You will have the right to develop Flower Tent Businesses in the Development Territory during the Development Term, which expires as the opening deadline in the Development Schedule for your last Flower Tent Business. If you are a business entity, your owners must sign the Personal Guaranty attached as Exhibit C to the Franchise Agreement. Each and every detail of the Flower Tent system is important to you, to us and to our other franchisees. You must develop, maintain and operate your Flower Tent Businesses according to our standards, which are set forth in our confidential operations manual (“Manual”). We will provide a copy of the Manual to you during the term of your Franchise Agreement.

Initial Fees

The Initial Franchise Fee is $49,500 and is paid for the right to develop and operate six Franchised Businesses in your Development Territory. The Initial Franchise Fee must be paid to us no later than the date on which you sign the Franchise Agreement and you will not pay any additional Initial Franchise Fees for each Franchised Business that you develop under your Franchise Agreement. The Initial Franchise Fee is fully earned by us when received, is not refundable for any reason and is not credited against any other fees to be paid to us. We will reduce the Initial Franchise Fee to $25,000 if you sign a second Franchise Agreement to develop up to six additional Franchised Businesses in a new Development Territory and we will further reduce the Initial Franchise Fee to $15,000 if you sign a third Franchise Agreement to develop up to six additional Franchised Businesses in a new Development Territory. VetFran Program. If you (or a holder of at least a 51% ownership interest in your franchisee entity) provide us with a DD Form 214 or other adequate documentation demonstrating an honorable discharge from the United States military, we will reduce your Initial Franchise Fee by $1,500. Generally, these initial fees are uniformly imposed on our franchisees, however, in certain unique circumstances, we may reduce or waive a fee for a particular franchisee.

Financing

We do not offer any direct or indirect financing. We do not guarantee your note, lease, or obligation.

Franchisee Revenue and Profit

The FTC's Franehise Rule permits a franchisor to provide information about the actual or potential fmaneial performance of its franchised and/or franehisor-owned outlets, if there is a reasonable basis for the information, and if the information is included in the Diselosure Document. Finaneial performance information that differs from that included in Item 19 may be given only if: (I) a franehisor provides the aetual records of an existing outlet you are eonsidering buying; or (2) a franehisor supplements the information provided in this Item 19, for example, by providing information about possible performanee at a partieular location or under particular circumstances. Some Flower Tent Businesses have earned this much. Your individual results may differ. There is no assurance that you'll earn as much. Other than the preceding financial performance representation, Flower Tent USA, Inc. does not make any financial performance representations. We also do not authorize our employees or representatives to make any such representations either orally or in writing. If you are purchasing an existing outlet, however, we may provide you with the actual records of that outlet. If you receive any other financial performance information or projections of your future income, you should report it to our management by contacting Thomas F. Ansilio at 1-877-356-9700 or P.O. Box 1675, Kingston, PA 18704, the Federal Trade Commission and the appropriate state regulatory agencies.