$22

Business Description

HomeTeam is an Ohio corporation that was incorporated on December 14, 1992 Our principal business address is 575 Chamber Drive, Milford, Ohio, 45150 We do business under the name HOMETEAM INSPECTION SERVICE Our agents for service of process are listed in Exhibit H

Prior Experience

HomeTeam does not have any affiliates that offer franchises in any line of business or provide products or services to HomeTeam Franchisees We do not have any predecessors or parents

Business Offered

HomeTeam was formed solely for the purpose of selling and supporting building inspection franchises We have never operated any franchises We have offered franchises of this type since December 21,1992 We do not offer franchises m any other business We have no parents

Initial Fees

You must pay an initial franchise fee when you sign the franchise agreement ("Initial Franchise Fee”) The amount of the franchise fee depends upon the demographics of your franchise territory A franchise fee of $35,000 encompasses a Limited territory of up to 50,000 owner occupied households, a franchise fee of $45,000 encompasses a Standard territory of 50,001 to 100,000 owner occupied households' and a franchise fee of $55,000 encompasses a Premium territory of 100,001 to 150,000 owner occupied households Initial Franchise Fees are fully earned upon payment and are entirely non-refundable and are uniform for all franchises currently being offered, however, we reserve the right to offer, from time to time, discounts or incentives under certain circumstances

Financing

At our discretion, we will finance up to 50% of the initial franchise fee upon the terms described below The amount we will finance depends upon the size of the terntory you purchase (see Item 5 for a detailed explanation of the terntory sizes available) When you sign the franchise agreement, you must sign a promissory note for the amount we will finance (a sample of the promissory note is attached to the franchise disclosure document as Exhibit E) and pay the balance of the initial franchise fee

Franchisee Revenue and Profit

The FTC's Franchise Rule permits a franchisor to disclose 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 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 performance at a particular location or under particular circumstances