$18

Business Description

The purpose of this Franchise Disclosure Document is to familiarize you with important legal and business aspects of Color Me Mine Enterprises, Inc. and of the franchise it offers to qualified individuals. To simplify the language, we will refer to Color Me Mine Enterprises, Inc., the franchisor, as "CMME”, and the person or company that buys a franchise from CMME as "you." “You” or “your" means a person who acquires a franchise from us. If you are a corporation, partnership; limited partnership or limited liability company “you” or “your” wilt include all your principals, partners and owners. Terms that are defined in the Franchise Agreement or other attached agreements begin with capital letters in this Franchise Disclosure Document, except for the word "you," which will begin with a capital 'Y" or a lower-case "y" depending on its position in the sentence.

Prior Experience

CMME was incorporated in Galifomia on August 17, 1998. CMME's principal business office is located at 3722 San Fernando Road, Glendale, California 91204- The name and address of its agent for service of process in this state is stated in Exhibit A to this Franchise Disclosure Document. CMME does business under the trade name “COLOR ME MINE®." CMME has offered and sold COLOR ME MINE® franchises since December 16, 2014 and has operated COLOR ME MINE® Studios since 1998. GMME's predecessor. Color Me Mine, Inc., operated COLOR ME MINE® Studios from 1991 to 1998. CMME also is a designated supplier of certain materials to COLOR ME MINE® franchisees. GMME's predecessor and wholly owned subsidiary. Color Me Mine Franchising, Inc: (the "Predecessor" or "CMMF"), merged into CMME effective December 16, 2014 (the "Merger Effective Date"). The Predecessor offered and sold COLOR ME MINE® franchises from May 1996 through December 16, 2014. On the Merger Effective Date, CMME became the owner of all of the assets and assumed all of the liabilities of the Predecessor, including 99 franchise agreements in the United States the Predecessor had sold and were operational as of that date.

Business Offered

The business you will operate under the Franchise Agreement is a COLOR ME MINE® ceramic and craft studio offering customers instrudtibn and services in ceramics, crafts, and products, including bisqueware, paint, glazing services, materials, and instruction for pairit-your- own ceramics and other related Craft activities as offered from time to time, which may include but not be limited to canvas painting, wet clay, mosaics,, glass, tie dye and the like: A standard Studio will occupy approximately t,300 to 2,000 square feet and seat approximately 42 to 70 customers.

Initial Fees

If CMME permits you to sign a COLOR ME MINE® Non-refundable Reservation Agreement in order to reserve a territory while you are seeking a suitable site for your franchised Studio, you will pay CMME $7,500 ("Reservation Fee") to be used in any manner in which CMME decides to use it. The Reservation Fee is not refundable. The entire Reservation Fee Will be applied towards your initial franchise fee for the purchase of a COLOR ME MINE® franchise if you sign a franchise agreement.

Financing

GMME does not guarantee your note, lease, or any other obligations. CMME has historically provided limited short term financing on a case-by-caSe basis to creditworthy individuals pending approval of permanent financing. If and when CMME provides this kind of financing, it requires the franchisee to execute a Note, Security Agreement and Personal Guaranty in the forms attached as Exhibit ”E” (the “Note”). The franchisee grants CMME a security interest and lien against all of the frahchisee's assets relating to the COLOR ME MINE® franchise The terms and conditions of the financing are summarized as follows

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 disclbsure document. Financial performance information that differs from that included in Item 19 may be given orily 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