We have no predecessors or parent companies. Our affiliate, Zero Degrees Italian Ice, LLC, a California limited liability company (“Zero Degrees Westminster”), was formed on July 5, 2013 and operates a ZERO DEGREES Restaurant located at 9822 Bolsa Avenue Restaurant C, Westminster, California 92683. Our affiliate TPP Investment LLC, a California Limited Liability Company was formed on April 10, 2015 and operates three (3) ZERO DEGREES Restaurants located at 17575 Colima Road Suite B, City of Industry, California 91448, 2323 East Chapman Avenue Restaurant C, Fullerton, California 92831, and 1785 Palo Verde Suite F, Long Beach, California 90815. Our affiliate Zero Degrees Anaheim Inc., a California corporation, was formed at February 26, 2018 and operates one (1) ZERO DEGREES Restaurant located at 214 South State College Boulevard, Anaheim, Calkfornia, 92806. Our affiliate Zero Degrees X, LLC, a California limited liability company, was formed on December 20, 2015, and operates two (2) ZERO DEGREES Restaurant under the name “Zero X” located at at 3560 West Temple Avenue, Pomona, California 91768 and 1889 University Ave, Suite 105 Riverside, California 92507. Our affiliate JSW Restaurant Group LLC, a California limited liability company, formed on February 21, 2018, operates one (1) ZERO DEGREES Restaurant located at 24950 Redlands Blvd, Restaurant #A, Loma Linda, California 92354.
We do not operate any Zero Degrees Restaurants. Neither we nor our affiliates conduct any business activities other than in connection with the Restaurants or have previously offered franchises in this or any other line of business. We have offered franchises for Restaurants since April 11, 2017.
We have developed the Zero Degrees system (“Zero Degrees System”) for the operation of Zero Degrees Restaurants which all use the same trade name “Zero Degrees” and other related trademarks, service marks, logos and commercial symbols (collectively, the “Zero Degrees Marks”). We began offering Zero Degrees franchises in 2017. We have not offered franchises in any other line of business. A Zero Degrees Restaurant specializes in offering in fresh and delicious drinks, made with 100% real fruits with no artificial flavors, along with high quality Asian/Mexican authentic foods. Some of our popular items are Mangonada, Pink Lychee, Split Cup, Spicy Watermelon, Ube Milkshake, Elotes, Popcorn Chicken, and Cajun Fries.. We offer 2 separate franchises in this Disclosure Document, though we may not necessarily allow you the opportunity to purchase under any of these programs.
Single Zero Degrees Restaurant Program You must pay us an initial franchise fee (the “Initial Franchise Fee”) of $45,000 when you sign the Franchise Agreement (Exhibit A) for your Zero Degrees Restaurant. If you are signing a new Franchise Agreement with the renewal of an existing franchise, you will pay us a renewal fee in lieu of an Initial Franchise Fee when you sign the new Franchise Agreement as provided in your existing Franchise Agreement. Area Development Program You must pay us a development fee (the “Development Fee”) equal to the Initial Franchise Fee for the first required Zero Degrees Restaurant, plus an additional $22,500 for each additional Zero Degrees Restaurant to be developed under the Area Development Agreement when you sign the Area Development Agreement (Exhibit B) for a minimum of 3 Zero Degrees Restaurants. You must also sign a separate Franchise Agreement (Exhibit A) for each Zero Degrees Restaurant to be opened under the Area Development Agreement. We will credit the Development Fee against the Initial Franchise Fees for each Zero Degrees Restaurant (not to exceed a credit of $22,500 for any which differs from our current form, your Initial Franchise Fee will be determined by your Area single Zero Degrees Restaurant). When you sign the Area Development Agreement, you must sign a Franchise Agreement for your first location and pay the Initial Franchise Fee, less the development fee credit, for the first Zero Degrees Restaurant. if you signed an earlier form of Area Development Agreement Development Agreement. After we accept the proposed Franchised Location for each Zero Degrees Restaurant to be opened by you and after we deliver our then current Disclosure Document to you, you must sign a Franchise Agreement for the Franchised Location. Refunds, Different Fees and Financing The Initial Franchise Fee and Development Fee are fully earned by us when paid and are not refundable under any circumstances. We may reduce, finance, defer or waive the Initial Franchise Fee or Development Fee if and when we determine it is warranted by a unique or compelling situation. We generally do not provide financing for the Initial Franchise Fee or Development Fee. We may do so if and when we determine it is warranted by a unique or compelling situation.
We do not offer direct or indirect financing. We will not guarantee your note, lease, or other obligation.
We do not make any representations about a franchisee's future financial performance or the past financial performance of company-owned or franchised outlets. 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 the franchisor's management by contacting Ken Le, (714) 803-3628, E. La Palma Avenue #E, Anaheim, California, the Federal Trade Commission, and the appropriate state regulatory agencies.