FDD ITEM 20 · FISCAL 2022–2024
LABOR FINDERS Item 20: outlets, closures & growth
In its latest FDD Item 20 (fiscal 2024), LABOR FINDERS reported 83 franchised outlets at year end. 2 of 84 franchised outlets open at the start of the year left the system — an annualized exit rate of 2.4%— while 1 new outlets opened. Systemwide units moved -4.9% over 2022–2024.
| Status (FTC) | 2022 | 2023 | 2024 |
|---|---|---|---|
| Outlets at start | 185 | 184 | 183 |
| Opened | 1 | 0 | 1 |
| Transfers | 0 | 2 | 5 |
| Terminations | 0 | 0 | 2 |
| Non-renewals | 0 | 0 | 0 |
| Reacquired by franchisor | 0 | 99 | 0 |
| Ceased — other reasons | 2 | 1 | 0 |
| Outlets at end | 184 | 183 | 175 |
| Net change | -1 | -1 | -8 |
2 terminations + 0 non-renewals + 0 ceased (other) = 2 exits ÷ 84 at start = 2.4%
These are the three FTC Item 20 statuses in which a franchisee involuntarily or terminally leaves the system. Transfers (5) are resales, not exits; reacquisitions by the franchisor (0) are tracked separately. There is no official “failure rate” — this annualized exit rate is the disclosed, measurable floor.
A broker is paid by the franchisor to place you. An independent CPA is paid by you — and the job is pressure-testing LABOR FINDERS's numbers, including talking you out of a bad deal.
Talk to an independent CPA before you buy →