What requirements does 1 800 Packouts have for the lease of the Facility?
1_800_Packouts Franchise · 2025 FDDAnswer from 2025 FDD Document
Before you open the Franchised Business, we or our designee will:
- (1) Review and approve or disapprove the terms of the lease or purchase contract for the premises of the Franchised Business.
Your proposed location will be approved based upon factors including adequate parking for your vehicle, including any truck or trailer you use and adequate space for the storage of contents which your operations require you to store for customers.
It must also be of adequate size to support your operations and must have high-speed internet access for you and any staff member(s) you retain.
Outside of these factors, and the location within your Franchise Territory, we do not consider other factors in approving or disapproving your site.
We generally do not own the premises or lease the premises to you.
The lease for the Facility must allow for the installation of all equipment and other items necessary to operate the Franchised Business.
In addition, the lease shall provide, if required by us, that it be assignable to us or our designee at our option, upon termination or expiration of this Agreement, and shall also contain such terms and provisions as are reasonably approved by us.
Currently, we do not specify other required lease terms.
There is no time limit for the completion of our review of your lease or purchase contract, but we anticipate completing our review within 10 days of your submission.
If we do not approve the terms of the lease or purchase contract and you are unable to locate another site with satisfactory lease or purchase terms in enough time to open the Franchised Business within 180 days after the effective date of the Franchise Agreement, we may terminate the Franchise Agreement, in which case you will forfeit your Initial Franchise Fee. (Franchise Agreement – Section 3.A)
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING (FDD pages 32–39)
What This Means (2025 FDD)
According to 1 800 Packouts's 2025 Franchise Disclosure Document, the franchisor retains the right to review and approve or disapprove the lease terms for the franchisee's business location. 1 800 Packouts will assess the proposed location based on several factors, including adequate parking for the franchisee's vehicle (including any truck or trailer) and sufficient space for storing customer contents. The facility must also be large enough to support operations and have high-speed internet access. The franchisor does not consider other factors outside of these and the location within the franchise territory.
The lease must allow for the installation of all necessary equipment and items to operate the 1 800 Packouts franchise. Additionally, the lease should include a clause that allows 1 800 Packouts, at its option, to assume the lease if the Franchise Agreement is terminated or expires. The lease terms must also be reasonably approved by 1 800 Packouts. While the franchisor does not currently specify other required lease terms, they retain the right to do so.
If 1 800 Packouts does not approve the lease or purchase contract terms, and the franchisee cannot find another suitable site within 180 days of the Franchise Agreement's effective date, 1 800 Packouts may terminate the agreement. In such a case, the franchisee would forfeit the initial franchise fee. 1 800 Packouts estimates completing their review of the lease or purchase contract within 10 days of submission. 1 800 Packouts generally does not own or lease the premises to the franchisee.