What are the specific requirements for the 'Facility' of a 1 800 Packouts franchise?
1_800_Packouts Franchise · 2025 FDDAnswer from 2025 FDD Document
3. DEVELOPMENT AND OPENING OF FACILITY
A. FACILITY
You must operate your Franchised Business from a Facility located in Your Territory. You agree that you will not execute a lease or purchase contract for a Facility without our prior written approval. 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. You acknowledge that our acceptance of the location for the Facility does not constitute any assurance that the Franchised Business will be profitable at the location or more profitable at the location in comparison to other premises. Our acceptance is only an indication that the particular location for the Facility meets our minimum criteria.
B. PROTOTYPE AND CONSTRUCTION PLANS AND SPECIFICATIONS
We will review and may, in our sole discretion, approve plans and specifications reflecting our requirements for design, decoration, furnishings, furniture, layout, equipment, fixtures and signs for a Facility. It will be your responsibility to have the plans and specifications modified to comply with all ordinances, building codes, permit requirements, and lease requirements and restrictions applicable to the site for the Facility. You must submit final construction plans and specifications to us for approval before construction begins at the Facility, and the Franchised Business must be constructed in accordance with those approved plans. Unless we otherwise agree, all plans and specifications including final construction plans and specifications, will be our property (and you will take all steps necessary to ensure such plans and specifications are our property) and shall not be reproduced, including digitally, without our prior written consent. Our review of your plans will be limited to ensuring that they comply with our design specifications, which are not based upon any structural or scientific studies. By approving your plans we in no way represent or warrant the Facility will be structurally sound or fit for any intended purpose or that the plans will comply with applicable laws or regulations or lease requirements. We will not be liable to you for any defects in workmanship or structural integrity of a Facility that is constructed in accordance with plans that we approve.
C. DEVELOPMENT OF THE FRANCHISED BUSINESS
You agree at your own expense to do the following within a reasonable time after you have obtained possession of the Facility, but in any event by such period as may be provided in any lease we have approved: (1) secure all financing required to fully develop the Franchised Business; (2) obtain all required building, utility, sign, health, sanitation, and any other required permits and licenses; (3) construct the Facility according to the construction plans and specifications we have approved; (4) decorate the Facility in compliance with plans and specifications we have approved; (5) purchase and install all required equipment, furniture, furnishings, and signs; (6) purchase and brand the vehicles in compliance with our specifications; and (7) purchase an opening inventory of all required products, supplies and materials.
Source: Item 23 — RECEIPT (FDD pages 67–238)
What This Means (2025 FDD)
According to the 2025 1 800 Packouts Franchise Disclosure Document, a franchisee must operate their franchised business from a Facility located within their exclusive territory. Before signing a lease or purchase contract, the franchisee must obtain the Franchisor's written approval. The lease terms must accommodate the installation of all necessary equipment and, if required by 1 800 Packouts, be assignable to the Franchisor or its designee upon termination or expiration of the Franchise Agreement. The Franchisor's approval of a location does not guarantee profitability, but only indicates that the location meets the minimum criteria established by 1 800 Packouts.
1 800 Packouts will review and may approve the franchisee's plans and specifications for the Facility's design, decoration, furnishings, layout, equipment, fixtures, and signs. The franchisee is responsible for modifying these plans to comply with local ordinances, building codes, permit requirements, and lease restrictions. Final construction plans must be submitted to 1 800 Packouts for approval before construction begins, and the Facility must be built according to these approved plans. Unless otherwise agreed, all plans and specifications remain the property of 1 800 Packouts and cannot be reproduced without prior written consent.
The review of the plans by 1 800 Packouts is limited to ensuring compliance with their design specifications and does not constitute a warranty of structural soundness or fitness for any purpose, nor does it guarantee compliance with applicable laws or regulations. 1 800 Packouts is not liable for defects in workmanship or structural integrity if the Facility is constructed according to the approved plans. Franchisees are required to secure financing, obtain necessary permits and licenses, construct and decorate the Facility, purchase and install required equipment and signage, brand vehicles, and purchase an opening inventory of required products and supplies within a reasonable time after obtaining possession of the Facility.