What does 1 800 Packouts specify for the Franchised Business before opening?
1_800_Packouts Franchise · 2025 FDDAnswer from 2025 FDD Document
ide you with any assistance.**
Our Pre-Opening Obligations
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)
- (2) Review and approve or disapprove plans and specifications and final construction plans complying with our requirements for design, decoration, furnishings, furniture, layout, equipment, fixtures and signs for a Facility. We do not provide assistance in providing, delivery, or installation of equipment, signs, fixtures, opening inventory, or supplies, but we do provide written specifications for such items. (Franchise Agreement – Section 3.B)
- (3) Specify the Management Systems for the Franchised Business. (Franchise Agreement Section 3.D)
- (4) Provide System/Procedure Training, including instruction about how you will make your decisions for employees or contractors (although we will not assist you in the hiring or training of your employees). (Franchise Agreement – Section 4.A)
- (5) Provide you with advice, guidance and support in connection with the opening and initial operation of the Franchised Business. If you request on-site assistance and we are able to schedule such assistance at a mutually agreeable time, you will be required to pay our reasonable fees for such on-site assistance and will be responsible for the reasonable travel, lodging and per diem expenses incurred by our personnel in providing such on-site assistance. (Franchise Agreement – Section 4.C)
- (6) Provide you with access to our Manuals. The table of contents of our Manuals is attached to this disclosure document as Exhibit D. The Manuals currently contain approximately 197 pages. The
Manuals may be modified to reflect changes in the specifications, standards, operating procedures and other obligations in operating Franchised Businesses in our sole discretion. You will be required to adopt any modifications into your Franchised Business, including any adjustments to the minimum and/or maximum prices at which you will sell products or services. (Franchise Agreement – Section 4.G)
(7) Approve the opening of your Franchised Business, provided that you have met all of our requirements for opening. We estimate that the typical length of time between signing a Franchise Agreement and opening your Franchised Business is approximately 120 days. Factors affecting this length of time include, among others: ability to select a site and negotiate a satisfactory lease; hiring of the requisite employees; successful completion of System/Procedure Training; local ordinances or community requirements; delivery of Operating Assets; issuance of all necessary licenses, permits and approvals; and procuring required insurance. (Franchise Agreement – Section 3.F)
Ongoing Assistance
During the operation of the Franchised Business, we or our designee will:
- (1) Give you guidance and assistance in the following areas: (1) methods and techniques for operation of a Franchised Business; (2) national advertising and promotion; (3) the establishment of administrative, bookkeeping, accounting and general operating procedures for the proper operation of the Franchised Business; and (4) any changes in the Franchised Business, authorized services, standards or operating procedures we prescribe for Franchised Businesses. (Franchise Agreement – Section 4.F)
- (2) At your request and expense, provide additional guidance and assistance to you for an hourly charge. (Franchise Agreement – Section 4.F)
- (3) Provide additional training programs, seminars and/or conferences. (Franchise Agreement Section 4.D)
- (4) Revise the Manuals as we deem necessary to reflect changes in the specifications, standards, operating procedures and other obligations in operating Franchised Businesses. (Franchise Agreement – Section 4.G)
- (5) Review and approve suppliers and distributors you would like to use. We have the right to charge a fee to make this evaluation. (Franchise Agreement – Section 10.B.)
- (6) Administer the Brand Fund. (Franchise Agreement − Section 11.E.)
Advertising
Our Marketing. We are not contractually obligated to conduct or develop any advertising or marketing programs for the System.
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING (FDD pages 32–39)
What This Means (2025 FDD)
According to the 2025 FDD, before a 1 800 Packouts franchise opens, the franchisor or its designee will review and either approve or disapprove the lease or purchase contract for the business premises. The location approval is based on factors such as adequate parking for vehicles (including trucks and trailers), sufficient storage space for customer contents, adequate size to support operations, and high-speed internet access. The franchisor generally does not own or lease the premises to the franchisee. The lease must allow for the installation of necessary equipment and may need to be assignable to the franchisor upon termination or expiration of the agreement. The franchisor also reviews and approves or disapproves the plans, specifications, and final construction plans for the facility, ensuring they meet the franchisor's requirements for design, decoration, furnishings, layout, equipment, fixtures, and signs.
1 800 Packouts does not assist in providing, delivering, or installing equipment, signs, fixtures, opening inventory, or supplies, but they do provide written specifications for these items. The franchisor will specify the management systems for the franchised business and provide system/procedure training, including instruction on making decisions for employees or contractors. However, they do not assist in hiring or training employees. The franchisor also provides advice, guidance, and support in connection with the opening and initial operation of the franchised business and gives access to their manuals, which currently contain approximately 197 pages and may be modified to reflect changes in operating procedures.
The 1 800 Packouts franchisor must approve the opening of the franchised business once all opening requirements are met. The estimated time between signing the Franchise Agreement and opening the business is about 120 days, but this can vary based on site selection, lease negotiation, employee hiring, training completion, local ordinances, delivery of operating assets, licenses, permits, approvals, and insurance procurement. If the franchisor does not approve the lease or purchase contract terms, and the franchisee cannot find another suitable site in time to open within 180 days after the Franchise Agreement's effective date, the franchisor can terminate the agreement, resulting in forfeiture of the initial franchise fee.
1 800 Packouts also requires franchisees to conduct local marketing and may require participation in specific advertising or marketing programs at the franchisee's expense. Franchisees must assign an employee to focus on local marketing. All advertising must be dignified and conform to the standards in the manuals, with the franchisor having final say on creative development. Franchisees must submit advertising materials for prior approval, and disapproval is assumed if written approval isn't received within 14 days. The franchisor can require discontinuation of any marketing materials at any time.