factual

Under the 7 Brew development rights, what is the definition of a 'Non-Traditional 7 Brew Store'?

7_Brew Franchise · 2025 FDD

Answer from 2025 FDD Document

A "traditional" 7 BREW Store ("Traditional 7 BREW Store") is defined to mean a freestanding or other facility that has at least one drive-thru window. Any 7 BREW Store that does not, or would not, have at least one drive-thru window is considered to be a "Non-Traditional 7 BREW Store."

Source: Item 22 — CONTRACTS (FDD pages 82–83)

What This Means (2025 FDD)

According to 7 Brew's 2025 Franchise Disclosure Document, a Traditional 7 Brew Store is defined as a freestanding facility with at least one drive-thru window. Conversely, a Non-Traditional 7 Brew Store is any store that does not have at least one drive-thru window.

This distinction is important for prospective franchisees because development rights granted typically pertain only to Traditional 7 Brew Stores. The franchisor retains the unrestricted right to develop and operate Non-Traditional stores, or to allow other franchisees or licensees to do so, even within a franchisee's territory. These Non-Traditional stores do not count toward a franchisee's development schedule compliance.

Therefore, franchisees should be aware that their exclusive territory rights are limited to Traditional 7 Brew locations. The franchisor can establish Non-Traditional locations within the same territory, which could impact the franchisee's potential customer base and revenue. Franchisees should carefully consider this when evaluating the potential of a specific territory and the overall investment.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.