What criteria must an Afuri Ramen Dumpling franchisee satisfy regarding franchise placement and demographics when relocating?
Afuri_Ramen_Dumpling Franchise · 2024 FDDAnswer from 2024 FDD Document
- 1.5 Relocation of the Franchise.
You will not relocate the Franchise or your Franchise Premises, if any, without our prior written approval.
Any relocation will be at your sole expense.
This Agreement will govern your operations at any replacement Franchise location.
You may decide to relocate the Franchise for the following reasons: in your and our judgment there is a change in character of the location of the Franchise sufficiently detrimental to your business potential to warrant its
relocation, or you reasonably decide to relocate the Franchise for cause. If so, you may relocate the Franchise to another location, if:
A. you are not in breach of this Agreement;
B. you evidence to our satisfaction your ability to obtain and commence operations at the new location within a time we deem reasonable after you vacate the original location;
C. you develop, furnish, and equip, at your sole expense, the new location according to our then-current specifications and standards;
D. you pay all reasonable out-of-pocket expenses we incur because of the relocation.
The terms "Franchise Territory" and "Franchise Premises" will include the relocated business site; and
- E. you satisfy our then-
Source: Item 23 — Receipts (FDD pages 50–189)
What This Means (2024 FDD)
According to Afuri Ramen Dumpling's 2024 Franchise Disclosure Document, a franchisee cannot relocate their franchise without prior written approval from Afuri Ramen Dumpling. The franchisee is responsible for all expenses associated with the relocation. The franchise agreement will remain in effect at the new location.
To relocate an Afuri Ramen Dumpling franchise, the franchisee must not be in breach of the franchise agreement. They must also demonstrate their ability to secure and begin operations at the new location within a reasonable timeframe after vacating the original site. The new location must be developed, furnished, and equipped according to Afuri Ramen Dumpling's current specifications and standards, with all costs borne by the franchisee. Additionally, the franchisee must cover all reasonable out-of-pocket expenses incurred by Afuri Ramen Dumpling due to the relocation.
Upon relocation, the terms "Franchise Territory" and "Franchise Premises" will apply to the new business site. The franchisee must also satisfy Afuri Ramen Dumpling's then-current franchise placement, market development, and demographic criteria. This indicates that the new location must meet Afuri Ramen Dumpling's standards for market suitability and customer base, which are in effect at the time of relocation.