How many Afuri Ramen Dumpling franchises in California were terminated in 2023?
Afuri_Ramen_Dumpling Franchise · 2024 FDDAnswer from 2024 FDD Document
| State | Column 2 Year | Column 3 Outlets at the Start of the Year | Column 4 Outlets Opened | Terminations | Non- Renewals | Reacquired by Franchisor | Ceased Operations – Other Reasons | Column 9 Outlets at End of the Year |
|---|---|---|---|---|---|---|---|---|
| California | 2021 | 2 | 1 | 0 | 0 | 0 | 0 | 3 |
| 2022 | 3 | 0 | 0 | 0 | 0 | 0 | 3 | |
| 2023 | 3 | 0 | 0 | 0 | 0 | 2 | 1 | |
| Total | 2021 | 2 | 1 | 0 | 0 | 0 | 0 | 3 |
| 2022 | 3 | 0 | 0 | 0 | 0 | 0 | 3 | |
| 2023 | 3 | 0 | 0 | 0 | 0 | 2 | 1 |
Source: Item 20 — Outlets and Franchisee Information (FDD pages 46–49)
What This Means (2024 FDD)
According to Afuri Ramen Dumpling's 2024 Franchise Disclosure Document, there were no franchise terminations in California during 2023. However, two franchises ceased operations for other reasons.
Specifically, the FDD indicates that three Franchise Agreements with one former franchisee were terminated by mutual agreement. Two of these agreements were for operational outlets located in Cupertino and Mountain View, California. These closures are listed under the "Ceased Operations - Other Reasons" category rather than as terminations.
This distinction is important for prospective franchisees. While no franchises were formally terminated by Afuri Ramen Dumpling, two locations did close due to mutual agreement. This could suggest potential issues with location performance or franchisee-franchisor relations that led to the closures. A potential franchisee should investigate the reasons behind these "other" closures to fully understand the risks and opportunities associated with opening an Afuri Ramen Dumpling franchise in California.