factual

What performance standards must I meet to retain my All County territory rights?

All_County Franchise · 2025 FDD

Answer from 2025 FDD Document

osed relocation office site you submit within 20 days of receipt of all required information concerning the proposed site.

Minimum Performance. Your rights in and to your Territory and the Franchise Agreement are dependent upon your meeting minimum standards of performance during the term of the Franchise Agreement. You must attain or exceed the requirements for Gross Revenue contained in the Franchise Agreement (Article 4.3). You must attain or exceed each minimum requirement (the "Requirement") for Gross Revenue identified below for each respective specified

period. Upon your first failure to attain the required Requirement, you may cure the failure by paying any Royalty Fee and Advertising Fund contribution owed to us. Upon your second failure to attain the specified Requirement, then we may terminate the Franchise Agreement or otherwise we may elect to render all or any portion of the Territory as non-exclusive.

Minimum Gross Revenue Requirements.

No minimum total Gross Revenue Requirement for the initial 365 days period during the Term of the Franchise Agreement.

$150,000 minimum total Gross Revenue Requirement for the next consecutive second 365 days period during the Term of the Franchise Agreement.

$250,000 minimum total Gross Revenue Requirement for each remaining consecutive 365 days period during the Term of

Source: Item 12 — Territory (FDD pages 26–28)

What This Means (2025 FDD)

According to All County's 2025 Franchise Disclosure Document, maintaining your territory rights depends on meeting specific gross revenue standards outlined in the Franchise Agreement. For the initial 365-day period, there is no minimum gross revenue requirement. However, for the subsequent 365-day period, you must achieve a minimum total gross revenue of $150,000. For each remaining consecutive 365-day period throughout the term of the Franchise Agreement, the minimum total gross revenue requirement increases to $250,000. These figures represent the minimum performance standards and are not intended as financial performance representations.

If you fail to meet the gross revenue requirement for the first time, you have the option to cure this failure by paying any outstanding Royalty Fees and Advertising Fund contributions owed to All County. However, if you fail to meet the specified gross revenue requirement for a second time, All County has the right to terminate the Franchise Agreement. Alternatively, All County may choose to make all or a portion of your territory non-exclusive, which means they could allow other franchisees to operate within your territory.

These performance standards are crucial for prospective All County franchisees to understand. Failing to meet these minimums can lead to territory adjustments or even termination of the franchise agreement. It is important to factor in the time it may take to build the business to achieve these revenue goals. While the initial period has no minimum, the ramp-up to $150,000 and then $250,000 requires careful planning and execution. Franchisees should carefully consider their market and business plan to ensure they can meet these requirements and maintain their territory rights.

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.