factual

Are All States M.E.D. franchisees restricted to specific landlords for their leased location?

All_States_M_E_D Franchise · 2024 FDD

Answer from 2024 FDD Document

Per Employee |

Leased Location

You will need a site in which to operate the franchise. We furnish site selection guidelines. We require you to send to us any proposed lease and information as required by us to evaluate the site for our approval before you sign the lease. You may lease from any landlord.

Leasehold Improvements

You may purchase leasehold improvements from any supplier but must build out your location according to our specifications.

Signage

You must purchase signage according to our specifications.

High-Ceiling Van with Liftgate

You must purchase a high-ceiling van with liftgate pursuant to our specifications, which many include a model or vendor designation.

Whether we or our Affiliates are Approved Suppliers:

We are currently an approved supplier of advertising material, but not the only approved supplier of such items.

Our affiliate is not currently an approved supplier of products or services to franchisees.

Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 18–21)

What This Means (2024 FDD)

According to All States M.E.D.'s 2024 Franchise Disclosure Document, franchisees are not restricted to specific landlords for their leased location. All States M.E.D. furnishes site selection guidelines and requires franchisees to submit any proposed lease and information for evaluation and approval before signing. However, franchisees may lease from any landlord, providing flexibility in choosing a location.

While franchisees can select their landlord, they must adhere to All States M.E.D.'s specifications for leasehold improvements and signage. Leasehold improvements can be purchased from any supplier, but the location build-out must meet All States M.E.D.'s standards. Signage must also be purchased according to All States M.E.D.'s specifications. This ensures uniformity and brand consistency across all franchise locations.

All States M.E.D. estimates that approximately 70% of a franchisee's expenditures for leases and purchases in establishing their franchised business will be for goods and services that must be purchased from All States M.E.D., an affiliate, an approved supplier, or another party according to their standards and specifications. On an ongoing basis, approximately 30% of expenditures will be for goods and services that must be purchased from these designated sources. This indicates that while franchisees have some freedom in selecting a landlord, a significant portion of their initial and ongoing costs will be subject to All States M.E.D.'s control through required suppliers and specifications.

Disclaimer: This information is extracted from the 2024 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.