What is the deadline for an Alloy franchisee to provide written notice of intent to renew the franchise agreement?
Alloy Franchise · 2025 FDDAnswer from 2025 FDD Document
15.P below and the Data Sheet and ends 10 years from the date of this Agreement, subject to any modifications in the Data Sheet to take into account the term of the lease for your Authorized Location.
- B. Renewal. You will have the option to renew your rights under this Agreement for one (1) renewal term of 10 years. We may grant you the option to enter into a renewal agreement for your Facility provided that with respect to the renewal agreement: (i) you have given us written notice of your intent to enter into a renewal agreement at least 6 months but not more than 12 months prior to the end of the expiring term; (ii) you sign our then-current form of franchise agreement (modified to reflect that the agreement relates to a renewal agreement), the terms of which may differ from this Agreement, including higher fees; (iii) you have complied with the provisions of subparagraph 5.E regarding modernization and you perform any further items of modernization and/or replacement of the building, premises, trade dress, equipment and grounds as may be necessary for your Facility to conform to the standards then applicable to new ALLOY facilities, regardless of the cost of such modernizations and/or replacements; (iv) you are not in default of this Agreement or any other agreement pertaining to the franchise granted, you have not been in default of this Agreement on three or more occasions during the term of this Agreement, regardless of whether any cure has been effectuated, have satisfied all monetary and material obligations on a timely basis during the term, and are in good standing; (v) if leasing the Facility premises, you have renewed the lease and have provided written proof of your ability to remain in possession of the premises throughout the renewal pe
Source: Item 23 — RECEIPTS (FDD pages 69–245)
What This Means (2025 FDD)
According to Alloy's 2025 Franchise Disclosure Document, a franchisee must provide written notice of their intent to renew the franchise agreement at least 6 months, but no more than 12 months, prior to the end of the current term. The initial franchise agreement term length is 10 years, and the renewal term is also 10 years.
To renew the Alloy franchise agreement, the franchisee must meet several conditions. These include signing the then-current form of the franchise agreement (which may have different terms and higher fees), complying with modernization requirements, not being in default of any agreements, satisfying all obligations on time, and being in good standing with Alloy. The franchisee must also renew their facility lease, meet current training requirements, pay a $5,000 renewal fee, and execute a general release of claims.
If the franchisee does not exercise the option to renew before the agreement expires but continues to operate the franchise, Alloy has the option to treat the agreement as either expired or continued on a month-to-month basis. During this interim period, all obligations remain in effect, and restrictions imposed upon expiration will take effect upon termination of the interim period.
It is important for prospective Alloy franchisees to understand these renewal terms and conditions, as failing to meet the deadlines or other requirements could result in the loss of their franchise. Franchisees should carefully review the renewal agreement and ensure they can meet all obligations before committing to another term.