factual

What factors does Alloy consider when approving or disapproving a proposed site?

Alloy Franchise · 2025 FDD

Answer from 2025 FDD Document

In approving or disapproving any proposed site, we will consider such matters as we deem material, including demographic characteristics of the proposed site, traffic patterns, visibility, business mix, parking, layout and dimensions of location, physical characteristics of the site, and other commercial characteristics (including the purchase or lease obligations for the proposed site).

We may conduct on-site evaluations, as we deem advisable, as part of our evaluation of the site for the Facility.

We reserve the right to charge you our thencurrent site evaluation fee for each on-site evaluation we conduct.

Source: Item 23 — RECEIPTS (FDD pages 69–245)

What This Means (2025 FDD)

According to Alloy's 2025 Franchise Disclosure Document, Alloy considers several factors when evaluating a proposed site for a new franchise location. Alloy states that the franchisee must find a site that conforms to Alloy's site selection criteria, which may be modified from time to time. The franchisee must submit a complete site report including demographic, commercial, and other information, as well as photographs of the site. Alloy may also conduct on-site evaluations as part of their evaluation process and reserves the right to charge a site evaluation fee for each on-site evaluation conducted.

When deciding whether to approve or disapprove a proposed site, Alloy will consider factors they deem material. These factors include the demographic characteristics of the proposed site, traffic patterns, visibility, the mix of businesses in the area, parking availability, the layout and dimensions of the location, the physical characteristics of the site, and other commercial characteristics, including the purchase or lease obligations for the proposed site.

It is important to note that while Alloy agrees not to unreasonably withhold consent to a proposed site, the ultimate decision rests with them. Prospective franchisees should carefully review Alloy's site selection criteria and gather as much information as possible about potential locations to increase the likelihood of approval. Understanding these criteria and preparing a thorough site report is crucial for franchisees seeking to establish an Alloy franchise at their desired location.

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.