factual

As an Alloy franchisee, am I required to use preferred vendors for pre-construction/construction management or for general contractors?

Alloy Franchise · 2025 FDD

Answer from 2025 FDD Document

You may use one of our preferred vendors for pre-construction/construction management or for general contractors while designing and building your Facility. We do not provide (i) assistance with conforming the premises to local ordinances and building codes and obtaining any required permits and/or constructing the premises; or (ii) assistance with equipment, signs, fixtures, opening inventory or supplies except by providing a list of approved suppliers and through our written brand design specifications. We do not deliver or install these items. Your Facility must be opened for business not later than six months after you sign a lease or 12 months after you sign the Franchise Agreement, whichever occurs first. If you are unable to open your Franchised Business within the required time period, we may terminate the Franchise Agreement upon 30 days' prior written notice to you, unless the Facility shall open for business according to the terms of the Franchise Agreement within this 30 day period. You may not open your Facility for business until we have approved it as being ready to open.

Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS AND TRAINING (FDD pages 31–42)

What This Means (2025 FDD)

According to Alloy's 2025 Franchise Disclosure Document, franchisees are not required to use preferred vendors for pre-construction/construction management or for general contractors when designing and building their facility. However, Alloy does provide the option to use their preferred vendors for these services.

While Alloy does not offer direct assistance with conforming the premises to local ordinances and building codes, obtaining required permits, or constructing the premises, they do provide a list of approved suppliers and written brand design specifications to aid franchisees in these processes. Alloy also does not deliver or install these items.

It is important to note that an Alloy franchisee must open their facility for business within a specific timeframe. This timeframe is either six months after signing a lease or 12 months after signing the Franchise Agreement, whichever comes first. Failure to meet this deadline may result in the termination of the Franchise Agreement, with 30 days' prior written notice from Alloy. However, Alloy's approval is required before a franchisee can officially open their facility for business.

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.