What must an Alloy franchisee do regarding the location of their Alloy Facility?
Alloy Franchise · 2025 FDDAnswer from 2025 FDD Document
ITEM 8 RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES*
In order to ensure a uniform image and uniform quality of services and products throughout the Alloy system, you must maintain and comply with our quality standards. Although you are not required to purchase or lease real estate from us or our affiliates, we must accept the location of your Alloy Facility (see Item 11). You must construct and equip your Franchised Business in accordance with our then current approved design, specifications and standards. In addition, it is your responsibility to ensure that your building plans comply with the Americans with Disabilities Act and all other federal, state and local laws.
We reserve the right to designate a primary or single source of supply for certain required items, and we or an affiliate may be that single source.
Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 25–29)
What This Means (2025 FDD)
According to the 2025 Alloy Franchise Disclosure Document, while franchisees are not required to purchase or lease real estate from Alloy or its affiliates, Alloy must approve the location of the Alloy Facility. Franchisees must construct and equip their franchised business according to Alloy's current approved design, specifications, and standards. It is also the franchisee's responsibility to ensure that their building plans comply with the Americans with Disabilities Act and all other federal, state, and local laws.
Alloy reserves the right to review any lease, sublease, or purchase agreement for the approved site before the franchisee signs it. At Alloy's request, the franchisee and their landlord must sign Alloy's form of Lease Addendum, which is attached as an appendix to the Franchise Agreement.
These stipulations ensure that each Alloy location meets the brand's standards for uniformity and quality. By retaining approval rights over location and construction, Alloy aims to maintain a consistent brand image and customer experience across all franchise locations, and that the franchisee complies with legal requirements.