factual

How many days does Alloy have to notify a franchisee whether a proposed site is accepted or not?

Alloy Franchise · 2025 FDD

Answer from 2025 FDD Document

We will have 30 days after receiving all information we require concerning the proposed site to notify you whether the site is accepted or not. If we do not provide our specific acceptance of a location within this 30 day period, the location is deemed not accepted. Our acceptance only indicates that the site meets our minimum criteria for a Facility. If you are unable to obtain possession of a suitable site for your Franchised Business by lease, sublease or purchase agreement within six months after you sign the Franchise Agreement, we may provide you with an extension of this timeframe or we may terminate your Franchise Agreement. We utilize this same process for each Facility you are obligated to develop under an Area Development Agreement.

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, Alloy has 30 days to notify a franchisee whether a proposed site is accepted or not. This 30-day period starts after Alloy receives all the necessary information about the proposed site from the franchisee.

If Alloy does not provide specific acceptance of the location within this 30-day period, the location is automatically considered not accepted. This means that if a franchisee doesn't hear back from Alloy within 30 days, they should assume the site has been rejected.

This acceptance from Alloy indicates that the site meets the minimum criteria for a facility. However, it's important to note that even if Alloy accepts the site, the franchisee still needs to secure the location by lease, sublease, or purchase agreement. If the franchisee cannot obtain possession of a suitable site within six months after signing the Franchise Agreement, Alloy may either grant an extension or terminate the Franchise Agreement.

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.