What factors does Annex Brands consider when evaluating the 'nature of other business in proximity to the site'?
Annex_Brands Franchise · 2025 FDDAnswer from 2025 FDD Document
LOCATION SELECTION. If the location for the Center has not been selected by Α. Franchisee and approved by Franchisor at the time of execution of this Agreement, then Franchisee agrees to find a location which is suitable for the operation of the Center and acceptable to Franchisor, and to open the Center for business at that location, within 365 days after the execution date of this Agreement. Franchisor will attempt to approve or disapprove any location within 30 days after Franchisee proposes it. Franchisor will not unreasonably withhold approval of a location that meets its standard site selection criteria for demographic characteristics, population of the area surrounding the site, competition from other businesses, the nature of other business in proximity to the site, commercial characteristics, visibility and accessibility, and the size, appearance and other physical characteristics that determine the suitability of the particular premises. Subject to the availability of Franchisor's personnel and at the request of Franchisee, Franchisor will make corporate personnel available to assist in location selection. Salaries and other expenses relating to corporate personnel will be borne by Franchisor. If Franchisee is unable to locate an acceptable site within 365 days after execution of this Agreement, Franchisor may terminate the Franchise at any time thereafter (see Subsection 8.A of this Agreement).
Source: Item 22 — Contracts (FDD pages 109–110)
What This Means (2025 FDD)
According to Annex Brands' 2025 Franchise Disclosure Document, when selecting a location for an Annex Brands center, the franchisor considers several factors. If the franchisee has not already selected a location, they must find one suitable for operating the center and acceptable to Annex Brands, opening within 365 days of the franchise agreement. Annex Brands has 30 days to approve or disapprove a proposed location.
Annex Brands will not unreasonably withhold approval of a location that meets its standard site selection criteria. These criteria include demographic characteristics, population of the area surrounding the site, competition from other businesses, the nature of other businesses in proximity to the site, commercial characteristics, visibility and accessibility, and the size, appearance, and other physical characteristics of the premises.
This means that Annex Brands assesses the types of businesses near the potential franchise location to determine if they will positively or negatively impact the center's business potential. A prospective franchisee should inquire with Annex Brands about what specific types of businesses they consider favorable or detrimental to be located near an Annex Brands franchise.