Must I use a contractor and architect that Annex Brands designates for the build-out of my retail center?
Annex_Brands Franchise · 2025 FDDAnswer from 2025 FDD Document
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You must use a contractor and an architect that we designate in the build-out of your retail center. The contractor will coordinate with the architect, design and plan the premises, interact with local officials for appropriate building approvals, and complete the build-out of the premises (including electrical, painting, equipment package installation for your retail center, and also possibly including interior and exterior signage installation). The architect will design the premises of your retail center according to our specifications and prepare plans that meet local requirements. You may use a substitute licensed contractor if we approve the licensed contractor in advance. It is not our regular practice to approve substitute contractors. The factors we consider to approve or disapprove a substitute contractor are licensing experience, commercial tenant improvement experience, pricing, reputation and scheduling availability. If we approve and you use a substitute contractor, you must pay us a $2,500 construction consultation fee before construction begins. You may not use a substitute architect.
We may reject a proposed site for your franchised facility. We will consider factors such as visibility and accessibility, appearance, parking, size, layout, length of availability, and the terms of any proposed lease or subleas
Source: Item 8 — Restrictions on Sources of Products and Services (FDD pages 39–43)
What This Means (2025 FDD)
According to Annex Brands's 2025 Franchise Disclosure Document, you are generally required to use a contractor and architect designated by Annex Brands for the build-out of your retail center. The designated contractor will coordinate with the architect to design the premises, handle building approvals with local officials, and complete the build-out, including electrical work, painting, equipment installation, and potentially signage. The architect will design the premises according to Annex Brands's specifications and ensure the plans meet local requirements.
However, there is a limited exception: you may use a substitute licensed contractor if Annex Brands approves them in advance, though it is not their regular practice to do so. The factors Annex Brands considers for approval include the contractor's licensing experience, commercial tenant improvement experience, pricing, reputation, and scheduling availability. Importantly, you are not permitted to use a substitute architect under any circumstances.
If Annex Brands approves a substitute contractor, you must pay a $2,500 construction consultation fee before construction begins. This fee likely covers Annex Brands's costs to review and approve the alternate contractor and ensure the build-out meets their standards. This policy ensures Annex Brands maintains control over the build-out process to protect brand standards and consistency across all franchise locations.
Annex Brands also retains the right to reject a proposed site for your franchised facility, considering factors such as visibility, accessibility, appearance, parking, size, layout, lease terms, and length of availability. This further emphasizes Annex Brands's control over site selection and build-out to ensure each location meets their criteria for success.