Can I use a substitute licensed contractor for the build-out of my Annex Brands 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 architec
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. This designated contractor will handle the coordination with the architect, design and planning of the premises, interactions with local officials for building approvals, and the completion of the build-out, including electrical work, painting, equipment package installation, and potentially interior and exterior signage. The designated architect will design the premises according to Annex Brands's specifications and ensure the plans meet local requirements.
However, the FDD states that you may request to use a substitute licensed contractor, but Annex Brands must approve them in advance. It is not their regular practice to approve substitute contractors. Annex Brands will consider factors such as the contractor's licensing experience, commercial tenant improvement experience, pricing, reputation, and scheduling availability when evaluating a substitute contractor. You are not allowed to use a substitute architect under any circumstances.
If Annex Brands approves your 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 substitute contractor, ensuring they meet the brand's standards and local requirements. This policy ensures that Annex Brands maintains control over the build-out process to protect brand consistency and quality, while providing a limited exception for franchisees who can find a suitable alternative contractor, subject to approval and a fee.