factual

Under what conditions can an Aplus franchisee sell alcoholic beverages?

Aplus Franchise · 2024 FDD

Answer from 2024 FDD Document

  • (8) You agree not to sell or provide for the sale of alcoholic beverages except pursuant to a valid and current license, and in no event to permit the serving or consumption of alcoholic beverages on the Premises.

  • (9) You agree not to permit any form of gambling on the Premises except where, with Sunoco's prior written approval, you are duly licensed by the proper state, local, or federal authorities to act as a lottery agency.

  • 22.1.1.c. If the Premises is located in a jurisdiction where beer and wine licenses are available to convenience food store operators, Franchisee must obtain a beer and wine license at your sole cost and expense. If by law, a beer and wine license is not available until construction is completed or the APLUS Store is open for business, this requirement shall be waived as a Condition Precedent; however, you acknowledge and agree you will diligently pursue obtaining a beer and wine license at the earliest possible date.

If Franchisee is prohibited by law from offering for sale alcoholic beverages at the Franchised Business, or otherwise chooses not to offer for sale alcoholic beverages at the Franchised Business, Franchisee shall pay an additional fee of 1% of Gross Sales ("Alcoholic Beverages Assessment") as indicated in Attachment 1, in addition to the Royalty Fee. If Franchisee's APLUS Store is located in a state or county that prohibits the collection of royalties on the sale of alcoholic beverages, the Royalty Fee will be increased by 1% provided the definition of Gross Sales will not include any income from the sale of alcoholic beverages. Franchisor reserves the right to impose an additional non-compliance fee (pursuant to Section 13.14) per month where a franchisee fails to continuously comply with Franchisor's space allocation/planogram requirements for the store by, for example, over expanding the beer/wine segment at

Source: Item 23 — RECEIPT (FDD pages 68–302)

What This Means (2024 FDD)

According to Aplus's 2024 Franchise Disclosure Document, an Aplus franchisee can sell alcoholic beverages if they have a valid and current license. The franchisee must also not permit the serving or consumption of alcoholic beverages on the premises.

If the Aplus store is located in a jurisdiction where beer and wine licenses are available to convenience food store operators, the franchisee must obtain a beer and wine license at their sole cost and expense. If the license is not available until construction is completed or the store is open, this requirement is waived as a condition precedent, but the franchisee must diligently pursue obtaining the license at the earliest possible date.

If a franchisee is prohibited by law from selling alcoholic beverages or chooses not to, they must pay an additional fee of 1% of gross sales, referred to as the "Alcoholic Beverages Assessment," in addition to the royalty fee. However, if the Aplus store is in a state or county that prohibits collecting royalties on alcohol sales, the royalty fee will increase by 1%, and gross sales will not include income from alcohol sales. Aplus also reserves the right to impose an additional non-compliance fee per month if a franchisee fails to comply with space allocation/planogram requirements for the store by over-expanding the beer/wine segment.

Disclaimer: This information is extracted from the 2024 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.