Does the Apricot Lane franchise agreement specify any financial thresholds related to opening additional Apricot Lane franchises?
Apricot_Lane Franchise · 2025 FDDAnswer from 2025 FDD Document
ded in Section 6.C of this Agreement.
D. Initial Franchise Fee for a Second or Additional Franchise Purchased
The franchise fee for a second franchise purchased by an existing franchisee is Twenty Thousand Dollars ($20,000), payable on the same terms and conditions as provided in Section 1.C above. FRANCHISEE will sign the Franchise Agreement currently in use for that second location and the "Second or Additional Store Fee" provided for in that second store Franchise Agreement will apply towards any third store location purchased.
E. FRANCHISOR's Right to Vary Standards
FRANCHISEE acknowledges that because complete and detailed uniformity under many varying conditions may not be possible or practical, FRANCHISOR specifically reserves the right and privilege, in its sole discretion and as it may deem appropriate or necessary, to vary standards for any franchisee(s) or particular circumstance.
Source: Item 23 — RECEIPTS (FDD pages 51–222)
What This Means (2025 FDD)
According to the 2025 Apricot Lane Franchise Disclosure Document, there are financial obligations related to opening additional franchise locations. Specifically, the franchise fee for a second Apricot Lane franchise is $20,000. This fee is payable under the same terms and conditions as the initial franchise fee for the first location.
Furthermore, the Apricot Lane FDD states that if a franchisee purchases a third store location, the "Second or Additional Store Fee" provided for in the second store's Franchise Agreement will apply towards the third store location. This implies that each additional store beyond the first requires payment of a franchise fee, although the exact amount for stores beyond the second may vary based on the specific Franchise Agreement in place at that time.
It's important to note that Apricot Lane has no obligation to allow a franchisee to open additional stores, whether inside or outside the franchisee's territory. If Apricot Lane consents to the opening of additional stores, the franchisee must sign the most current form of the Franchise Agreement and pay the initial franchise fee for additional stores as outlined in that agreement. This indicates that the terms and fees associated with opening additional Apricot Lane franchises are subject to change and are contingent upon the franchisor's approval.