For Apricot Lane, what does 'Transfers of Outlets' refer to in Table No. 2?

According to Apricot Lane's 2025 Franchise Disclosure Document, Table No. 2, 'Transfers of Outlets from Franchisees to New Owners' details instances where existing Apricot Lane franchisees sold their stores to new, incoming franchisees, excluding transfers back to the franchisor. This provides insight into the resale market for Apricot Lane franchises.

The table presents this transfer data on a state-by-state basis for the fiscal years 2022, 2023, and 2024. For example, the data shows that in Arizona, there were no transfers in 2022 and 2023, but one transfer occurred in 2024. Similarly, in Illinois, there were no transfers in 2022 or 2024, but two transfers occurred in 2023. The total number of transfers across all states was 4 in 2022, 2 in 2023 and 4 in 2024.

For a prospective Apricot Lane franchisee, this information is valuable in assessing the stability and desirability of the franchise. A high number of transfers might indicate difficulties in operating the franchise, while a low number could suggest franchisee satisfaction. However, it is important to consider the reasons behind the transfers, which could range from retirement to relocation or other personal circumstances. Reviewing this table in conjunction with other data in the FDD, such as terminations and non-renewals, can provide a more comprehensive understanding of franchisee turnover within the Apricot Lane system. A prospective franchisee should speak with current and former franchisees to understand the reasons for transfers and the overall health of the franchise system.