factual

What is the definition of a 'Refresh' for an Auntie Annes franchise, according to the FDD?

Auntie_Annes Franchise · 2024 FDD

Answer from 2024 FDD Document

12.6 Refreshes and Remodels.

  • A.

Refresh.

Within six months after the fifth and the fifteenth anniversaries of the Opening Date, you must, at your sole expense and in accordance with our then-current Standards and directives, refresh, refurbish, and renovate the Franchised Business to meet our then-current operational and branding Standards (a "Refresh").

Generally, a Refresh will require you to add, update, and/or replace components of the Franchised Business (including merchandising elements, graphics, paint or wall coverings, menu boards, interior and exterior signage, kitchen equipment, drive-thru equipment, Computer System components, and other furniture, fixtures, equipment, and décor that we may specify in our sole discretion) to meet our then-current Standards without significantly altering your Franchised Business' layout or structure.

Source: Item 22 — CONTRACTS (FDD page 106)

What This Means (2024 FDD)

According to Auntie Annes's 2024 Franchise Disclosure Document, a 'Refresh' involves the franchisee updating their store to meet the current brand standards. Specifically, within six months after the fifth and fifteenth anniversaries of the store's opening date, the franchisee must refresh, refurbish, and renovate the location at their own expense.

The FDD states that a Refresh generally requires the franchisee to add, update, or replace components of the franchised business. These components include merchandising elements, graphics, paint or wall coverings, menu boards, interior and exterior signage, kitchen equipment, drive-thru equipment, computer system components, and other furniture, fixtures, equipment, and décor. The specific items to be updated or replaced are determined by Auntie Annes at their sole discretion to meet the then-current standards.

The purpose of the Refresh is to ensure that the Auntie Annes franchise maintains a consistent brand image and operational standards. However, the FDD specifies that the Refresh should not significantly alter the store's layout or structure. This suggests that the focus is on cosmetic and functional updates rather than major construction or remodeling. Franchisees should budget for these expenses and plan for the disruption to their business during the Refresh process.

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.