What locations are included in the definition of "Streetside Locations" for an Auntie Annes franchise?
Auntie_Annes Franchise · 2024 FDDAnswer from 2024 FDD Document
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- "Streetside Locations" include freestanding, inline, and endcap locations on city streets or in shopping centers (including power centers, lifestyle centers, and strip centers, but excluding malls (enclosed and open air) and outlet malls and centers). "Other Locations" include all locations other than Streetside Locations, including airports, amusement parks, big box stores, casinos, colleges, convenience stores, farmer's markets, military bases, malls (enclosed and open air), cobranded Subways®, outlet malls and centers, sports and entertainment venues, train stations, transportation centers, travel plazas, truck stops, universities, Walmarts®, zoos, and delivery or ghost kitchens.
Source: Item 6 — OTHER FEES (FDD pages 30–44)
What This Means (2024 FDD)
According to Auntie Anne's 2024 Franchise Disclosure Document, "Streetside Locations" encompass specific types of locations for Auntie Anne's franchises. These include freestanding, inline, and endcap locations situated on city streets or within shopping centers. The shopping centers considered as "Streetside Locations" include power centers, lifestyle centers, and strip centers.
However, the definition explicitly excludes malls (both enclosed and open-air) and outlet malls and centers from being classified as "Streetside Locations". Any Auntie Anne's franchise operating in locations other than those defined as "Streetside Locations" are categorized as "Other Locations".
Understanding the distinction between "Streetside Locations" and "Other Locations" is important because the royalty fees and advertising contributions differ based on the location type. For example, the royalty fee for Cinnabon Co-Branded Shops and Jamba Co-Branded Shops in "Other Locations" is calculated differently than in "Streetside Locations". Similarly, the advertising contribution varies between shops in "Other Locations" and "Streetside Locations," impacting the overall financial obligations of the franchisee.