What factors does Aw consider when evaluating a potential franchisee?
Aw Franchise · 2025 FDDAnswer from 2025 FDD Document
- 14.3 Conditions for Approval of Assignment. If you (and your Owners) are in compliance with this Agreement, we will not unreasonably withhold our approval of an assignment, provided that the proposed assignee is, in our opinion, of good moral character and has sufficient business experience, aptitude and financial resources to own and operate a Pap Ray's Restaurant, does not have any conflicting interests unacceptable to us, and otherwise meets our then applicable standards for franchisees.
Source: Item 22 — CONTRACTS (FDD pages 39–40)
What This Means (2025 FDD)
According to Aw's 2025 Franchise Disclosure Document, when considering the approval of an assignment of a franchise agreement, Aw assesses several factors related to the proposed assignee. Aw will not unreasonably withhold approval if the franchisee and their owners are in compliance with the existing agreement.
Specifically, Aw evaluates whether the proposed assignee has good moral character, sufficient business experience, aptitude, and financial resources to successfully operate a Papa Ray's Restaurant. Additionally, Aw considers whether the assignee has any conflicting interests that would be unacceptable to them and whether the assignee meets Aw's then-current standards for franchisees.
These criteria ensure that any new franchisee or assignee is well-suited to maintain the standards and reputation of the Aw brand. Prospective franchisees should be prepared to demonstrate their qualifications in these areas as part of the approval process.