Does Aw grant franchises based on the individual characteristics of the franchisee?
Aw Franchise · 2025 FDDAnswer from 2025 FDD Document
- 14.2 By Franchisee With Approval. You understand and acknowledge that the rights and duties created by this Agreement are personal to you and we have granted the franchise in reliance upon the individual or collective character, skill, aptitude, attitude, business ability and financial capacity of you (and your Owners). Therefore, except as otherwise provided in Paragraph 14.5 below, neither the franchise, your Papa Ray's Pizza Restaurant or a substantial portion of the assets of your Papa Ray's Pizza Restaurant (or any interest therein) nor any part or all of the ownership of an entity that is the Franchisee may be voluntarily, involuntarily, directly or indirectly, assigned, sold, subdivided, subfranchised or otherwise transferred by you or your Owners (including, without limitation, by merger or consolidation, by issuance of additional securities representing an ownership interest in the Franchisee, or in the event of the death of the Franchisee or an Owner of the Franchisee, by will, declaration of or transfer in trust or the laws of intestate succession) without our prior written
Source: Item 22 — CONTRACTS (FDD pages 39–40)
What This Means (2025 FDD)
According to Aw's 2025 Franchise Disclosure Document, Aw grants franchises based on the individual characteristics of the franchisee. The agreement states that the rights and duties within the agreement are personal, and Aw has granted the franchise in reliance upon the individual or collective character, skill, aptitude, attitude, business ability, and financial capacity of the franchisee and their owners.
This means that Aw carefully considers the personal and professional attributes of potential franchisees before awarding a franchise. This is a common practice in franchising, as the success of a franchise location often depends on the franchisee's capabilities and commitment.
For a prospective Aw franchisee, this highlights the importance of presenting a strong personal and professional profile during the application process. Demonstrating relevant skills, experience, and financial stability can increase the chances of being approved for a franchise. Additionally, any transfer of the franchise is contingent on the proposed assignee meeting Aw's standards for franchisees.