Can Bananas Smoothies Frozen Yogurt discontinue the multi-unit discount program at any time?
Bananas_Smoothies_Frozen_Yogurt Franchise · 2025 FDDAnswer from 2025 FDD Document
The discount program does not apply to transfers. We also reserve the right to discontinue this program at any time.
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 19–31)
What This Means (2025 FDD)
According to the 2025 Bananas Smoothies Frozen Yogurt FDD, Bananas Smoothies Frozen Yogurt reserves the right to discontinue the multi-unit discount program at any time. This policy does not apply to franchise transfers.
This means that even if a franchisee is planning to purchase multiple Bananas Smoothies Frozen Yogurt locations based on the incentive of a multi-unit discount, the franchisor can eliminate that discount program. This could significantly impact the franchisee's projected costs and profitability.
Prospective franchisees should carefully consider this clause and its potential financial implications. It would be prudent to discuss the likelihood of the discount program's continuation with the franchisor and to factor in the possibility of its termination when making financial projections for multiple locations. While such clauses are not uncommon, franchisees need to be aware of the risks involved.