Where can exceptions to the Bakery Location requirement for Bang Cookies be found?
Bang_Cookies Franchise · 2024 FDDAnswer from 2024 FDD Document
Franchised Business may only offer and sell the Approved Services and Products.
- "Assignment of Telephone Numbers and Digital Media Accounts" refers to and means the Assignment of Telephone Numbers and Digital Media Accounts agreement attached to this Agreement as Exhibit 6.
"Bakery Location" refers to and means a Shop that is comprised of a Shop and Shop Facility that maintains full on-site production facilities including the on-site preparation of cookie dough and dough for baked goods. The configuration of a Bakery Location must meet Franchisor's standards and specifications as set forth and determined by Franchisor, in Franchisor's Reasonable Business Judgment. Unless otherwise expressly specified and approved by Franchisor in Schedule 1 to this Agreement, Franchisee's Shop must be established as a Bakery Location. Franchisor's specifications and determination as to the specifications and requirements for Bakery Locations shall be determined by Franchisor from time-to-time in Franchisor's Reasonable Business Judgment and as may be specified from time-to-time by Franchisor in the Operations Manual.
"Bang Cookies Shop(s)" shall have the meaning defined in the Recitals section of this Agreement and, without limitation to the Recitals section, the definition of "Bang Cookies Shops", shall further include, refer to and mean: every business and all businesses owned and/or operated by Franchisor, Franchisor's affiliates and/or authorized franchisees that use and/or is/are required to use the System and/or Licensed Marks, and, including, but not limited to, the Franchised Business.
"Brand Development Fund" shall have the meaning defined and set forth in Article 9.A. of this Agreement.
"Brand Development Fund Fee" shall have the meaning defined and set forth in Article 9.A. of this Agreement.
Source: Item 23 — RECEIPTS (FDD pages 56–245)
What This Means (2024 FDD)
According to Bang Cookies's 2024 Franchise Disclosure Document, a franchisee's shop must be established as a Bakery Location unless otherwise authorized in Schedule 1 of the Franchise Agreement. This authorization is evidenced by Bang Cookies's execution of Schedule 1, which expressly permits the shop to be established as a Satellite Location.
A "Bakery Location" is defined as a shop with full on-site production facilities for cookie dough and baked goods, meeting Bang Cookies's standards. A "Satellite Location," on the other hand, does not include full production facilities and relies on a Bakery Location for the supply of prepared or partially prepared dough and ingredients.
For a franchisee to operate a Satellite Location, they must already own and operate a shop that qualifies as a Bakery Location, and Bang Cookies must expressly authorize the establishment of the shop as a Satellite Location. This authorization must be documented in Schedule 1 of the Franchise Agreement. This means that a new franchisee cannot open a Satellite Location without already owning a Bakery Location.