What does the Bang Cookies Franchise Agreement state regarding the Franchisee's desire to obtain a license?
Bang_Cookies Franchise · 2024 FDDAnswer from 2024 FDD Document
WHEREAS, Franchisee desires to obtain the non-exclusive license and right to use the System in the development and operation of one Shop from a single fixed location within a designated territory and pursuant to the terms of this Agreement.
NOW THEREFORE, in consideration of the foregoing recitals and other good and valuable consideration, the receipt and sufficiency of which is hereby mutually acknowledged, the parties do hereby agree, as follows:
ARTICLE 1 DEFINITIONS
Supplementing the terms and definitions contained in the foregoing "Recitals":
"Accounting Period" refers to and means the period of time selected and determined by Franchisor for the required measurement and reporting of financial information and payment of financial obligations by Franchisee. The applicable measurement period will be determined by Franchisor from time to time with respect to Franchisee's obligations to report financial information and data to Franchisor and Franchisee's payment of all fees and other obligations under this Agreement. The respective "Accounting Period" shall be those Franchisor designated times, whether, weekly, monthly, or otherwise, as designated by Franchisor, with all such Accounting Periods automatically commencing on the earlier of the (a) Scheduled Business Commencement Date, or (b) the Actual Business Commencement Date of the Franchised Business and, continuing, throughout the Term of this Agreement. Unless otherwise designated by Franchisor at any time, unless otherwise specified in this Agreement, the Accounting Period shall be a weekly period for each and every week throughout the Term 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, the agreement outlines the franchisee's desire to obtain a non-exclusive license and right to use the Bang Cookies system. This system is for developing and operating one Bang Cookies shop from a single, fixed location within a designated territory, as per the agreement's terms. The shop location must be approved by Bang Cookies.
The Franchise Agreement states that Bang Cookies has developed a distinctive and proprietary system for cookie shops that bake and sell soft-baked cookies, baked goods, and other approved products and services under licensed marks. This system includes trade dress, service offerings, business formats, equipment, products, supplies, operating procedures, programs, methods, procedures, and marketing and advertising standards, all subject to modification by Bang Cookies.
Specifically, the franchisee is granted a nonexclusive license to develop and operate a Bang Cookies shop in line with the Bang Cookies system. The location must be selected by the franchisee but requires approval from Bang Cookies. If a location is pre-approved, it will be designated in Schedule 1 of the agreement, which must be completed and signed by Bang Cookies. The franchisee's signature on Schedule 1 obligates them to develop and operate the franchised business at that location. If a location isn't pre-approved, the franchisee must find and secure a location that Bang Cookies approves.