Is remodeling required to renew a Batteries Plus Bulbs Franchise Agreement?
Batteries_Plus_Bulbs Franchise · 2025 FDDAnswer from 2025 FDD Document
| Provision | Section in Agreement(1) | Summary(1) |
|---|---|---|
| a. Length of the franchise term | Section 3; Section 3 of Multiple Unit Franchise Agreement | Franchise Agreement: 10 years. Multiple Unit Franchise Agreement: Ends on last day of Development Schedule. |
| b. Renewal or extension | Section 3 | If you are in good standing, you can renew the Franchise |
| of the term | Agreement for one additional 10 year term. | |
| c. Requirements for you to renew or extend | Section 3 | Provide advance notice, comply with current Franchise Agreement, you and your Store Manager satisfactorily complete any new/refresher training programs, you and your Principal Owners must meet current managerial, financial and business standards, sign new agreement (which may contain materially different terms and conditions than your original Franchise Agreement), remodel, pay renewal fee and Omni-Channel access renewal fee, and sign a general release of claims. |
Source: Item 17 — Renewal, Termination, Transfer, and Dispute Resolution (FDD pages 49–53)
What This Means (2025 FDD)
According to Batteries Plus Bulbs's 2025 Franchise Disclosure Document, remodeling of the store is a requirement for renewing a franchise agreement. To renew the Franchise Agreement for an additional 10-year term, a franchisee must comply with the current Franchise Agreement, ensure that both the franchisee and their Store Manager satisfactorily complete any new or refresher training programs, and ensure that the franchisee and their Principal Owners meet the current managerial, financial, and business standards.
In addition to meeting the aforementioned conditions, the franchisee is also required to sign a new agreement, which may include terms and conditions that are materially different from those in the original Franchise Agreement. The franchisee must also pay a renewal fee and an Omni-Channel access renewal fee. Finally, the franchisee must sign a general release of claims.
This requirement to remodel the store during renewal is a fairly common practice in the franchise industry, as it helps to maintain brand standards and ensure that the store remains modern and appealing to customers. However, the cost of remodeling can be significant, and franchisees should carefully consider this expense when deciding whether or not to renew their franchise agreement. Franchisees should inquire about the estimated cost of required remodeling and any available financing options to make an informed decision.