Where in the Beauty Bungalows FDD can I find information about the development schedule and deadlines?
Beauty_Bungalows Franchise · 2025 FDDAnswer from 2025 FDD Document
the Maryland Securities Commissioner has required a financial assurance. Therefore, all initial fees and payments owed by franchisees shall be deferred until the franchisor completes its pre-opening obligations under the franchise agreement. In addition, all development fees and initial payments by area developers shall be deferred until the first franchise under the development agreement opens
3. Development Schedule and Deadlines
3.1. Development Schedule.
You must enter into Franchise Agreements, and open and operate Franchised Businesses in accordance with the deadlines set forth in the Development Schedule. By each "Opening Deadline" specified in the Development Schedule, you must have the specified number of Businesses open and operating. Prior to opening additional Franchised Businesses in your Development Area, you must: (i) possess sufficient financial and organizational capacity to develop, open, operate, and manage each additional Franchised Business in our reasonable judgment; (ii) be in full compliance with all brand requirements at any existing Franchised Businesses you operate; and (iii) be in compliance with any Franchise Agreement or any other agreement entered into with us.
3.2. Damaged Operating Assets.
If the property, equipment, and/or vehicles ("Operating Assets") used in the operation of any Franchised Business in your Development Schedule are destroyed or damaged by any cause beyond your control such that they may no longer continue to be utilized for the operation of a particular Franchised Business, you must immediately give us notice of such destruction or damage ("Destruction Event"). You must diligently work to repair and replace the Operating Assets of your Franchised Business as soon as possible to resume operation of your Franchised Business.
Source: Item 23 — RECEIPTS (FDD pages 48–177)
What This Means (2025 FDD)
According to the 2025 Beauty Bungalows FDD, information regarding the development schedule and deadlines can be found in Section 3, titled "Development Schedule and Deadlines" of the Area Development Agreement. Specifically, section 3.1, "Development Schedule," outlines the franchisee's obligation to adhere to the set deadlines for opening and operating franchised businesses.
According to the FDD, the franchisee must enter into Franchise Agreements and open and operate the Franchised Businesses in accordance with the deadlines set forth in the Development Schedule. By each "Opening Deadline" specified in the Development Schedule, the franchisee must have the specified number of Businesses open and operating.
Prior to opening additional Franchised Businesses in the Development Area, the franchisee must (i) possess sufficient financial and organizational capacity to develop, open, operate, and manage each additional Franchised Business in Beauty Bungalows' reasonable judgment; (ii) be in full compliance with all brand requirements at any existing Franchised Businesses they operate; and (iii) be in compliance with any Franchise Agreement or any other agreement entered into with Beauty Bungalows.
Appendix A of the Area Development Agreement also contains a table outlining the development schedule, including the minimum number of franchised businesses required and the corresponding opening deadlines (month, date, and year). The agreement expires at midnight on the last Opening Deadline date listed on the Development Schedule unless the agreement is terminated sooner as provided in other sections of the agreement.