With whom has the Beehive Homes Franchisor entered into a Sub-Franchise Agreement?
Beehive_Homes Franchise · 2025 FDDAnswer from 2025 FDD Document
The Franchisor has entered into a Sub-Franchise Agreement with BHH Homes of Texas, Inc. (the "Sub-Franchisor"), pursuant to which the Sub-Franchisor has the exclusive right to offer and sell Franchises in the State of Texas. The Sub-Franchisor is responsible for the preparation of its own FDD and compliance with all laws applicable to the offer and sale of Franchises.
Source: Item 1 — THE FRANCHISOR, AND ANY PREDECESSORS AND AFFILIATES (FDD pages 7–9)
What This Means (2025 FDD)
According to Beehive Homes' 2025 Franchise Disclosure Document, Beehive Homes, Inc. has entered into a Sub-Franchise Agreement with BHH Homes of Texas, Inc. This agreement grants BHH Homes of Texas, Inc. the exclusive right to offer and sell Beehive Homes franchises within the state of Texas. As a Sub-Franchisor, BHH Homes of Texas, Inc. is responsible for creating its own Franchise Disclosure Document (FDD) and ensuring compliance with all applicable laws related to franchise sales in Texas.
This arrangement means that if a prospective franchisee is interested in opening a Beehive Homes location in Texas, they would be dealing directly with BHH Homes of Texas, Inc., rather than Beehive Homes, Inc. The terms and conditions of the franchise agreement, as well as the support and training provided, could potentially differ from those offered by Beehive Homes, Inc. in other states.
It is important for potential franchisees in Texas to carefully review the FDD provided by BHH Homes of Texas, Inc. and to understand the specific obligations and benefits of franchising with them. They should also conduct thorough due diligence to assess the Sub-Franchisor's experience and resources to support franchisees in the Texas market. This sub-franchise agreement is a deviation from the standard franchise model, where the franchisor deals directly with all franchisees.