factual

Can a Big Apple Bagels franchisee operate their franchise from a location other than the specified location?

Big_Apple_Bagels Franchise · 2025 FDD

Answer from 2025 FDD Document

You are granted the right to operate a BAGELS Store from 1 specified location only. Your franchise is for a specific location, and not for an area approved by us. There is no minimum territory granted to you.

We will approve relocation of your Store if your lease terminates without your fault or expires without any possibility of renewal on commercially reasonable terms as determined by BAB. We will also approve relocation if in our judgment there is a change in the character of your Store location sufficiently detrimental to its business to warrant relocation. You must obtain our prior written approval before opening your new Store. You may not open your new or relocated Store unless our representative is on-site at the opening, unless you request a waiver in writing, and we approve it in writing. Even if we waive the requirement of on-site presence, you must obtain our written authorization of the specific date that the Store may open. In the event of relocation, we and you will enter into an agreement which will set forth the new location for your Store and a deadline by which you must open for business at the new location, after which time you will be obligated to resume paying the royalty fee and Marketing Fund Contributions whether or not the new location has opened for business. Until such time that the new location is open for business, the amount of the royalty fee and Marketing Fund Contribution will be based on your average weekly level of Gross Revenues during the one year period prior to closing the first Store. We have the right to charge you for services we render to you in connection with your relocation, including reimbursement of our costs for reviewing and approving the new location and the construction drawings for the Store at its new location.

Source: Item 16 — RESTRICTIONS ON WHAT THE FRANCHISEE MAY SELL (FDD pages 67–68)

What This Means (2025 FDD)

According to Big Apple Bagels' 2025 Franchise Disclosure Document, franchisees are granted the right to operate a Big Apple Bagels store from only one specified location. The franchise is tied to a specific location, and there is no minimum territory granted to the franchisee. This means a franchisee cannot simply move their store to a new location without approval from Big Apple Bagels.

However, Big Apple Bagels will approve relocation of the store if the lease terminates without fault of the franchisee, or if the lease expires without any possibility of renewal on commercially reasonable terms as determined by Big Apple Bagels. Relocation may also be approved if Big Apple Bagels judges that there is a detrimental change in the character of the store location that warrants relocation.

Before opening a new or relocated store, the franchisee must obtain prior written approval from Big Apple Bagels. A representative of Big Apple Bagels must be on-site at the opening, unless this requirement is waived in writing by Big Apple Bagels. If relocation is approved, both parties will enter into an agreement setting forth the new location and a deadline for opening the store. After this deadline, the franchisee is obligated to resume paying royalty fees and marketing fund contributions, whether or not the new location has opened. The amount of these fees will be based on the average weekly gross revenues during the year prior to closing the original store. Big Apple Bagels has the right to charge the franchisee for services rendered in connection with the relocation, including reimbursement of costs for reviewing and approving the new location and construction drawings.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.