Under what conditions will Big Apple Bagels approve the relocation of a BAGELS Store?
Big_Apple_Bagels Franchise · 2025 FDDAnswer from 2025 FDD Document
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 12 — TERRITORY (FDD pages 54–56)
What This Means (2025 FDD)
According to Big Apple Bagels's 2025 Franchise Disclosure Document, Big Apple Bagels will approve the relocation of a BAGELS Store under specific conditions. The franchise agreement grants the right to operate a BAGELS Store from one specified location only, emphasizing that the franchise is location-specific rather than area-based.
Big Apple Bagels will approve relocation of a store if the current lease terminates without fault of the franchisee, or if the lease expires without a commercially reasonable possibility of renewal, as determined by Big Apple Bagels. Relocation is also possible if Big Apple Bagels judges that there is a detrimental change in the character of the store location that significantly impacts its business.
Before opening a relocated store, franchisees must obtain prior written approval from Big Apple Bagels. A representative from Big Apple Bagels must be present at the opening of the new store, unless a written waiver is requested and approved. Even with a waiver for on-site presence, written authorization for the specific opening date is required. Upon relocation, an agreement will be established outlining the new location and a deadline for opening, after which royalty fees and marketing fund contributions resume, regardless of whether the new location is open.
Until the new location opens, royalty fees and marketing fund contributions will be based on the average weekly gross revenues from the original store during the year before its closure. Big Apple Bagels also has the right to charge franchisees for relocation-related services, including costs for reviewing and approving the new location and construction drawings.