What is the length of the initial franchise term for a Bojangles franchise, assuming the location is leased?
Bojangles Franchise · 2025 FDDAnswer from 2025 FDD Document
is franchise is non-exclusive and is granted subject to the terms of Paragraph VII.C.(6) and VII.F.(6) hereof.
II. TERM AND RENEWAL
- A. Except as otherwise provided herein, the initial term of this Agreement shall expire twenty (20) years from the date the Restaurant first opens for business; provided, however, that if Franchisee's approved location is leased, this Agreement shall expire at the earlier of twenty (20) years from the date the Restaurant first opens for business or upon expiration or termination of the initial term of the lease.
- B. Franchisee may, at its option, renew this Agreement for two (2) additional consecutive terms of ten (10) years each, provided that Franchisee is in substantial compliance with the terms of this Agreement.
Source: Item 22 — CONTRACTS (FDD page 82)
What This Means (2025 FDD)
According to Bojangles's 2025 Franchise Disclosure Document, the initial term of the franchise agreement is dependent on whether the location is leased or not. For a standard Bojangles restaurant, the initial term is 20 years from the date the restaurant first opens for business. However, if the franchisee's approved location is leased, the franchise agreement will expire either 20 years from the opening date, or upon the expiration or termination of the initial term of the lease, whichever comes first.
For a Bojangles restaurant located within an existing structure, the initial term is 10 years from the date the restaurant first opens. However, if the franchisee's approved location is leased, the franchise agreement will expire either 10 years from the opening date, or upon the expiration or termination of the initial term of the lease, whichever comes first.
This means that if a Bojangles franchisee leases their location, the term of their franchise agreement could be shorter than the standard 10 or 20 years, depending on the terms of their lease. This is a critical consideration for prospective franchisees as it directly impacts the length of time they are authorized to operate the Bojangles restaurant and build equity in the business. Franchisees need to carefully negotiate lease terms to align with their long-term business goals and the standard franchise term, or be aware that their franchise term could end with the lease.