How many additional terms can a Brueggers Bagels licensee request under the License Agreement?
Brueggers_Bagels Franchise · 2025 FDDAnswer from 2025 FDD Document
| Provision | Section in Franchise Agreement or License Agreement | Summary |
|---|---|---|
| b. Renewal or extension of the term | Section 3.2 of the Franchise Agreement; Section 2.2 of the License Agreement | Provided we are still franchising and have not made a decision to withdraw from the geographic market of the Bakery, and if you are in good standing, you can request a successor franchise agreement for one additional 10-year term. Under the License Agreement: two additional five year terms, and one additional 10-year term for airport locations. |
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER AND DISPUTE RESOLUTION (FDD pages 49–54)
What This Means (2025 FDD)
According to Brueggers Bagels' 2025 Franchise Disclosure Document, a licensee can request additional terms under the License Agreement, depending on the location type. Specifically, a Brueggers Bagels licensee can request two additional five-year terms. However, for airport locations, a licensee can request one additional ten-year term.
This difference in renewal terms based on location is an important consideration for prospective Brueggers Bagels licensees. Licensees operating in standard locations have the opportunity to extend their agreement twice, each for five years, providing a degree of stability and potential for long-term operation. In contrast, airport locations have a single opportunity to extend for a longer ten-year period, which may reflect the unique operational and contractual considerations associated with airport concessions.
Prospective Brueggers Bagels licensees should carefully evaluate the implications of these renewal terms in relation to their chosen location. Understanding the length of the initial term and the available renewal options is crucial for long-term business planning and investment decisions. Licensees should also be aware of any conditions or requirements that must be met to qualify for a renewal, as these can impact their ability to extend the agreement.