What is the relationship between opening Makeries and the Development Term expiration for a Buff City Soap franchise?

According to Buff City Soap's 2025 Franchise Disclosure Document, the length of the franchise term is directly tied to the opening of Makeries within the designated territory. The Development Term, as outlined in Section 3(a) and Exhibit A of the Development Agreement, concludes either on the expiration date specified in the Summary Page of the Development Agreement or when the franchisee opens the required cumulative number of Buff City Soap Makeries in their territory, whichever comes first. This means that a Buff City Soap franchisee's development term can end prematurely if they successfully meet their development obligations ahead of schedule.

This provision creates an incentive for Buff City Soap franchisees to expedite the opening of their required Makeries. By doing so, they can fulfill their development obligations sooner, potentially allowing them to focus on operating and growing their existing locations. However, it's crucial for prospective franchisees to carefully consider the development schedule and required number of Makeries to ensure they can meet these obligations without compromising the quality of their operations or incurring unnecessary financial strain.

It is important to note that the Development Agreement cannot be renewed or extended. Therefore, franchisees must plan accordingly to maximize their development opportunities within the initial term. Understanding the specific expiration date and the required number of Makeries is essential for effective planning and execution of the development strategy. Buff City Soap franchisees should consult the Summary Page of their Development Agreement for the specific expiration date and carefully review the development schedule to fully understand their obligations.