Is a Burros Fries franchisee allowed to sub-franchise under the standard franchise agreement?

According to Burros Fries's 2024 Franchise Disclosure Document, franchisees are not granted the right to sub-franchise under the standard franchise agreement. The document explicitly states that the franchise includes no right to sub-franchise, unless expressly provided in the agreement or in another executed agreement. This means that a franchisee cannot sell franchises to other individuals or entities.

This restriction is common in franchising, as franchisors typically want to maintain control over the selection and training of new franchisees to ensure consistency and quality across the brand. By prohibiting sub-franchising, Burros Fries retains the authority to approve all new franchisees and ensure they meet the company's standards.

For a prospective Burros Fries franchisee, this means they will not have the opportunity to expand their business by selling franchises to others. Their growth potential is limited to operating their own unit(s) and any additional units they may be able to open with the franchisor's approval. This is an important consideration for those who may be looking for a franchise opportunity that allows them to build a larger business through sub-franchising.