What must a Camp Margaritaville franchisee do regarding space for FBR Units?
Camp_Margaritaville Franchise · 2025 FDDAnswer from 2025 FDD Document
Pursuant to the FBR Rider to the Franchise Agreement, you may be granted the opportunity to operate one or more Margaritaville branded restaurants and/or bars and/or a Margaritaville-branded retail store within your Resort (each, an "FBR Unit"). A copy of the form of FBR Rider is attached as Exhibit C-1 to this Franchise Disclosure Document ("FBR Rider"). Any FBR Unit will be licensed to use the proprietary trademarks and copyrighted materials applicable to that FBR Unit under the FBR Rider. Any such authorized FBR Unit shall be deemed part of your Resort. You must make space available in your Resort for all FBR Units meeting our specifications for size, design, and layout. For FBR Units that are restaurants/bars, you will be required to utilize our specified menu items ("Core Menu") for a certain percentage of the food offerings, along with certain alcoholic and non-alcoholic beverage choices. Currently, the Core Menu makes up approximately 80% of food offerings. For FBR Units that are retail stores, you will be required to sell Margaritaville branded or themed merchandise, in addition to other relevant retail items ("Merchandise"). The Franchise Agreement does not grant you the right or option to own and operate any other Margaritaville branded or themed restaurant, bar, or retail store within your Resort other than as mutually agreed. Our ability to grant FBR Units may be limited by our pre-existing restaurant license and franchise agreements which contain areas of protection. If you are not granted the opportunity to operate an FBR Unit, you shall be required to operate one or more food and beverage concepts approved by us in our sole discretion.
Source: Item 1 — THE FRANCHISOR AND ANY PARENTS, PREDECESSORS, AND AFFILIATES (FDD pages 9–14)
What This Means (2025 FDD)
According to Camp Margaritaville's 2025 Franchise Disclosure Document, franchisees may have the opportunity to operate Margaritaville-branded restaurants, bars, and retail stores, known as FBR Units, within their resort. If granted this opportunity, the franchisee is obligated to allocate space within the resort that meets Camp Margaritaville's specifications for size, design, and layout. These FBR Units are licensed to use Camp Margaritaville's proprietary trademarks and copyrighted materials and are considered part of the resort.
For restaurant and bar FBR Units, franchisees must use the franchisor's specified menu items, called the "Core Menu," for a certain percentage of their food offerings, along with specific alcoholic and non-alcoholic beverage choices. Currently, the Core Menu constitutes approximately 80% of the food offerings. For retail store FBR Units, franchisees must sell Margaritaville-branded or themed merchandise, in addition to other relevant retail items.
It's important to note that the Franchise Agreement does not automatically grant franchisees the right to operate other Margaritaville-branded restaurants, bars, or retail stores within their resort beyond what is mutually agreed upon. The franchisor's ability to grant FBR Units may also be limited by pre-existing restaurant license and franchise agreements that contain areas of protection. If a franchisee is not granted the opportunity to operate an FBR Unit, they will be required to operate one or more food and beverage concepts approved by the franchisor in its sole discretion.