In Arizona, how many Carls restaurants were not renewed in 2022?
Carls Franchise · 2024 FDDAnswer from 2024 FDD Document
| State | Year | Restaurants at Start of the Year | Restaurants Opened | Terminations | Non- Renewals | Reacquired by Franchisor | Ceased Operations – Other Reasons | Restaurants at End of the Year |
|---|---|---|---|---|---|---|---|---|
| AZ | 2022 | 70 | 0 | 0 | 1 | 0 | 0 | 69 |
| 2023 | 69 | 1 | 0 | 0 | 0 | 0 | 70 | |
| 2024 | 70 | 3 | 0 | 0 | 0 | 0 | 73 |
Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 72–79)
What This Means (2024 FDD)
According to Carls's 2024 Franchise Disclosure Document, in Arizona, one restaurant's franchise agreement was not renewed in 2022. At the start of 2022, there were 70 Carls restaurants, and after one non-renewal, the year concluded with 69 restaurants.
This information is crucial for potential franchisees as it provides insight into the stability and renewal rates of Carls franchises in Arizona. A non-renewal could indicate issues with the location, franchisee performance, or changing market conditions. It is important to note that non-renewal does not necessarily imply failure, but it warrants further investigation.
Prospective franchisees should consider this data in conjunction with other factors, such as the number of restaurants opened, terminations, and overall changes in restaurant count, to gain a comprehensive understanding of the franchise's health and growth potential in Arizona. It would be prudent to inquire with Carls about the specific reasons for the non-renewal to assess any potential risks or opportunities associated with franchising in that market.