In which state did Carls reacquire a franchised restaurant in 2024?
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 |
|---|---|---|---|---|---|---|---|---|
| CA | 2022 | 628 | 2 | 0 | 6 | 0 | 10 | 614 |
| 2023 | 614 | 1 | 0 | 0 | 0 | 2 | 613 | |
| 2024 | 613 | 2 | 0 | 1 | 1 | 8 | 605 |
Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 72–79)
What This Means (2024 FDD)
According to Carls's 2024 Franchise Disclosure Document, Carls reacquired one franchised restaurant in California during the 2024 fiscal year. The table provided in Item 20 outlines the changes in the number of restaurants by state, including reacquisitions by the franchisor.
Specifically, for California in 2024, the table shows that there were 613 restaurants at the start of the year, 2 restaurants opened, 1 restaurant was reacquired by Carls, 1 non-renewal occurred, and 8 restaurants ceased operations for other reasons, resulting in 605 restaurants at the end of the year. This indicates a net decrease of 8 restaurants in California during that fiscal year.
This information is relevant for prospective franchisees as it provides insight into the stability and changes within the Carls franchise system. Reacquisitions, terminations, and closures can be indicators of the health and performance of the franchise network in specific regions. Reviewing these trends over multiple years can help potential franchisees assess the risks and opportunities associated with investing in a Carls franchise in a particular state.