factual

What are the specific criteria used to define an 'Affiliated Program' in the context of Carvel's franchise disclosure?

Carvel Franchise · 2025 FDD

Answer from 2025 FDD Document

Doctor's Associates LLC ("Subway") franchises retail eating establishments which sell footlong and other sandwiches, salads and other food items under the Subway® mark. Subway began offering franchises in 1974. Subway became an Affiliated Program through an acquisition in April

  1. Subway has its principal place of business at 1 Corporate Drive, Suite 1000, Shelton, Connecticut 06484. As of December 31, 2024, there were 19,502 Subway franchises and no company-owned locations operating in the United States and an estimated 16,120 franchises operating outside the United States. Subway has never offered franchises in any other line of business.

None of the affiliated franchisors are obligated to provide products or services to you; however, you may purchase products or services from these franchisors if you choose to do so.

Except as described above, we have no other parents, predecessors or affiliates that must be included in this Item.

Source: Item 1 — The Franchisor and any Parents, Predecessors, and Affiliates (FDD pages 9–24)

What This Means (2025 FDD)

According to the 2025 Carvel Franchise Disclosure Document, an Affiliated Program is defined through examples of other franchise systems that have become affiliated with Carvel. Specifically, the document mentions Subway as an example of an Affiliated Program, noting that Subway became affiliated with Carvel through an acquisition in April 2024. The FDD lists School of Rock as an affiliated franchisor as well.

While the document does not provide a general definition or specific criteria for what constitutes an 'Affiliated Program,' it clarifies that none of the affiliated franchisors are obligated to provide products or services to Carvel franchisees. However, franchisees may choose to purchase products or services from these affiliated franchisors if they wish.

Prospective Carvel franchisees should note that the affiliation of other franchise systems does not automatically create any obligations or benefits regarding the supply of products or services. It would be prudent for potential franchisees to inquire with Carvel about the nature and extent of any potential collaborations or synergies with these Affiliated Programs and how these relationships might impact their franchise operations.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.