What is the definition of a 'Satellite Store' for Cd One Price Cleaners?
Cd_One_Price_Cleaners Franchise · 2025 FDDAnswer from 2025 FDD Document
To maintain Developer's rights under this Agreement, Developer and/or approved Affiliated Entities must sign franchise agreements for, develop, and open for business the agreed-upon number of Plant Stores and Satellite Stores within the Area by the dates set forth on the Schedule.
Developer acknowledges that (a) the first CD Store that Developer (or one of its Affiliated Entities) operates, which may be operated under the Current Franchise Agreement, must be a Plant Store in order to provide dry cleaning, processing and production of garments to both the Plant Store and other Satellite Stores; and (b) Developer's right to develop and operate Satellite Stores in the Area is conditioned upon Developer's (or its Affiliated Entity's) ability to service those Satellite Stores from their nearby Plant Store(s).
Therefore, Developer must develop the Plant Store(s) and Satellite Store(s), as applicable, in the order referenced on the Schedule.
Franchisor may, at its sole option, refuse to approve Developer's (or its Affiliated Entity's) development of a Satellite Store at any location, and may require the development of a Plant Store instead, consistent with the Schedule, if Franchisor believes (in its sole judgment) that doing so is preferable to maintain high quality standards for customer service in the market that those CD Stores serve.
Source: Item 23 — Receipts (FDD pages 72–263)
What This Means (2025 FDD)
According to Cd One Price Cleaners' 2025 Franchise Disclosure Document, a developer who signs an agreement must open a 'Plant Store' first. This Plant Store provides dry cleaning, processing, and garment production services to both itself and any 'Satellite Stores'. The right to develop and operate Satellite Stores is dependent on the developer's ability to service them from nearby Plant Stores.
Cd One Price Cleaners retains the right to refuse approval for a Satellite Store location and may instead require the development of a Plant Store if it believes doing so is preferable for maintaining high-quality customer service in the market. The order in which Plant and Satellite Stores are developed must follow the schedule outlined in the franchise agreement.
In essence, a Satellite Store in the Cd One Price Cleaners franchise model is a dependent location that relies on a Plant Store for its dry cleaning and garment processing needs. This structure ensures quality control and efficient service delivery across multiple locations within a specific area. The franchisor maintains control over the ratio and location of Plant Stores to Satellite Stores to uphold service standards.