How many Chem Dry outlets in Arizona ceased operations for reasons other than termination, non-renewal, or reacquisition by the franchisor in 2022?
Chem_Dry Franchise · 2024 FDDAnswer from 2024 FDD Document
TOTALS | 2021 | 34 | | | 2022 | 52 | | | 2023 | 38 | TABLE 3 STATUS OF FRANCHISED OUTLETS FOR YEARS – 2021 – 2023
| State | Year | Outlets at Start of Year | Outlets Opened | Termi nations | Non Renewals | Re acquired by Franchisor | Ceased Operations Other Reasons | Outlets at End of the Year |
|---|---|---|---|---|---|---|---|---|
| Alabama | 2021 | 32 | 0 | 1 | 0 | 0 | 0 | 31 |
| 2022 | 31 | 0 | 4 | 0 | 0 | 0 | 27 | |
| 2023 | 27 | 1 | 4 | 1 | 0 | 0 | 23 |
Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION TABLE 1 SYSTEMWIDE OUTLET SUMMARY FOR YEARS – 2021 – 2023 (FDD pages 59–68)
What This Means (2024 FDD)
According to Chem Dry's 2024 Franchise Disclosure Document, in 2022, one Chem Dry outlet in Arizona ceased operations for reasons other than termination, non-renewal, or reacquisition by the franchisor. This information is part of a broader overview of outlet performance across different states and years, providing insight into the stability and changes within the Chem Dry franchise system.
For a potential Chem Dry franchisee, this data point is relevant when evaluating the risks and opportunities associated with investing in an Arizona-based franchise. While one closure for 'other reasons' might not seem alarming on its own, it prompts further investigation into the possible causes. These 'other reasons' could range from franchisee decisions to close due to financial underperformance, health issues, or other personal circumstances.
Understanding the reasons behind such closures can help a prospective franchisee better assess the challenges and support systems in place within the Chem Dry network. It would be prudent to discuss this specific instance with Chem Dry representatives and current or former franchisees in Arizona to gain a deeper understanding of the local market dynamics and any potential factors contributing to operational difficulties.
The Chem Dry FDD also provides contact information for the Voice of Chem-Dry (VOC) Advisory Board, offering another avenue for prospective franchisees to gather insights and perspectives from current franchisees. This proactive approach to due diligence can significantly contribute to making an informed investment decision.