What is the purpose of the City Wide franchisee providing their location in the addendum?
City_Wide Franchise · 2025 FDDAnswer from 2025 FDD Document
chisee is using a Telephone Line tied to a cellular, mobile or other portable phone to operate the Franchised Business. All expenses in terminating, changing and forwarding the Telephone Line always times be the sole responsibility of Franchisee. CITY WIDE may, from time to time, establish such further reasonable requirements concerning the establishment and operation of the Office and Franchisee shall promptly comply with such requirements upon receipt of notice thereof.
- 6.4 Franchisee shall notify CITY WIDE of the location ("Location") of the Office during the Term or any Successor Term as outlined in the Manual. Franchisee shall not change the Location without CITY WIDE's approval. Franchisee shall give CITY WIDE at least thirty (30) days prior written notice of any such change and CITY WIDE shall have thirty (30) days within which to approve such Location and the proposed décor and signage. If CITY WIDE does not disapprove of such Location, décor or signage within such thirty (30) day period, same shall be deemed disapproved.
- 6.5 To retain rights to the Designated Territory, Franchisee must meet the annual revenue per capita growth ("Annual Revenue Per Capita Growth") in every year in the Term of the Agreement, as published on uscensus.gov. Specifically, Franchisee will be required to grow the gross revenues generated by the Franchised Business to no less than $0.20 per person per year.
Source: Item 22 — CONTRACTS (FDD page 65)
What This Means (2025 FDD)
According to City Wide's 2025 Franchise Disclosure Document, franchisees must inform City Wide of their office location. City Wide needs to know the franchisee's location during the term or any successor term of the agreement, as outlined in the manual. The franchisee cannot change this location without City Wide's approval, and they must provide at least thirty days' prior written notice for any proposed changes. City Wide then has thirty days to approve the new location, decor, and signage. Failure to disapprove within this period is considered a disapproval.
This requirement ensures that City Wide maintains oversight of where its franchisees are operating. This allows City Wide to manage territories, maintain brand consistency, and ensure that franchisees are operating in suitable locations. The approval process for changes to the location, decor, and signage gives City Wide control over the brand's image and customer experience.
Additionally, City Wide uses the franchisee's location to establish a directory listing on relevant outlets like Yelp, Bing Yellow Pages, and the Better Business Bureau within the designated territory. These listings aim to promote and increase demand for the products and services of the franchised business and other franchisees within the system. Franchisees must notify City Wide if their physical address changes so these listings can be updated, although the franchisee is responsible for the cost to amend already established listings.
This requirement benefits both City Wide and the franchisee. City Wide can maintain brand standards and manage its network effectively, while the franchisee benefits from the franchisor's marketing efforts and brand recognition. However, franchisees should be aware of the restrictions on changing locations and the associated approval process, as well as the responsibility for updating directory listings at their own cost.