When does a Crawlspace Medic developer execute an additional Franchise Agreement for the second outlet?

According to Crawlspace Medic's 2024 Franchise Disclosure Document, a developer is required to execute an additional Franchise Agreement for the second Crawlspace Medic outlet upon the execution of a lease for the first outlet, assuming all conditions outlined in Section 5.4 of the agreement are either satisfied or waived. This means that the agreement for the second location is signed relatively early in the process, linked to securing the lease for the first location.

This requirement is part of the Mandatory Development Schedule, which dictates that the second location must be opened within one year of the first location's opening. Subsequent locations must then be opened at a minimum of every year thereafter until the development agreement is fulfilled. Extensions to this schedule may be granted in the event of natural disasters, government restrictions, or other uncontrollable acts of nature that significantly impede the franchisee's ability to meet the deadline. Any requests for such extensions must be submitted in writing to Crawlspace Medic at least 30 days before the year deadline, with Crawlspace Medic having 10 days to respond in writing regarding the approval of the extension.

Section 5.4 outlines conditions that must be met or waived by Crawlspace Medic before a developer can proceed with developing an additional outlet. These conditions include the developer requesting the current Franchise Disclosure Document, submitting all required information and documents, providing requested financial statements, and meeting Crawlspace Medic's financial criteria for multiunit franchisees. Additionally, the developer must be in full compliance with the Development Agreement, the Mandatory Development Schedule, and all existing Franchise Agreements, as well as demonstrating the necessary management skills for operating an additional Crawlspace Medic outlet. Failure to meet these conditions can result in the termination of the Development Agreement by Crawlspace Medic.