Under a Crepe De Licious Area Development Agreement, what is the 'Development Area'?
Crepe_De_Licious Franchise · 2025 FDDAnswer from 2025 FDD Document
We may also offer to enter into an area development agreement ("Area Development Agreement") (included as Exhibit C to this Disclosure Document) with qualified legal entities and persons ("Area Developer"), which grants the right to establish and operate a specified number of Crepe Delicious Restaurants in a specified area ("Development Area") at specific locations that must be approved by us, each under a separate Franchise Agreement. We will enter into Area Development Agreements under which at least two Crepe Delicious Restaurants will be developed by an Area Developer.
Area Developers must open each Crepe Delicious Restaurant in accordance with an agreed upon opening scheduled ("Development Schedule"). The Development Schedule will be set forth in Exhibit A of the Area Development Agreement. The Area Developer exercises its right to open Crepe Delicious Restaurants by entering into a separate Franchise Agreement for each Franchised Restaurant opened. These separate Franchise Agreements for each unit under an Area Development Agreement may be in a form different from the Franchise Agreement disclosed in this offering.
Source: Item 1 — THE FRANCHISOR, AND ANY PARENT, PREDECESSORS, AND AFFILIATES (FDD pages 9–11)
What This Means (2025 FDD)
According to Crepe De Licious's 2025 Franchise Disclosure Document, the Development Area, under an Area Development Agreement, refers to a specific geographic region where an Area Developer is granted the right to establish and operate a predetermined number of Crepe De Licious restaurants. These restaurants must be at specific locations approved by Crepe De Licious.
The Area Development Agreement requires the Area Developer to open at least two Crepe De Licious restaurants, following an agreed-upon opening schedule outlined in Exhibit A of the Area Development Agreement. The Area Developer secures the right to open each restaurant by entering into a separate Franchise Agreement for each location.
Prospective Area Developers should note that the Franchise Agreements for individual units under an Area Development Agreement may differ from the standard Franchise Agreement detailed in the Franchise Disclosure Document. This means that the terms and conditions for operating each Crepe De Licious restaurant within the Development Area could vary. Therefore, careful review of the specific Franchise Agreement for each unit is essential to understand the obligations and rights associated with each location.