Does Deka Lash currently offer Area Representative franchises?
Deka_Lash Franchise · 2024 FDDAnswer from 2024 FDD Document
We previously offered an Area Representative franchise in 2016, through a separate Franchise Disclosure Document, in which Area Representatives would recruit and support unit franchisees in their territory in exchange for a portion of the initial franchise fee and royalty paid by the unit franchisee. Area Representatives may have some management responsibilities related to the sale or operation of unit franchises. We attach here as Exhibit L a list of Area Representatives and further disclosures about them as to Items 2, 3, 4, and 11 of this disclosure document. We no longer offer an Area Representative franchise.
We have not conducted a business of the type being franchised.
We do business as "Deka Lash."
Exhibit E contains our agents for service of process.
Our Parents, Predecessors, and Affiliates
Parents
Our parent company is DL Brands, LLC, a Delaware Limited Liability Company formed on March 13, 2019, with a principal business address at 20 South Main Street, #248, Bountiful, UT 84010. DL Brands, LLC does not offer products or services to our franchisees and has never offered franchises in any line of business.
Source: Item 1 — THE FRANCHISOR, AND ANY PARENTS, PREDECESSORS AND AFFILIATES (FDD pages 9–11)
What This Means (2024 FDD)
According to the 2024 Deka Lash Franchise Disclosure Document, Deka Lash does not currently offer Area Representative franchises. The document states that Deka Lash previously offered Area Representative franchises in 2016, where representatives would recruit and support unit franchisees within a specific territory. In exchange for these services, the Area Representative would receive a portion of the initial franchise fee and royalties paid by the unit franchisee. The FDD clarifies that Deka Lash no longer offers this type of franchise.
However, Deka Lash does offer Area Development Agreements to qualified individuals. These agreements allow individuals to operate multiple Deka Lash Franchised Businesses, typically three to five, according to an agreed-upon development schedule. When entering into an Area Development Agreement, the franchisee must also execute the franchise agreement for their first outlet. For each subsequent studio opened under the Area Development Agreement, the franchisee must sign the then-current franchise agreement, which may differ from the agreement included in the Franchise Disclosure Document.
Prospective franchisees interested in multi-unit ownership should inquire about the specific requirements and obligations under the Area Development Agreement, as well as the terms of the then-current franchise agreements for subsequent studios. Understanding the differences between the initial franchise agreement and those for later studios is crucial for long-term planning and financial forecasting.