factual

Can a Deka Lash franchisee relocate their Franchised Business without approval from the franchisor?

Deka_Lash Franchise · 2024 FDD

Answer from 2024 FDD Document

Permitted Uses. You may operate the Franchised Business only at the accepted site and may not relocate without our approval. You must sell approved products and provide approved services only at the Deka Lash studio you operate under a Franchise Agreement with us.

Relocation of the Franchised Business. We will not normally approve the relocation of the Franchised Business unless there is a material change in economic or other factors affecting your outlet. We will not normally allow you to open additional outlets within your Protected Area. If you lose possession of the Location through no fault of your own, or if we give our approval, you may apply to us for our approval to relocate your business to another site in the designated area, provided such a site is available. We will approve or disapprove the relocation of your outlet, typically within 14 business days of your submission of the required site selection documents required by us.

Source: Item 12 — TERRITORY (FDD pages 40–44)

What This Means (2024 FDD)

According to Deka Lash's 2024 Franchise Disclosure Document, a franchisee must have approval from Deka Lash to relocate their franchised business. The FDD specifies that a franchisee must operate their Deka Lash business only from the site that Deka Lash approves.

The document states that Deka Lash will not normally approve relocation unless there is a significant change in economic or other factors affecting the outlet. However, if a franchisee loses possession of their location through no fault of their own, or if Deka Lash gives approval, the franchisee can apply to relocate to another site in the designated area, assuming a suitable site is available. Deka Lash typically makes a decision on relocation within 14 business days of receiving the required site selection documents.

This requirement ensures that Deka Lash maintains control over the location of its franchises, which is crucial for brand consistency and market strategy. For a prospective franchisee, this means they cannot independently decide to move their business, even within their protected area, without risking a breach of the franchise agreement.

Disclaimer: This information is extracted from the 2024 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.