How many Deka Lash outlets ceased operations for other reasons in Florida during 2022?
Deka_Lash Franchise · 2024 FDDAnswer from 2024 FDD Document
| | 2023 | 1 | | Texas | 2021 | 0 | | | 2022 | 2 | | | 2023 | 0 | | Virginia | 2021 | 0 | | | 2022 | 0 | | | 2023 | 1 | | Total | 2021 | 2 | | | 2022 | 8 | | | 2023 | 11 | Table No. 3 Status of Franchised Outlets For Years 2021 to 2023*
| State | Year | Outlets | Outlets | Terminations | Non- | Reacquired | Ceased | Franchised |
|---|---|---|---|---|---|---|---|---|
| at | Opened | Renewals | By | Opera- | Outlets | |||
| Start of Y |
Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 57–62)
What This Means (2024 FDD)
According to Deka Lash's 2024 Franchise Disclosure Document, in 2022, one Deka Lash outlet in Florida ceased operations for reasons other than terminations, non-renewals, or reacquisition by the franchisor. This means the location closed for a different set of circumstances.
For a prospective franchisee, this indicates a low, but non-zero, risk of closure for unspecified reasons. While one closure out of several operating units isn't necessarily alarming, it highlights the importance of understanding all potential factors that could lead to a Deka Lash studio ceasing operations. These factors could include lease issues, local market conditions, or other unforeseen challenges.
It is important to note that the FDD does not specify the exact reasons for the closure, only that it was for 'other reasons'. A potential franchisee should ask Deka Lash for more details on what constitutes 'other reasons' for closures and what support the franchisor provides to help franchisees avoid such situations. Understanding these factors can help a franchisee better assess the risks and opportunities associated with opening a Deka Lash studio in Florida.