Where is the specified number of Franchised Businesses to be developed by a Dermani Medspa developer found?
Dermani_Medspa Franchise · 2025 FDDAnswer from 2025 FDD Document
Pursuant to the terms and conditions of this Agreement, we hereby grant to you the right, and you accept the obligation, to develop a specified number of Franchised Businesses in the Development Area, as set forth Exhibit A attached hereto.
In this regard, you further agree:
- 1.1.1. To develop the Franchised Businesses and dermani MEDSPA®s pursuant to the development schedule set forth in Paragraph 3 of Exhibit A attached hereto (the "Development Schedule").
If at any time during the term of this Agreement you fail to satisfy the Development Schedule, then we have the right, but not the obligation, to exercise our termination rights and other rights pursuant to Section 8 below;
1.1.2. that each dermani MEDSPA® developed under this Agreement must be established and managed by a Franchised Business pursuant to a separate dermani MEDSPA® Franchise Agreement (a "Franchise Agreement") that must be executed as provided in Section 3.1 below; and
1.1.3. that each Franchised Businesses and dermani MEDSPA® developed under this Agreement must be located within the area that is specified in Paragraph 2 of Exhibit A, attached hereto (the "Development Area").
1.2. No Protections to Development Area.
Your rights within the Development Area are nonexclusive, and we may award the same Development Area to multiple area developers.
However, we will not sell the right to develop more dermani MEDSPA®s than the total number of available territories available in the Development Area.
Source: Item 23 — RECEIPTS (FDD pages 66–311)
What This Means (2025 FDD)
According to Dermani Medspa's 2025 Franchise Disclosure Document, the specified number of Franchised Businesses that a developer is obligated to develop within a designated area is detailed in Exhibit A of the Area Development Agreement. This agreement grants the developer the right and imposes the obligation to establish a certain number of Dermani Medspa Franchised Businesses within a defined Development Area.
The development schedule, outlining the timeline for establishing these Franchised Businesses and Dermani Medspa locations, is found in Paragraph 3 of Exhibit A. Failing to meet the milestones set in this Development Schedule can lead to Dermani Medspa exercising its right to terminate the agreement.
Furthermore, each Dermani Medspa developed under the Area Development Agreement must operate as a Franchised Business under a separate Dermani Medspa Franchise Agreement. The location of each Franchised Business must be within the Development Area, as specified in Paragraph 2 of Exhibit A. It is important to note that Dermani Medspa retains the right to award the same Development Area to multiple developers; however, they will not sell the right to develop more Dermani Medspas than the total number of available territories in the Development Area.