Must a Desi District franchisee complete a remodel in the timeframe specified by Desi District Franchise Group?
Desi_District Franchise · 2024 FDDAnswer from 2024 FDD Document
Franchisee must complete the Remodel in the time frame specified by Desi District Franchise Group.
Desi District Franchise Group may require the Franchisee to submit plans for Desi District Franchise Group's reasonable approval prior to commencing a required Remodel.
Desi District Franchise Group's right to require a Remodel is limited as follows: (i) the Remodel will not be required in the first two or last two years of the term (except that a Remodel may be required as a condition to renewal of the term or a Transfer), and (ii) a Remodel will not be required more than once every five years from the date on which Franchisee was required to complete the prior Remodel.
Source: Item 22 — CONTRACTS (FDD page 52)
What This Means (2024 FDD)
According to Desi District's 2024 Franchise Disclosure Document, franchisees are obligated to complete any required remodeling of their location within the timeframe specified by Desi District Franchise Group. Desi District may also require franchisees to submit remodel plans for approval before starting any work.
However, there are some limitations to Desi District's right to demand a remodel. Desi District will not require a remodel during the first two or last two years of the franchise term, with the exception of remodels required for renewal or transfer of the franchise. Additionally, remodels will not be required more than once every five years, calculated from the completion date of the previous remodel.
This requirement ensures that all Desi District locations maintain a consistent brand image and meet current system standards. Franchisees should factor in the potential costs and time commitment associated with remodeling when evaluating the franchise opportunity. It is important to communicate with Desi District to understand the scope and frequency of potential future remodel requirements.