What is the Dq Treat franchisee's obligation regarding the modernization of their building, premises, equipment, signage and grounds?
Dq_Treat Franchise · 2025 FDDAnswer from 2025 FDD Document
You must modernize your building, premises, equipment, signage and grounds to conform to ADQ's then-current standards for similarly situated new DQ® restaurants when you renew your franchise, on transfer of the franchise under certain circumstances, and every 10 years or any shorter period required by any applicable lease or sublease for the premises.
Source: Item 8 — UItem 8U***:** U**Restrictions on Sources of Products and Services (FDD pages 29–35)
What This Means (2025 FDD)
According to Dq Treat's 2025 Franchise Disclosure Document, franchisees are required to modernize their building, premises, equipment, signage, and grounds. This modernization must align with Dq Treat's current standards for similarly situated new DQ restaurants.
This obligation is triggered under specific circumstances: when the franchisee renews their franchise agreement, when the franchise is transferred under certain conditions, and every 10 years. However, if any applicable lease or sublease for the premises requires a shorter period for modernization, that shorter period will take precedence.
This requirement ensures that all Dq Treat locations maintain a consistent and up-to-date image, which is crucial for brand recognition and customer experience. For a prospective franchisee, this means planning for periodic reinvestments in the business to meet Dq Treat's evolving standards. It is important to factor in these modernization costs when evaluating the financial viability of the franchise, considering both the timing and potential expenses associated with these upgrades.