What are the potential benefits of operating a Dq Treat franchise in a specific geographic location?
Dq_Treat Franchise · 2025 FDDAnswer from 2025 FDD Document
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In connection with your authorized franchise, you will: (1) use ADQ's nationally recognized trademarks and service marks; (2) obtain access to the distinctive operational and management attributes of the Dairy Queen® system; (3) participate in many of ADQ's national and regional sales promotion programs, as well as any special programs ADQ establishes for DQ® Treat franchisees; and (4) receive the benefits of association with a nationally recognized franchise system, including various forms of training, opening and operational assistance (see Item 11).
Single Unit Franchise
The single unit DQ® Treat franchise is a license to operate a single DQ® Treat store at an authorized location under the terms of the operating agreement (also referred to as the franchise agreement) included in this disclosure document as Exhibit B.
What This Means (2025 FDD)
According to the 2025 Dq Treat FDD, franchisees benefit from using Dq Treat's nationally recognized trademarks and service marks. Franchisees also gain access to the operational and management systems associated with the Dairy Queen system. Dq Treat franchisees can participate in national and regional sales promotion programs, including any special programs established specifically for Dq Treat franchisees. These benefits are available to single-unit Dq Treat franchisees operating at an authorized location. Franchisees also receive training, and opening and operational assistance.
The FDD outlines two types of locations for Dq Treat franchises: Captive-venue and Street locations. Captive-venue locations are situated in high-traffic areas such as shopping malls, transportation terminals, hospitals, and college campuses, operating under the trade name DQ/Orange Julius. Street locations, which are freestanding or in strip malls, operate under the trade name DQ/Dairy Queen. The success of a Dq Treat franchise can be influenced by its location, with high-traffic areas potentially leading to increased sales. However, the FDD also notes that sales of Dairy Queen products may be seasonal in areas with cooler climates, which could impact revenue during certain times of the year.
When entering into a franchise agreement with Dq Treat, the franchisee is granted the right to operate a single store at a location that Dq Treat has approved in writing. The franchisee is not granted any minimum area or territory. If relocation is necessary due to circumstances like condemnation or landlord actions, Dq Treat may allow relocation if the new site is acceptable, suits Dq Treat's guidelines, does not infringe on other franchisees, and meets construction timelines. For Captive-venue locations, the new site must be within the same building or venue, while Street locations can relocate within a 500-meter radius.