factual

Which affiliates of Epcon Communities develop projects similar to those developed by franchisees?

Epcon_Communities Franchise · 2025 FDD

Answer from 2025 FDD Document

We do not operate any company-owned development projects. Our affiliates, Epcon, Epcon Carolinas, Epcon Georgia and Epcon Indiana, have developed and continue to develop projects similar to those to be developed by you. Their projects are disclosed in Table No. 1 and Table No. 4 of this Item 20 as companyowned outlets. The number of company-owned outlets at the end of a fiscal year reflects that some development projects were completed during that fiscal year and Units are no longer being sold. With one exception for a Franchise Agreement signed prior to April 2019, a project ceases operation when the sale of the last Unit in the project has closed even though some marketing, sales and construction punch-out items may remain to be completed.

Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 79–85)

What This Means (2025 FDD)

According to Epcon Communities' 2025 Franchise Disclosure Document, several affiliates develop projects similar to those developed by franchisees. Specifically, these affiliates are Epcon, Epcon Carolinas, Epcon Georgia, and Epcon Indiana. The FDD clarifies that Epcon Communities itself does not operate any company-owned development projects.

These affiliated projects are detailed in Table No. 1 and Table No. 4 of Item 20 as company-owned outlets. The number of company-owned outlets can fluctuate throughout the fiscal year as development projects are completed and units are sold. Once the last unit in a project is sold, the project is considered to have ceased operation, with a single exception for a Franchise Agreement signed prior to April 2019, even if some marketing, sales, or construction-related tasks remain.

For a prospective franchisee, this information is crucial as it highlights potential competition or market overlap with affiliated entities. Understanding the scope and performance of these company-owned outlets can provide valuable insights into the overall market dynamics and the franchisor's strategic approach. It also emphasizes the importance of reviewing Table No. 1 and Table No. 4 in Item 20 to assess the activities and performance of these affiliated projects.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.