How many Exit franchises in Massachusetts experienced non-renewal in 2023?
Exit Franchise · 2025 FDDAnswer from 2025 FDD Document
| 2024 | 0 | | TOTALS | 2022 | 21 | | | 2023 | 27 | | | 2024 | 30 | | State | Year | Outlets at Start of Year | Outlets Opened | Terminations | Nonrenewals | Reacquired by Subfranchisor | Ceased Operations – Other Reasons | Outlets at End of Year | |---|---|---|---|---|---|---|---|---| | Alabama | 2022 | 32 | 3 | 0 | 0 | 0 | 0 | 35 | | | 2023
Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 31–42)
What This Means (2025 FDD)
According to Exit's 2025 Franchise Disclosure Document, there were 5 non-renewals of Exit franchises in Massachusetts during 2023. This means that the franchise agreements for these locations were not extended at the end of their term.
Non-renewal can occur for a variety of reasons, such as the franchisee deciding not to continue the business, failure to meet performance standards, or disagreements with the franchisor. For a prospective franchisee, a high number of non-renewals could indicate potential issues with the franchise system, profitability, or franchisee satisfaction. It's important to investigate the reasons behind non-renewals to assess the overall health and stability of the franchise opportunity.
In addition to non-renewals, the Massachusetts Exit franchise also saw 1 termination and 1 reacquisition by a subfranchisor. The number of outlets in Massachusetts went from 15 at the start of 2023, to 9 at the end of the year. A prospective franchisee should seek clarification from Exit regarding the reasons for non-renewals, terminations, and reacquisitions to fully understand the risks and opportunities associated with investing in an Exit franchise in Massachusetts.