Are franchisees required to serve alcohol at an Extreme Art Studio?
Extreme_Art_Studio Franchise · 2024 FDDAnswer from 2024 FDD Document
Liquor License.
Franchisees are not required to serve or allow alcohol at the Studio.
These amounts are the estimated cost of obtaining a license or permit from a state agency to sell alcoholic
beverages at your Extreme Art Studio Business, but not the price to purchase a liquor license from an existing licensee in states that permit that practice. In some cities/markets, it may be necessary to purchase a liquor license. In our experience to date, the cost to obtain a liquor license will vary substantially, depending on the city and state in which the Studio is located and the variety of liquor types being sold.
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 18–23)
What This Means (2024 FDD)
According to the 2024 Extreme Art Studio Franchise Disclosure Document, franchisees are not required to serve alcohol at their studios. However, the FDD includes an estimated cost for a liquor license, ranging from $0 to $15,000, indicating that franchisees have the option to sell alcoholic beverages if they choose.
The cost to obtain a liquor license can vary significantly depending on the city and state where the Extreme Art Studio is located, as well as the types of liquor being sold. In some cities or markets, purchasing a liquor license from an existing licensee may be necessary, which could impact the overall cost.
For prospective Extreme Art Studio franchisees, this means that while serving alcohol is not mandatory, it is an option that could potentially increase revenue. However, franchisees need to consider the additional costs associated with obtaining a liquor license and complying with local regulations. It would be prudent to research the specific requirements and costs in their desired location to make an informed decision about whether to pursue this option.