What is the prohibited action for a Face Foundrie franchisee regarding the location of their Facial Bar?
Face_Foundrie Franchise · 2025 FDDAnswer from 2025 FDD Document
ny transfer upon death of Franchisee or of any of Franchisee's Owners by will, declaration of or transfer in trust or under the laws of intestate succession; or (v) any foreclosure upon the Facial Bar or the transfer, surrender of loss by Franchisee of possession, control or management of the Facial Bar.
2. GRANT OF RIGHTS.
- 2.01 Grant of Franchise. Subject to the terms of this Agreement, Franchisor grants to Franchisee the right, and Franchisee assumes the obligation, to operate a Facial Bar from the location set forth on Exhibit A hereto (the "Premises") and to use the System and the Marks solely in connection therewith, for a term of ten (10) years, commencing on the Effective Date of this Agreement (the "Term"). Franchisee may not conduct the business of the Facial Bar or use the System at any site other than the Premises, or relo
Source: Item 22 — CONTRACTS (FDD pages 73–74)
What This Means (2025 FDD)
According to Face Foundrie's 2025 Franchise Disclosure Document, a franchisee is prohibited from conducting the business of the Facial Bar or using the System at any site other than the Premises, or relocating the Facial Bar, without Face Foundrie's prior written consent. The "Premises" refers to the location set forth on Exhibit A of the Franchise Agreement. This means a franchisee must operate their Face Foundrie business at the specific location approved by Face Foundrie and outlined in their agreement.
This restriction ensures that Face Foundrie maintains control over its brand and service quality by limiting operations to approved locations. It prevents franchisees from setting up unauthorized locations that might not meet Face Foundrie's standards or could potentially cannibalize sales from existing locations. Any relocation of the Facial Bar requires prior written consent from Face Foundrie.
If a franchisee wishes to relocate, they are responsible for the costs associated with the relocation, and Face Foundrie has the right to charge a relocation fee of $1,000 plus any expenses Face Foundrie incurs in facilitating the relocation. This fee covers Face Foundrie's administrative and oversight costs during the relocation process. The franchisee must seek approval and bear the financial burden of any relocation, reinforcing Face Foundrie's control over location decisions.
This policy is typical in franchising, as location is a critical factor in the success of a retail or service-based franchise. Franchisors like Face Foundrie need to manage their network of locations strategically to optimize market coverage and brand consistency. Franchisees should carefully consider the approved location and the potential costs and restrictions associated with relocation before signing the franchise agreement.