What factors may Fitstop consider when evaluating a relocation request?
Fitstop Franchise · 2024 FDDAnswer from 2024 FDD Document
You may not relocate the Premises of your Franchised Business without our written consent, which we will not unreasonably withhold provided: (i) the new location is located within your Designated Territory and meets our thencurrent criteria for a System-associated Premises; and (ii) you pay our then-current relocation fee (if any). When considering a request for relocation, we may take into account the desirability of the proposed new location, its distance from other and future-planned franchised locations, the traffic patterns, security, cost, and the demographics of the area, proximity of competition, parking, as well as any other related factors we deem appropriate. These are the same kinds of factors we consider when evaluating your initial Premises.
Source: Item 12 — TERRITORY (FDD pages 35–37)
What This Means (2024 FDD)
According to Fitstop's 2024 Franchise Disclosure Document, if a franchisee wants to relocate their Fitstop business, Fitstop may consider several factors. Fitstop's written consent is required for any relocation, and Fitstop states that it will not unreasonably withhold consent if the new location is within the franchisee's designated territory and meets Fitstop's current criteria for a System-associated Premises. Additionally, the franchisee must pay Fitstop's then-current relocation fee, if any.
When evaluating a relocation request, Fitstop may consider the desirability of the proposed new location. This likely refers to factors such as visibility, accessibility, and general appeal of the site. Fitstop may also assess the distance from other existing and planned franchised locations to avoid cannibalization or market saturation. Traffic patterns and security of the area are also relevant, as these can impact customer flow and safety. The cost associated with the new location will also be a factor, ensuring it aligns with the franchisee's financial capabilities and the potential return on investment.
Furthermore, Fitstop may analyze the demographics of the area surrounding the proposed location to ensure it aligns with the target customer base. The proximity of competition is another key consideration, as a highly competitive environment could impact the success of the relocated Fitstop. Parking availability is also important for customer convenience. Finally, Fitstop may consider any other related factors they deem appropriate, providing them with flexibility to assess the relocation request comprehensively.
These considerations are similar to those Fitstop uses when evaluating the initial premises for a new franchise. This suggests that Fitstop applies a consistent set of criteria to both initial site selection and relocation decisions, aiming to ensure the continued success and brand consistency of its franchise locations.