How many Flowerama franchises in Ohio ceased operations for reasons other than termination, non-renewal, or reacquisition by the franchisor in 2024?
Flowerama Franchise · 2024 FDDAnswer from 2024 FDD Document
| Outlets | Reacquired | Ceased | Outlets | |||||
|---|---|---|---|---|---|---|---|---|
| at Start | Outlets | Non | by | Operations | at End | |||
| State | Fiscal Year | of Year | Opened | Terminations | Renewals | Franchisor | Other Reasons | of Year |
| Ohio | ||||||||
| 2022 | 11 | 0 | 1 | 0 | 0 | 0 | 10 | |
| 2023 | 10 | 0 | 0 | 0 | 0 | 0 | 10 | |
| 2024 | 10 | 0 | 0 | 0 | 0 | 1 | 9 |
Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 72–77)
What This Means (2024 FDD)
According to Flowerama's 2024 Franchise Disclosure Document, one Flowerama franchise in Ohio ceased operations for reasons other than termination, non-renewal, or reacquisition by the franchisor during the fiscal year 2024. At the start of 2024, there were 10 Flowerama franchises in Ohio. By the end of the year, the number decreased to 9, with 1 closure attributed to 'Other Reasons'.
This information is crucial for potential franchisees as it provides insight into the stability and turnover of Flowerama franchises within a specific state. Understanding the reasons behind franchise closures can help a prospective franchisee evaluate the risks and challenges associated with operating a Flowerama franchise in Ohio. Factors contributing to 'Other Reasons' for closures could include financial difficulties, market changes, or personal circumstances of the franchisee.
Reviewing the historical data from 2022 and 2023, where no franchises in Ohio closed for 'Other Reasons', adds further context. The fact that one franchise closed for other reasons in 2024, suggests a change in circumstances that prospective franchisees should investigate. It would be prudent for potential franchisees to inquire with Flowerama about the specific reasons for this closure to better assess the potential risks and opportunities in the Ohio market.
Overall, while the number is relatively small, the closure highlights the importance of conducting thorough due diligence and understanding the local market conditions before investing in a Flowerama franchise. Prospective franchisees should also consider discussing this data point with existing franchisees in Ohio to gain a more comprehensive understanding of the challenges and opportunities in the region.