What fee must a Floyds 99 franchisee pay if they relocate their shop?
Floyds_99 Franchise · 2025 FDDAnswer from 2025 FDD Document
If Franchisee desires to relocate the FLOYD'S 99 Shop or is unable to continue the operation of the FLOYD'S 99 Shop at the Franchised Location because of damage to or destruction of the FLOYD'S 99 Shop, then Franchisee may request Franchisor's approval to relocate the FLOYD'S 99 Shop to another location in the Protected Territory, which approval shall not be unreasonably withheld.
If Franchisor grants Franchisee the right to relocate the FLOYD'S 99 Shop, then Franchisee shall comply with the site selection and construction procedures set forth in Article 5 and pay Franchisor the then-current relocation fee.
Source: Item 22 — CONTRACTS (FDD pages 57–58)
What This Means (2025 FDD)
According to the 2025 Floyds 99 Franchise Disclosure Document, if a franchisee wants to relocate their shop and Floyds 99 approves the relocation, the franchisee must adhere to the site selection and construction procedures outlined in Article 5. Additionally, the franchisee is required to pay Floyds 99 the relocation fee that is current at the time of relocation.
This means that a Floyds 99 franchisee considering a move needs to budget for both the costs of site selection and construction at the new location, as well as the relocation fee itself. The FDD does not specify the amount of this relocation fee, so it is important for a prospective franchisee to confirm the current amount of this fee with Floyds 99 during their due diligence.
It is typical in franchising for franchisors to charge a relocation fee to cover their costs associated with approving a new site and updating franchise agreements. The fee can vary widely depending on the brand and the complexity of the relocation process. Franchisees should consider the potential for relocation during the term of their agreement and factor in these potential costs.