What does the licensing agreement between Itan and the related party allow the company to do with the Marks?
Itan Franchise · 2025 FDDAnswer from 2025 FDD Document
he balance sheets. The loan does not accrue interest.
Rent paid to Evolv for the years ended December 31, 2024 and 2023 was $37,022 and $35,933, respectively. During the years ended December 31, 2024 and 2023, Evolv paid for expenses on behalf of the Company of $2,745 and $2,387, and the Company paid for expenses on behalf of Evolv totaling $14,887 and $19,065, respect
Source: Item 23 — RECEIPT (FDD pages 44–190)
What This Means (2025 FDD)
According to Itan's 2025 Franchise Disclosure Document, the company has a licensing agreement with a related party that owns the trademarks, service marks, and other marks related to the Itan name and franchise. This agreement allows Itan to use and sublicense these marks to its franchise locations.
In practical terms, this means that while Itan itself doesn't directly own the brand's intellectual property, it has the legal right to authorize its franchisees to use the Itan name, logos, and other branding elements in their businesses. This is a fairly common arrangement in franchising, where a parent company licenses its brand assets from a separate entity.
It's worth noting that the licensing agreement requires Itan to make a one-time payment of $10 to the related party. While the FDD does not elaborate on the details of the relationship between Itan and the related party, prospective franchisees may want to inquire about the nature of this relationship and ensure that the licensing agreement is stable and will not be terminated in a way that could affect their franchise operations.