How much written notice is required to terminate the office space lease for Itan?
Itan Franchise · 2025 FDDAnswer from 2025 FDD Document
of a tax position taken or to be taken in a tax return. As of December 31, 2024 and 2023, the Company has not accrued interest or penalties related to uncertain tax positions.
Page 11
NOTE 3 PROPERTY AND EQUIPMENT
Property and equipment consist of the following:
| 2024 | 2023 | |
|---|---|---|
| Computers and equipment | $ 25,753 | $ 25,753 |
| Furniture | 18,716 | 18,716 |
| Vehicles | 82,012 | 82,012 |
| 126,481 | 126,481 | |
| Less: accu |
Source: Item 23 — RECEIPT (FDD pages 44–190)
What This Means (2025 FDD)
According to Itan's 2025 Franchise Disclosure Document, the company is currently leasing office space from a related party under a month-to-month tenancy. To terminate this lease, either party must provide written notice at least 30 days before the intended termination date. This arrangement began on November 1, 2018.
This means that Itan has the flexibility to end its office lease relatively quickly, but it also faces the risk of the landlord terminating the lease with only 30 days' notice. This type of short-term lease can be beneficial for Itan if it anticipates needing to relocate or downsize its office space in the near future.
However, it also creates some uncertainty, as the monthly payments are reviewed periodically and may be adjusted. The lease currently requires monthly payments of approximately $3,133 for rent and common area maintenance. A prospective franchisee should consider the implications of this related-party lease and the potential for changes in terms when evaluating the overall financial stability and operational structure of the Itan franchise.