What is the significance of including agreements signed but units not yet opened for Jack In The Box?

According to the 2025 Jack In The Box Franchise Disclosure Document, Exhibit D lists franchised locations, former franchisees, and agreements signed for units not yet opened. This list provides transparency to potential franchisees. It offers insight into the brand's growth trajectory, the number of signed agreements that are in progress, and the rate at which new Jack In The Box restaurants are expected to open.

For a prospective franchisee, this information is valuable for several reasons. First, it gives an indication of the brand's momentum and market demand. A high number of signed agreements awaiting opening could suggest strong interest in the franchise and potentially favorable market conditions. Conversely, a low number might warrant further investigation into the reasons behind the slower development pace. Second, it allows potential franchisees to assess the risk and stability of the franchise system. By reviewing the list of former franchisees, they can gain insights into turnover rates and potential challenges faced by existing franchisees.

However, the FDD excerpt does not explain why this information is significant. A prospective franchisee should ask Jack In The Box about the typical timeframe between signing an agreement and opening a unit, the reasons for any delays in opening, and the support provided to franchisees during the development phase. Understanding these factors will help a franchisee make an informed decision about investing in a Jack In The Box franchise.