In 2024, how many company-owned Jersey Mikes outlets were sold to franchisees in California?
Jersey_Mikes Franchise · 2025 FDDAnswer from 2025 FDD Document
WNED OUTLETS STATUS SUMMARY FOR FISCAL YEARS 2022 TO 2024 1,2
| State | Year | Outlets Operating at Start of Year | Outlets Opened | Outlets Reacquired From Franchisee | Outlets Closed | Outlets Sold to Franchisee | Outlets Operating At End of Year |
|---|---|---|---|---|---|---|---|
| 2022 | 0 | 1 | 0 | 0 | 0 | 1 | |
| Arizona | 2023 | 1 | 1 | 0 | 0 | 0 | 2 |
| 2024 | 2 | 0 | 0 | 0 | 1 | 1 | |
| 2022 | 5 |
Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 66–76)
What This Means (2025 FDD)
According to Jersey Mike's 2025 Franchise Disclosure Document, in 2024, two company-owned Jersey Mike's outlets in California were sold to franchisees. This information is part of the detailed outlet data provided in Item 20 of the FDD, which outlines the changes in the number of company-owned and franchised outlets over the past three years. This data helps potential franchisees understand the brand's growth and the dynamics between company-owned and franchised locations.
For a prospective franchisee, this information is valuable in assessing the stability and growth strategy of Jersey Mike's in California. The sale of company-owned stores to franchisees could indicate a strategic move to expand the franchise network, which might present opportunities for new franchisees. It also demonstrates the brand's commitment to supporting franchisees by transferring existing, potentially profitable, locations.
However, it's important to note that the FDD also indicates that two outlets were reacquired from franchisees and one closed in California during 2024. This suggests that while some company-owned stores were sold to franchisees, there were also instances of franchise terminations or non-renewals. A potential franchisee should investigate the reasons behind these reacquired and closed locations to better understand the market conditions and potential challenges in California.
Overall, the data from Item 20 provides a mixed picture of the California market. While the sale of company-owned stores to franchisees can be seen as a positive sign, the reacquired and closed locations highlight the need for careful due diligence. Prospective franchisees should consider these factors and seek additional information from Jersey Mike's regarding the performance and reasons for transfer or closure of specific locations.