factual

Under what conditions will the Jersey Mikes Franchisor execute a Franchise Agreement with the Developer?

Jersey_Mikes Franchise · 2025 FDD

Answer from 2025 FDD Document

  • 2.2 Developer shall submit a separate application for each Restaurant to be established within the Designated Territory by Developer. Upon approval of the site of each Restaurant by Franchisor, a separate Franchise Agreement shall be signed for such R estaurant, at which time any applicable Initial Franchise Fee is due and owing. Upon the execution of each Franchise Agreement, the terms and conditions of such Franchise Agreement shall control the establishment and operation of such Restaurant.

Source: Item 22 — CONTRACTS (FDD page 77)

What This Means (2025 FDD)

According to Jersey Mike's 2025 Franchise Disclosure Document, a separate Franchise Agreement will be signed for each Jersey Mike's restaurant after the developer submits an application for each restaurant to be established within the designated territory. The franchisor must approve the site of each restaurant. At the time of signing the Franchise Agreement, any applicable Initial Franchise Fee is due. Once the Franchise Agreement is executed, its terms and conditions will govern the establishment and operation of the restaurant.

Jersey Mike's requires the developer to submit a separate application for each restaurant location. This allows Jersey Mike's to assess each proposed site individually and ensure it meets their criteria for a successful restaurant. The approval of the site is a critical step, indicating that Jersey Mike's believes the location has the potential to perform well.

For a prospective Jersey Mike's developer, this means that securing a territory does not automatically guarantee the right to open restaurants at any location within that territory. Each site must be individually approved by Jersey Mike's, and the Initial Franchise Fee must be paid for each location. This process ensures that both the developer and Jersey Mike's are aligned on the suitability of each location before committing to a Franchise Agreement.

This approach is fairly standard in the franchise industry, as franchisors typically want to maintain control over site selection to protect brand consistency and maximize the chances of success for each franchisee. Developers should be prepared to conduct thorough site research and present compelling data to support their location choices to gain Jersey Mike's approval.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.