Can a Kidokinetics franchisee relocate their business without the Franchisor's consent?
Kidokinetics Franchise · 2024 FDDAnswer from 2024 FDD Document
Franchisee may not relocate the Kidokinetics Business without Franchisor's prior written consent, which shall not be unreasonably withheld.
In the event Franchisee elects to relocate the Kidokinetics Business to a new location, Franchisee may relocate the Kidokinetics Business, at Franchisee's sole expense, to a new location selected by Franchisee within the Territory.
In the event Franchisee wishes to relocate the Business, Franchisee:
7.3.1. must provide written notice of its intention to relocate to Franchisor at least 90 days prior to the date on which Franchisee elects to relocate;
7.3.2. shall remove, at Franchisee's sole cost and expense, any signs or other property from the original Kidokinetics Business Location which identified the original Kidokinetics Business Location as part of the System;
Source: Item 22 — CONTRACTS (FDD page 59)
What This Means (2024 FDD)
According to Kidokinetics's 2024 Franchise Disclosure Document, a franchisee cannot relocate their business without prior written consent from Kidokinetics. However, this consent will not be unreasonably withheld. If a franchisee chooses to relocate within their designated territory, they are responsible for all associated expenses.
To initiate a relocation, the franchisee must provide Kidokinetics with written notice of their intention at least 90 days before the planned relocation date. Additionally, the franchisee is responsible for removing any signs or property that identify the original location as part of the Kidokinetics system. This ensures that the brand's image is maintained and that customers are not misled.
This requirement protects Kidokinetics by ensuring that relocations are strategically sound and do not negatively impact the brand's reputation or market presence. By requiring prior notice and approval, Kidokinetics can assess the potential impact of the new location and ensure it aligns with the overall franchise strategy. The franchisee benefits from this process as well, as Kidokinetics's experience can help guide the relocation to a more successful outcome.