factual

Does the Mrcool FDD specify any requirements for the size of the Development Centers?

Mrcool Franchise · 2025 FDD

Answer from 2025 FDD Document

WHEREAS, Franchisor has developed a distinctive and proprietary system (the "System") for the establishment, development and operation of a Center, a warehouse distribution center that distributes "MRCOOL" branded HVAC products, provides HVAC installation services, HVAC equipment servicing, and other products and services (each, a "Franchised Business" or "Center");

WHEREAS, Franchisee has requested the right to develop and operate multiple Centers (each a "Development Center") to be located with a defined geographical area (the "Development Area") in accordance with a development schedule that must be strictly adhered to, with each Center within the Development Area being opened and operating utilizing the Marks and System pursuant to the terms and conditions set forth in a separate form of Franchisor's then current Franchise Agreement for MRCOOL Centers (each, a "Franchise Agreement"); and

WHEREAS, Franchisee agrees that adherence to the terms of this Agreement, each and every Center individual unit Franchise Agreement, Franchisor's Operations Manual, and Franchisor's System standards and specifications, are essential to the operation of all MRCOOL Centers and the System as a whole.

  • (1) During the Term of this Agreement and subject to the rights of Franchisor including, but not limited to, the Reserved Rights, Franchisor grants to Franchisee and Franchisee accepts, the nonexclusive license, right and obligation to develop and operate, one MRCOOL Center in conformity with the System and this Agreement from a single fixed Center location, selected by Franchisee but requiring the approval of Franchisor ("Franchisee's Center Location") and, as designated by Franchisor in Franchisor's discretion and Reasonable Business Judgment, within a Designated Territory;

The Development Information Sheet is attached as Schedule A to this Agreement and is incorporated into and made a part of this Agreement. To be effective the Development Information Sheet must be completed and signed by Franchisor.

Source: Item 23 — RECEIPTS (FDD pages 55–263)

What This Means (2025 FDD)

The 2025 Mrcool Franchise Disclosure Document does not specify any requirements for the size of the Development Centers. However, the document does state that the franchisor has developed a system for the establishment, development, and operation of a Mrcool Center, which is a warehouse distribution center that distributes "MRCOOL" branded HVAC products, provides HVAC installation services, HVAC equipment servicing, and other products and services.

The FDD mentions that the franchisee must operate one Mrcool Center from a single fixed location, which must be approved by Mrcool. The franchisee must also adhere to Mrcool's Operations Manual and System standards and specifications, which are essential to the operation of all Mrcool Centers and the System as a whole. The Development Information Sheet, which is attached as Schedule A to the agreement, contains information regarding the development area.

While the FDD does not explicitly state the size requirements for a Development Center, it emphasizes adherence to the System standards and specifications, which likely include guidelines for the physical setup and operational requirements of the center. A prospective franchisee should inquire with Mrcool about these specific requirements to ensure they can meet the brand's standards for a functional and successful Mrcool Center.

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.