Who bears the cost of cosmetic changes to the premises after termination of a Noodles & Company franchise agreement?
Noodles_Company Franchise · 2025 FDDAnswer from 2025 FDD Document
Area Operator shall, at its own cost, make cosmetic changes to the Premises so that it no longer contains or resembles Noodles & Company's proprietary designs, including removal of all Noodles & Company identifying materials and distinctive cosmetic features and finishes, soffits, interior wall coverings and colors, exterior finishes and colors and signage from the Premises as we may reasonably direct.
Source: Item 23 — RECEIPT (FDD pages 99–350)
What This Means (2025 FDD)
According to the 2025 Noodles & Company Franchise Disclosure Document, the Area Operator, or franchisee, is responsible for the costs associated with making cosmetic changes to the premises after the termination of the franchise agreement. This includes removing all Noodles & Company identifying materials and distinctive cosmetic features.
Specifically, the franchisee must ensure the premises no longer resemble Noodles & Company's proprietary designs. This involves the removal of items such as soffits, interior wall coverings and colors, exterior finishes and colors, and signage, as directed by Noodles & Company. These changes must be made at the franchisee's own expense.
This requirement is fairly standard in franchising, as it protects the brand's image and prevents consumer confusion after a franchise location ceases to operate under the Noodles & Company name. The franchisee should factor these potential costs into their financial planning, as these expenses can arise unexpectedly upon termination of the agreement.