Where is the geographical area described for the Noodles & Company Development Area Agreement?
Noodles_Company Franchise · 2025 FDDAnswer from 2025 FDD Document
You will not receive an exclusive territory under the Area Development Agreement. You may face competition from other franchisees, from outlets that we own, or from other channels of distribution or competitive brands that we control. The Area Development Agreement grants you the right to develop an agreed upon number of Noodles & Company restaurants within a geographical area described in Exhibit A to the Area Development Agreement (the "Development Area"). Except as described below, during the term of the Development Agreement, we will not operate (directly or through an affiliate), nor license anyone else to operate, any Noodles & Company restaurants located within the Development Area. The size of the Development Area will depend on the number of Noodles & Company restaurants suitable for the Development Area and the trade areas within the Development Area, as we and you determine in light of a number of factors, including, for example, population density, site economics and the residential or commercial character of the area. The Development Area will generally be a metropolitan area or part of a metropolitan or substantial suburban area. The number of Noodles & Company restaurants and the dates they are to be open, and operating will also be set out in Exhibit A to the Area Development Agreement (the "Development Schedule"). The Area Development Agreement does not provide you with any certain options, rights of first refusal or similar rights to acquire or develop additional Noodles & Company restaurants in the Development Area or in any other area. We describe the site selection process in Item 11.
Source: Item 12 — TERRITORY (FDD pages 48–53)
What This Means (2025 FDD)
According to the 2025 Noodles & Company Franchise Disclosure Document, the geographical area for the Area Development Agreement is detailed in Exhibit A of the agreement. This Development Area is where the franchisee is granted the right to develop a pre-determined number of Noodles & Company restaurants.
The size of the Development Area is not fixed but depends on several factors jointly determined by Noodles & Company and the franchisee. These factors include the number of suitable restaurant locations, trade areas within the Development Area, population density, site economics, and the area's residential or commercial characteristics. Typically, the Development Area will be a metropolitan area, a portion of a metropolitan area, or a significant suburban region.
The specific number of Noodles & Company restaurants to be developed and their opening dates are also specified in Exhibit A, referred to as the Development Schedule. It is important to note that the Area Development Agreement does not grant any options, rights of first refusal, or similar entitlements to develop additional Noodles & Company restaurants beyond what is outlined in the agreement, either within the Development Area or elsewhere.