Does Noodles & Company guarantee the accuracy of any sales volume prediction model they might use?
Noodles_Company Franchise · 2025 FDDAnswer from 2025 FDD Document
We may, at our discretion, utilize a model designed for us to predict sales volumes at proposed sites for our Company-owned Restaurants, and may require you to use such model or such other similar service approved by us in our sole discretion. We do not warrant or represent that the model or such similar service is accurate, or that it predicts actual financial results. Any model or forecasting tool we provide is for
informational purposes only and should not be relied upon as a predictor of actual financial performance. In the event we require the use of any such model or service in the future, you may be required to pay the fees associated with such model or service.
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS AND TRAINING (FDD pages 36–48)
What This Means (2025 FDD)
According to the 2025 Noodles & Company Franchise Disclosure Document, Noodles & Company does not guarantee the accuracy of any sales volume prediction model that they might use. While Noodles & Company may use a model to predict sales volumes at proposed sites for company-owned restaurants, and may require franchisees to use a similar service, they do not warrant that the model is accurate or predictive of actual financial results.
The FDD states that any model or forecasting tool provided by Noodles & Company is for informational purposes only and should not be relied upon as a predictor of actual financial performance. If Noodles & Company requires the use of any such model or service in the future, the franchisee may be required to pay the fees associated with it.
This disclaimer is important for prospective franchisees to understand. While Noodles & Company may provide assistance in site selection and sales forecasting, the ultimate responsibility for the financial success of the restaurant lies with the franchisee. Franchisees should conduct their own independent research and analysis to determine the suitability of a particular location and not rely solely on the franchisor's model or projections. This is a common practice in franchising, as franchisors typically avoid guaranteeing financial outcomes due to the many factors outside their control that can affect a franchisee's success.