What information is specified in Exhibit A to the Area Development Agreement for Noodles & Company?
Noodles_Company Franchise · 2025 FDDAnswer from 2025 FDD Document
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.
Source: Item 12 — TERRITORY (FDD pages 48–53)
What This Means (2025 FDD)
According to the 2025 Noodles & Company Franchise Disclosure Document, Exhibit A to the Area Development Agreement outlines the geographical area granted to the developer, referred to as the "Development Area." This area is where the developer has the right to establish an agreed-upon number of Noodles & Company restaurants.
The size of the Development Area is determined by both Noodles & Company and the developer, considering factors such as population density, site economics, and the area's residential or commercial characteristics. Typically, the Development Area will be a metropolitan area or a significant portion of a metropolitan or suburban region.
Exhibit A to the Area Development Agreement also specifies the number of Noodles & Company restaurants the developer is expected to open and operate, along with the dates by which these restaurants must be operational. This schedule is referred to as the "Development Schedule." It is important to note that the Area Development Agreement does not grant the developer any options, rights of first refusal, or similar entitlements to develop additional Noodles & Company restaurants beyond what is specified in the agreement.