What is the 'Cumulative Number of Southern Steer Businesses' column in the Development Schedule used to define?
Southern_Steer Franchise · 2025 FDDAnswer from 2025 FDD Document
| Development Period | Southern Steer | "Required Opening Date" by Which Southern Steer Business Must be Opened and Continuously Operating in Development | Cumulative Number of Southern Steer Businesses Required to be Open and Continuously Operating in Territory as of Last Day of the |
|---|---|---|---|
| Business Number | Territory | Development Period | |
| ("First Development | |||
| Period") | |||
| ("First Development | |||
| Period") | |||
| [add additional | |||
| development periods, | |||
| if applicable] | |||
| [add additional | |||
| development periods, | |||
| if applicable] |
Source: Item 5 — and 7 of the FDD, Section 3.1 of the Franchise Agreement and Section 4.1 of the Multi-Unit Development Agreement are hereby amended to state that payment of the initial franchise fee and development fee will be deferred until We have satisfied Our pre-opening obligations, and You have commenced business operations. (FDD pages 168–290)
What This Means (2025 FDD)
According to Southern Steer's 2025 Franchise Disclosure Document, the 'Cumulative Number of Southern Steer Businesses' column in the Development Schedule specifies the number of Southern Steer businesses a Multi-Unit Developer is required to have open and continuously operating in their Development Territory by the last day of a given Development Period. The Development Schedule itself is a material provision of the Multi-Unit Development Agreement, and compliance with it is essential.
Specifically, only Southern Steer businesses that are actually open and continuously operating count towards meeting the required number. The Multi-Unit Developer must open and operate a minimum of three Southern Steer Businesses in their designated territory. The Development Schedule outlines the number of Southern Steer Businesses that must be developed during each 12-month Development Period from the agreement's effective date.
Time is of the essence regarding compliance with the Development Schedule, meaning that failing to meet the milestones can have significant consequences. However, if a franchisee meets their total development goal before the end of the Development Period, the franchisee's development goal will be satisfied for that Development Period. Existing Southern Steer Businesses in the Development Area as of the Effective Date do not count toward fulfilling the franchisee's cumulative development goal.