What is the initial length of the Southern Steer franchise term?
Southern_Steer Franchise · 2025 FDDAnswer from 2025 FDD Document
| Provision | Section in MUDA | Summary | |
|---|---|---|---|
| a. | Length of agreement term | 3 | Begin on the Effective Date and end on the last |
| day of the calendar month that the final Southern | |||
| Steer Business is required to be developed and | |||
| opened under the Development Schedule |
Source: Item 17 — ITEM. 17 RENEWAL, TERMINATION, TRANSFER AND DISPUTE RESOLUTION (FDD pages 43–50)
What This Means (2025 FDD)
According to Southern Steer's 2025 Franchise Disclosure Document, the length of the agreement term begins on the effective date and ends on the last day of the calendar month that the final Southern Steer Business is required to be developed and opened under the Development Schedule.
This means the initial term is tied to the development schedule outlined in the Multi-Unit Development Agreement (MUDA). The franchise term does not have a set number of years. Instead, it is based on when the franchisee is expected to open their final Southern Steer location as per the development schedule.
For a prospective franchisee, this implies that the length of the initial term can vary depending on the agreed-upon development timeline. It is important to carefully review the Development Schedule in the MUDA to understand the specific end date of the initial franchise term. This is different from many franchises that have a fixed term, such as 10 years.