Naz's Halal Food

The franchise fee of $40,000 exceeds typical quick service restaurant fees—what specific services, equipment, or support justify this premium pricing compared to other halal franchise concepts?

The transfer fee of $20,000 is notably higher than the typical range of $5,000-$15,000. What costs and services does the franchisor provide to facilitate a transfer that justify this amount?

Your system shows zero unit turnover over 3 years, which is far below the typical 0.9-15.5% range. Is this attributable to the system's recent launch, or does it reflect intentional selection and support practices? How many franchisees have you declined renewals for?

With 23.2% three-year growth, how does the franchisor manage quality control and brand consistency while scaling this rapidly? What training and support changes have been implemented to support new franchisees?

Median unit volumes of $1.62 million exceed typical QSR benchmarks. How many franchisees achieve this level of performance, and what percentage of locations fall below $1 million in annual sales?

The agreement lists 21 termination causes—can you provide the specific list and identify which causes account for the majority of potential terminations? Are any tied to financial performance benchmarks?

The dispute resolution clause requires binding arbitration in New York City. For a franchisee operating outside New York, what does this practically mean for legal costs and timeline if a dispute arises?

Your agreement grants the franchisor discretion to set maximum or minimum prices for products and services. How often has this pricing control been exercised, and what is the process for franchisee input on price changes?

The non-compete clause restricts 2-year/10-mile activity post-exit. Has this been enforced against any former franchisees, and what specific activities would trigger enforcement?

Item 19 financial performance data is provided—what percentage of your current franchisees have achieved the median sales figure of $1,617,050, and what is the distribution of unit volumes across your system?

Your renewal conditions require 9 specified compliance items. Can you detail these 9 conditions and identify which are most frequently not met by franchisees approaching renewal?

The agreement requires spouse signatures on personal guarantees to bind marital assets. What is your standard process for enforcing these guarantees against spouses in franchise closures or defaults?

You require purchase approval from franchisor-designated suppliers. What is the process for requesting approval of new suppliers, and are there minimum pricing requirements or rebate arrangements the franchisor receives from suppliers?

Given zero litigation cases over 3 years and rapid growth from 23 to 43 units, are there any ongoing disputes or franchisee complaints that have not yet resulted in formal litigation?

The territory is protected but not exclusive—what encroachment protection mechanisms are in place, and have any franchisees requested territory boundaries be enforced?

Cure periods range from 72 hours for regulatory violations to 30 days for other defaults. How many franchisees have received formal cure notices in the past 2 years, and for what violation types?

The agreement requires personal guarantees from all direct and indirect owners. For franchisees with complex ownership structures or investors, how is this requirement typically structured?

With only zero-transfer activity historically, what is your typical transfer approval timeline and process? Are there restrictions on who can acquire an existing franchisee's unit?

The $5,000 renewal fee applies to both renewal and to bring the location into compliance with current system standards. What capital investments has the franchisor required of renewing franchisees in recent years?

Your system shows strong financial performance—what percentage of franchisees are profitable after all fees and operating expenses, and what is the average time to positive cash flow for new franchisees?