FRANCHISE·WATCH·DESK

FDD ITEM 20 · FISCAL 2017–2019

Trademark Collection Item 20: outlets, exits & growth

In its latest FDD Item 20 (fiscal 2019, from the 2020 FDD · 5+ years old), Trademark Collection reported 36 franchised outlets at year end. 2 of 27 franchised outlets open at the start of the year left the system (exit rate 7.4%, fiscal 2019), while 11 new outlets opened. Systemwide units moved 12 → 36 units over 2017–2019.

Item 20 · outlet status by yearas filed
Status (FTC)201720182019
Outlets at start01227
Opened121611
Transfers010
Terminations000
Non-renewals000
Reacquired by franchisor000
Ceased — other reasons012
Outlets at end122736
Net change+12+15+9
How the exit count is computedfiscal 2019

0 terminations + 0 non-renewals + 2 ceased (other) = 2 exits ÷ 27 at start = 7.4%

These are the three FTC Item 20 statuses in which a franchised outlet left the system — including voluntary non-renewals and outlets that ceased for other reasons, which can include sales or absorption into another franchise. Transfers (0) are resales, not exits; reacquisitions by the franchisor (0) are tracked separately. There is no official “failure rate”, and not every exit is a closure or a failure; Item 20 does not say why any outlet left. On a small starting base, a single exit moves this rate sharply.

Franchised outlets by state · fiscal 201922 states/territories
StateFranchisedCompany-owned
CA60
FL40
NY40
WI30
OH20
TX20
UT20
VA20
AK10
AZ10
GA10
IL10
KY10
LA10
MI10
MO10
NC10
NE10
WV10
AR00
ND00
WY00

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