Item 1: The Franchisor, and any Parents, Predecessors,
and Affiliates
To simplify the language in
this Disclosure Document, we, us or "Hungry Howie''s" means Hungry Howie''s
Pizza & Subs, Inc., the franchisor. There is no predecessor. Hungry Howie''s
has two affiliates: Hungry Howie''s Distributing, Inc., which will be referred
to in this Disclosure Document as "Distributing," and H.H. Pizza,
Inc., which will be referred to as "Florida". Florida is a
subfranchisor of Hungry Howie''s which offers franchises in the State of Florida only. Florida is responsible for all franchisor obligations with respect to
franchises located in the state of Florida. Florida collects all franchise fees
and royalties from franchises located in the state of Florida. "You"
means the person who buys the franchise. If the franchise is purchased by a
partnership, corporation or limited liability company, the partners,
shareholders or members, as the case may be, will be referred to in this
Disclosure Document as the "Owners."
We do business under the names
Hungry Howie''s Pizza & Subs, Inc. and Hungry Howie''s Pizza, Inc. and do not
do business under any other name.
Our principal business address
is 30300 Stephenson Highway, Suite 200, Madison Heights, Michigan 48071. The principal business address of Distributing is 30300 Stephenson Highway, Suite 100, Madison Heights, Michigan 48071. The principal business address of Florida is 2109-D Main Street, Dunedin, Florida 34698.
Our
agents for service of process are disclosed in Exhibit C.
Hungry Howie''s
is a Michigan corporation incorporated on December 21, 1981.
We grant the right to sell
pizza, submarine sandwiches, salads, desserts and beverages under the names
"Hungry Howie''s Pizza" or "Hungry Howie''s." We have no
other business activities.
We franchise carry-out and
delivery restaurants ("Restaurants"). Under the Franchise Agreement
(the "Franchise Agreement"), which is Exhibit E to this Disclosure
Document, we offer qualified purchasers the right to establish and operate a
Hungry Howie''s Restaurant at a single location. Restaurants generally occupy
their own premises and provide specified food items and beverages as described
in Item 16 ("Menu Items") for carry-out, delivery and, in a limited
number of instances, for consumption on the premises.
We may enter into a multiple
unit agreement ("MUA") with you pursuant to which you will have the
right to open a certain number of Restaurants within a designated geographic
area during a specified period of time. A copy of a MUA is attached as Exhibit
F. An individual franchise agreement is executed for each Restaurant opened
pursuant to a MUA.
Neither Hungry Howie''s nor Florida conducts the type of business you would operate as a franchisee. Officers of Hungry
Howie''s and Florida are engaged in the type of business you would operate as a
franchisee. Distributing, through a wholly owned subsidiary, Hungry Howie''s
Properties, Inc. ("Properties"), conducts the type of business you
would operate as a franchisee.
You must comply with state and local laws regarding
the health and cleanliness of your Restaurant.
The market for our products
includes any individual who desires the Menu Items offered by Hungry Howie''s.
Competitors include other franchise systems and independent restaurants
offering the same or similar items as Hungry Howie''s. The market for the our Menu
Items is well developed and highly competitive.
We have offered franchises for
Restaurants since 1982 and Florida has offered franchises for Restaurants since
1984. Distributing has never offered franchises of any type.
Florida became a subfranchisor in
1984 and is our only subfranchisor. Except for Florida, Hungry Howie''s has not
and does not engage in selling subfranchises to any party which then engages in
the sale of individual franchises.
Distributing is a Michigan corporation which supplies our franchisees with food products and paper goods.
Properties owns and operates Hungry Howie''s Restaurants. Distributing has been
in business since 1986. Neither Hungry Howie''s nor Florida has ever offered
franchises other than the types of franchises described in this disclosure
document.
Alabama Foods, Inc.
("AFI") has the right to solicit the sale of Hungry Howie''s
franchises in certain counties in the State of Alabama on behalf of Hungry
Howie''s. If you operate a franchise within AFI''s area, AFI will fulfill various
obligations which are imposed on us under the terms of your Franchise
Agreement. These obligations include establishment of a regional advertising
program and periodic consultation with you concerning the operation of your
Restaurant. Since the Franchise Agreement is executed between us and you, AFI
is not obligated to you to perform these services. Hungry Howie''s will remain
obligated to you for the duties it performs through AFI.