ITEM 1
The Franchisors-Its and Anv
Parents^ Predecessors and Affiliates
The franchisor is Wild Birds
Unlimited, Inc. To simplify the language in this Offering Ciroularpisc|psure
DQCHPlfilllk "we," "us," or "Wild Birds unlimited" means Wild Birds Unlimited,
Inc. "You" means the person who buys the franchise. If you are a
corporation, limited liability company, partnership, or other legal entity,
certain provisions of the Franchise Agreement also apply to your owners and
will be noted.
Wild Birds Unlimited was incorporated in Indiana on June 8, 1983. Our principal place of business is 11711 N. College Avenue, Suite
146, Carmel, Indiana 46032; telephone: (317) 571-7100; website: www.wbu.com.
We have no parents, predecessors and-noor.
affiliates.
Our Business
Experience
We have franchised retail
stores that sell bird feeders, birdseed and nature-related gifts since 1983. We
do not conduct any business activities other than the operation and
administration of our franchise system as described in this Qfferine
CiroulorDisclosure Document. Wc do not offer, and have
not offered, franchises in any other line of business. As of the date of this on''erinp-CireularDisc|psure
Document, wc do not operate corporate stores, although we may do so in
the future. In early 1989, wc began offering franchises in Canada under the Wild Birds Nature Shop trademark. By June 30, 1995, all Canadian stores had
converted to the Wild Birds
Unlimited�
trademark.
Our agents for service of process are disclosed in
Exhibit A.
We also are currently testing
a new-business project related to our franchise. The project involves existing
franchisees operating a small-sized Wild
Birds Unlimited outlet, such as a kiosk or a gift shop, that is located within a nature
center (such as a state or city park) or other appropriate retail outlet (such
as a garden center). The outlet offers a selection of Wild Birds Unlimited merchandise. This project is
currently being tested at 5 locations. While generally we do not promote this
program to new franchisees, we may make this opportunity available to you at a
future date.
The
Franchise Offered
We grant you the right to
operate a Wild Birds Unlimited retail store (the
"Store"). You and your staff need to be birdfeeding hobbyists and
nature enthusiasts, thoroughly trained in the hobby of backyard birdfeeding.
Your Store will offer a retail experience that helps customers enjoy wild birds
and increases their enjoyment of nature by providing advice, lop quality
products, and a pleasant shopping experience. Each store operates under the
name Wild Birds Unlimited and other marks wc designate
(the "Marks"). You must operate your Store under the Wild Birds Unlimited system ("System")
and in accordance with our specified standards, ''fhe System is characterized by
distinctive product, layout and decor, all of which we may change. Your Store
typically will have 1,400 to 1,800 square feet. 
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Before executing a Franchise
Agreement, you may choose to sign a Reservation Agreement to reserve a
geographic area within which you will locate your store. The Reservation
Agreement territory may be larger than the territory granted in the Franchise
Agreement ("Designated Territory"), which is signed at a later date,
''fhe Reservation Agreement is attached to this Offering G-iroularDisclosurc
Ppcymcnt as Exhibit B. No other franchise will be granted within the
geographic area that you have reserved for a period of 6 months after you have
signed the Reservation Agreement. If you do not sign a franchise agreement
within 6 months of signing the Reservation Agreement, the Reservation Agreement
will expire. Although you do not have an automatic right of renewal, we may, at
our option, renew the Reservation Agreement for one additional period of 6
months.
Market
and Competition
The market for birdfeeders,
birdseed and nature-related gift items is a developed market. Our customers are
primarily backyard birdfeeding and bird watching hobbyists and persons
interested in purchasing nature-related girt items. You may compete with other
businesses offering similar products, including garden and hardware stores, and
other franchise systems offering franchises similar to those which we offer.
The competition will vary depending upon the city and location where you
operate your store.
Industry-Specific Regulations
In addition to laws and
regulations that apply to businesses generally, your Store will be subject to
various federal, state and local government regulations, including site
location and building construction, such as the American with Disabilities Act.
Also, most states have seed registration laws. These laws require the seller of
certain seed types to register with the state and file periodic activity
reports. It is your sole responsibility to obtain and keep in force all
necessary licenses and permits required by public authorities.
