About SUNOCO RETAIL Franchise
Sunoco Retail LLC offers an area representative franchise opportunity within the Sunoco fuel and convenience retail network.
Operating under the Sunoco LP parent company, this model allows qualified investors to oversee multiple fuel station and convenience store locations within a designated region.
The brand has been franchising since 1993 and carries one of the most recognizable names in the American fuel retail industry.
SUNOCO RETAIL Franchise Cost & Fees
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $5,000 | One-time payment upon signing |
| Royalty Fee | Not applicable; Area Representative earns a commission on sub-franchisee royalties. of gross sales | Ongoing; paid monthly |
| Marketing/Ad Fund | Currently, not collected. If we establish AR Brand Fee, you must pay up to $1,000 per month per Territory owned by you. | National brand fund |
| Total Investment Range | $20,000 – $38,500 | Includes build-out, inventory, working capital |
The investment range of $20K–$39K reflects variability in build-out costs, store size, lease terms, and market. The combined royalty (Not applicable; Area Representative earns a commission on sub-franchisee royalties.) and marketing fee (Currently, not collected. If we establish AR Brand Fee, you must pay up to $1,000 per month per Territory owned by you.) are ongoing costs paid as a percentage of gross sales.
Investment Breakdown (Item 7)
| Item | Low | High |
|---|---|---|
| Area Rep Initial Fee | $5,000 | $5,000 |
| Initial Training: travel and living expenses | $2,500 | $5,000 |
| Office Supplies and Equipment (including Computer System) | $2,500 | $7,000 |
| Insurance | $5,000 | $10,000 |
| Professional Fees (lawyer, accountant, etc.) | $1,500 | $3,000 |
| Office Supplies | $500 | $1,500 |
| Additional funds (for first 3 months) | $3,000 | $7,000 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Transfer Fee | The greater of (a) 10% of sales price, or (b) the average monthly revenue collected in the previous 12 months or specific number of months if less than 12. |
| Renewal Fee | Not applicable; successor license fee if renewal is permitted. |
| Technology Fee | Currently not enforced, however, we retain the right to enforce upon 10 days written notice in the amount $350 to $600 per month. |
| Audit Fee | All costs and expenses associated with the audit, plus amount of outstanding fees due, if any |
| Interest Charges | 18% per annum from due date |
| Administrative Enforcement Fee | $200 which may increase by an amount not to exceed 10% of then-current amount |
| Legal Costs | reimburse us for our actual attorney fees, court costs, and other expenses of a legal proceeding |
| Insurance Premiums | Cost to obtain missing insurance policies plus our costs, for which our costs are not to exceed $1,000 |
| Default Fee | $1,500 plus the cost of reinspection and the cost of enforcing compliance |
| Market Cooperative Contribution | As determined by co-op. Currently, none. Maximum contribution that a co-op may require is 5% of Gross Sales. |
| Training Fee | Up to $2,000 per person |
| On-Site Training Cancellation Fee | Our then-current on-site training cancellation fee |
| Failure to Perform Fee | Amount of out-of-pocket expenses incurred by us directly or indirectly plus 25% |
Training Program (Item 11)
| Detail | Information |
|---|---|
| Total Duration | 6 hours classroom training, 0 hours on-the-job training for AR Training Program. Additionally, Franchisee Initial Training Program is required: 75 hours classroom training, 116 hours on-the-job training. |
| Classroom Training | 6 hours for AR Training Program; 75 hours for Franchisee Initial Training Program |
| On-the-Job Training | 0 hours for AR Training Program; 116 hours for Franchisee Initial Training Program |
| Training Location | Our headquarters in Pennsylvania, your franchised business location, or another location we designate including via any virtual platform. |
| Additional Training | You may send any additional persons to training that you want (up to the maximum described above). You must complete training to our satisfaction at least four weeks before opening your business. We do not provide assistance with the hiring and training of your employees. We will charge a fee, which is currently $2,000 per training per person. Attendance at these programs will be at your expense. |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | Non-exclusive |
| Exclusive Territory | No |
| Territory Size | The scope and size of your Area Representative Territory will be limited to those dealer’s fueling stations currently supplied by you under a fuel distribution contract. |
| Description | The right to develop and operate an Area Representative Business to sell a minimum number of APLUS Store franchises only to those individuals or such entities which are currently under a contractual relationship with you or your affiliate to be supplied fuel pursuant to your signed agreement with Sunoco, LLC and us, which shall be your (“Territory”). Generally, we assume each APLUS Store will have a designated area which is generally specific to that fueling station only. |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Initial Term | 5 years |
| Renewal Term | No contractual right to enter into a successor term. |
| Renewal Fee | Not applicable; successor license fee if renewal is permitted. |
| Renewal Conditions | Conditions include: you must give six months’ notice, have provided requested information and meet current criteria, have substantially complied with and not be in breach under any other agreements with us or our affiliates, agree to a redefinition of the Territory, agree to a revised Development Schedule, pay a successor license fee, complete refresher training, correct any deficiencies, and sign a then-current AR Agreement (which may be materially different from the form attached to this Disclosure Document) and general release. |
| Transfer Fee | The greater of (a) 10% of sales price, or (b) the average monthly revenue collected in the previous 12 months or specific number of months if less than 12. |
| Transfer Conditions | Conditions include: you must pay all amounts due us, not otherwise be in default, execute a general release, remain liable for pre-transfer obligations and pay the Transfer Fee. Transferee must meet our current Sunoco, LLC fuel distributor criteria for AR representative, assume post-transfer obligations and execute our then-standard Area Representative Agreement. |
| Termination for Cause | We may terminate the AR Agreement if you materially default under your AR Agreement, any franchise agreement or any other agreement between you and us or our affiliate. In the event of the death or permanent incapacity of an owner, we may terminate if you fail to adhere to the applicable transfer requirements. Specific curable and non-curable defaults are also listed. |
| Non-Compete Period | During the Term and for two years after expiration, termination or assignment. |
| Non-Compete Details | You and your principals are prohibited from operating or having an interest in a similar business in the Territory or within 25 miles of any APLUS Store or APLUS territory granted to another area representative. A 'Competitive Business' is defined as a business operating or granting franchises or licenses to others to operate a convenience store deriving more than 25% of its revenue from the sale of gas or convenience store associated items. |
Operations & Supply (Items 8 & 15)
| Detail | Information |
|---|---|
| Owner-Operator Required | Yes |
| Participation Details | If you are an individual, you must devote your full time, energy, and best efforts to the operation of the Area Representative Business. If you are a business entity, you must designate either one or more Controlling Principal(s) to be responsible for the day-to-day management of the Area Representative Business. You and your Controlling Principal (if not you) must successfully complete all APLUS required training for Area Representatives and the APLUS Store franchisee training. |
| Required Suppliers | You must purchase only from us or from designated sources, as applicable, all: (1) proprietary products, advertising, point-of-purchase materials, and other printed promotional and marketing materials; (2) stationery, business cards, contracts, and forms; and (3) other such similar materials, memorabilia, and supplies bearing our Marks necessary to operate your Area Representative Business. |
| Supply Restrictions | If you desire to purchase any of the items specified in this Item 8 from a supplier that is not an Approved Supplier, you or the supplier must submit to us a written request for approval. We have sole discretion over the approval of such suppliers. |
| Franchisor Revenue from Suppliers | During our fiscal year ending December 31, 2022, neither we nor our affiliates received any revenue as result of these types of purchases or leases by franchisees. |
Financing (Item 10)
| Detail | Information |
|---|---|
| Financing Available | No |
| Description | We do not offer direct or indirect financing. We do not guarantee your note, lease or other obligations. |
SUNOCO RETAIL Franchise Earnings — Item 19
SUNOCO RETAIL does not include an Item 19 financial performance representation in their FDD. Contact information for current and former franchisees is listed in Item 20 of the FDD.
SUNOCO RETAIL Litigation & Risk Flags
Litigation and bankruptcy data is sourced from Items 3 and 4 of the FDD. Always verify current status directly from the most recent FDD.
SUNOCO RETAIL System Growth
SUNOCO RETAIL currently operates 250 franchised locations and 21 company-owned units. Unit count data is sourced from Item 20 of the FDD.
Unit History (Item 20)
| Year | Opened | Closed | Total |
|---|---|---|---|
| 2020 | 6 | 1 | 260 |
| 2021 | 3 | 12 | 251 |
| 2022 | 2 | 3 | 250 |
Transfers: 11 | Closures: 3
State Registrations
Registered in 15 states: CA, HI, IL, IN, MD, MI, MN, NY, ND, OR, RI, SD, VA, WA, WI
Franchisor Financials (Item 21)
Audited by GRANT THORNTON LLP for year ending December 31.
SUNOCO RETAIL Franchise — FAQ
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