What does Bananas Smoothies Frozen Yogurt's acceptance of a site indicate?
Bananas_Smoothies_Frozen_Yogurt Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisor agrees to exert commercially reasonable efforts to notify you within 30 days after Franchisor has received the complete site report and other materials Franchisor has requested.
- 5.4 Effect of Acceptance. Franchisor's acceptance of the Site (including its location, appearance and size) indicates only that Franchisor believes it falls within the acceptable criteria Franchisor has established at that time.
Developer acknowledges and agrees that:
(a) Franchisor's acceptance of the Site does not imply, assure, guaranty, warrant or predict profitability or success, express or implied;
(b) application of criteria that have been effective with respect to other Sites may not be predictive of the potential for all Sites and that, subsequent to Franchisor's acceptance of a Site, demographic and/or economic factors included in, or excluding from, Franchisor's criteria could change, thereby altering the potential of a Site;
(c) the uncertainty and instability of such criteria are beyond Franchisor's control and Franchisor is not responsible for the failure of a Site approved by Franchisor to meet expectations as to potential revenue or operational criteria; and
(d) Developer's acceptance of a franchise for the operation of an EYB Concept at a site Developer proposes is based upon your own independent investigation of the suitability of that location and that Site even though we may provide guidance and assistance to you in selecting the Site for your EYB Concept.
5.5 Franchise Agreement. If Franchisor has accepted, and Developer has obtained lawful possession of or a formal commitment for the Site, Franchisor will offer Developer a franchise to operate an EYB Concept at the proposed Site by delivering to Developer a Franchise Agreement in a form ready for signing by Developer (or an affiliate).
Source: Item 23 — RECEIPT (FDD pages 58–231)
What This Means (2025 FDD)
According to the 2025 Bananas Smoothies Frozen Yogurt Franchise Disclosure Document, the franchisor's acceptance of a proposed site means that Bananas Smoothies Frozen Yogurt believes the location, appearance, and size of the site meet the company's criteria at that time. However, this acceptance does not guarantee the site's profitability or success.
Bananas Smoothies Frozen Yogurt emphasizes that the criteria used for site selection may not accurately predict the potential of all locations. Demographic and economic factors can change after the site's acceptance, which could affect its performance. The FDD makes it clear that Bananas Smoothies Frozen Yogurt is not responsible if an approved site fails to meet revenue or operational expectations.
The document also states that the franchisee is responsible for conducting their own independent investigation of the site's suitability, even with guidance from Bananas Smoothies Frozen Yogurt. If the franchisor accepts the site and the franchisee secures legal possession or commitment to the site, Bananas Smoothies Frozen Yogurt will offer the franchisee a Franchise Agreement for that location. This highlights the importance of due diligence on the franchisee's part to ensure the location aligns with their business goals and financial capabilities.