What is the Site Selection Acknowledgment for a Bang Cookies franchise, and where is it found in the agreement?
Bang_Cookies Franchise · 2024 FDDAnswer from 2024 FDD Document
"Site Selection Acknowledgment" refers to and means the form "Site Selection Acknowledgment" attached to this Agreement as Exhibit 3.
Franchise Agreement – Exhibit 3 Site Selection Acknowledgment
Bang Cookies SITE SELECTION ACKNOWLEDGMENT
(THIS DOCUMENT DOES NOT CONSTITUTE THE APPROVAL OF A SHOP LOCATION, DOES NOT GRANT OR DESIGNATE AN OPERATING TERRITORY AND DOES NOT GRANT ANY TERRITORIAL RIGHTS)
Source: Item 23 — RECEIPTS (FDD pages 56–245)
What This Means (2024 FDD)
According to Bang Cookies's 2024 Franchise Disclosure Document, the Site Selection Acknowledgment is a form attached to the Franchise Agreement as Exhibit 3. This document explicitly states that it does not constitute approval of a shop location, grant or designate an operating territory, or grant any territorial rights.
This acknowledgment underscores that the franchisee bears the responsibility for site selection, subject to Bang Cookies's approval. The franchisor does not obligate itself to assist in locating or selecting a site. The franchisee must provide all required information about the proposed location, including details on accessibility, visibility, traffic flow, and lease terms, and must not enter into any lease or purchase agreement until Bang Cookies has approved the site.
In practical terms, this means a prospective Bang Cookies franchisee needs to conduct thorough market research and due diligence to identify a suitable location. They should also engage an experienced commercial real estate broker to assist in the site selection process. The franchisee must then present the proposed location to Bang Cookies for approval, understanding that the franchisor's decision is critical before committing to any lease or purchase. This process highlights the importance of a franchisee's proactivity and expertise in real estate matters, as well as the franchisor's control over brand consistency and strategic location planning.