Is a Baya Bar franchisee required to submit their site plan to Baya Bar for review?
Baya_Bar Franchise · 2024 FDDAnswer from 2024 FDD Document
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Continuing Obligations
Multi-Unit Development Agreement: Under the MUDA:
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- We will review the information regarding potential sites that you provide to us to determine whether the sites meet our standards and criteria for a Baya Bar Shop and, if the site meets our criteria, accept the site for a Shop. (MUDA, Section 8.1.)
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- We will provide you with standard specifications and layouts for building and furnishing the Shop. (MUDA, Section 8.2.)
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- We will review your site plan and final build-out plans and specifications for conformity to our standards and specifications. (MUDA, Section 8.3.)
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- We will provide other resources and assistance as may be developed and offered to our multi-unit developers. (MUDA, Section 8.4.)
Franchise Agreement: During the operation of a Shop we will provide the following assistance and services:
- As we reasonably determine necessary, visits to and evaluations of the Shop and the products and services provided to make sure that our high standards of quality, appearance and service of the System are maintained. (Franchise Agreement, Sections 5.5 and 7.5.6.)
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- Advice and written materials (including updates to the Manual) concerning techniques of managing and operating the Shop, including new developments and improvements in equipment, food products, packaging and preparation. (Franchise Agreement, Section 5.7.)
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- Training programs and seminars and other related activities regarding the operation of the Shop as we may conduct for you or Shop personnel generally, which may be mandatory for you, your General Manager and other Shop personnel. (Franchise Agreement, Section 6.4.)
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- At your request or if we determine it is necessary, additional onsite training or assistance at your Shop. You must pay our per diem fee for each trainer providing the training and you must reimburse our expenses. (Franchise Agreement, Section 6.4.)
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- Administration of the marketing fund. (Franchise Agreement, Section 8.3.)
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- Indemnification against and reimbursement for all damages for which you are held liable in any proceeding arising out of your use of any of the Marks (including settlement amounts), if you have fully complied with the terms of the Franchise Agreement. (Franchise Agreement, Section 9.4.)
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- Designate the maximum prices you may charge, as permitted by applicable law. (Franchise Agreement, Section 7.13.) Our designation of the maximum pricing is not a guarantee that you will achieve a specific level of sales or profitability.
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- At our option, hold a meeting of our franchisees to discuss new menu offerings, new standards of operation, provide training, and other matters pertaining to the franchise. (Franchise Agreement, Section 6.5.)
Site Selection: You must assume all costs, liabilities, expenses and responsibility for locating, obtaining and developing a site for the Shop and for constructing and equipping the Shop at the accepted site. You will select the site for the Shop subject to our acceptance and using our site selection criteria. Before you lease or purchase the site for the Shop, you must locate a site that satisfies our site selection guidelines. If we deem it necessary we will conduct one onsite evaluation, but before we conduct the evaluation you must submit to us in the form we specify a description of the site, including evidence that the site satisfies our site selection guidelines, together with other information and materials that we may reasonably require, including a letter of intent or other evidence that confirms your favorable prospects for obtaining the site. We have the right to approve deviations from our site selection standards based on the individual factors and components of a particular site.
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING (FDD pages 26–36)
What This Means (2024 FDD)
According to Baya Bar's 2024 Franchise Disclosure Document, franchisees operating under a Multi-Unit Development Agreement (MUDA) are required to submit their site plan to Baya Bar for review. Specifically, Baya Bar will review the franchisee's site plan and final build-out plans and specifications to ensure they conform to Baya Bar's standards and specifications. This requirement is outlined in Section 8.3 of the MUDA.
For franchisees who are not multi-unit developers, the standard Franchise Agreement also stipulates a site selection process. Franchisees must locate a site that meets Baya Bar's site selection guidelines and submit a description of the site, evidence that it meets the guidelines, and other required information. Baya Bar has the right to approve deviations from their site selection standards based on individual site factors. The franchisee must submit all required site information to Baya Bar for review no later than 90 days after signing the Franchise Agreement. Baya Bar then has 30 days to either accept or decline the proposed site. If Baya Bar does not provide specific acceptance, the site is considered not accepted.
Baya Bar provides written site selection guidelines and other counseling. Their criteria include general location, proximity to competition, neighborhood demographics, traffic patterns, parking availability, location size, physical characteristics of buildings, co-tenants, premises condition, build-out needs, and utility availability. Baya Bar also requires a copy of the proposed lease for the shop. However, Baya Bar does not assist with conforming the site to local ordinances and building codes, obtaining permits and licenses, or completing construction and remodeling.
In summary, whether operating under a standard Franchise Agreement or a Multi-Unit Development Agreement, a Baya Bar franchisee is required to submit site information and plans to Baya Bar for approval. This ensures that all locations meet Baya Bar's standards and criteria, although Baya Bar's acceptance does not guarantee the shop's success.