For Beehive Homes, what is the Franchisor's responsibility regarding the selection and evaluation of the Location?
Beehive_Homes Franchise · 2025 FDDAnswer from 2025 FDD Document
7.1. Location. Franchisor shall provide assistance to Franchisee in the selection and evaluation of the Location. However, Franchisee is solely responsible for selecting and obtaining the Location for the Home and for construction of the Home at the Location. Franchisee is solely
responsible for the negotiation of all agreements and other contracts relating to the Location and all construction and improvement thereon. Franchisee shall consult with its own legal counsel and other advisors prior to entering into any agreement or contract respecting the Location and any construction or improvement at the Location. It is specifically understood and agreed by and between the parties to this Agreement that the grant of a franchise pursuant to this Agreement is only for the construction of one Home to be located at the Location set forth in Section 3.1 and that there can be no change in the address of the Home without the prior written agreement of the parties to this Agreement.
Source: Item 23 — RECEIPTS (FDD pages 34–123)
What This Means (2025 FDD)
According to Beehive Homes' 2025 Franchise Disclosure Document, Beehive Homes will provide assistance to the franchisee in the selection and evaluation of the location for the home. However, the franchisee is ultimately responsible for selecting and obtaining the location.
This means that while Beehive Homes offers support during the site selection process, the franchisee has the final say in choosing the location. The franchisee is also responsible for all negotiations related to agreements and contracts for the location, as well as any construction or improvements made to it.
It is important for prospective Beehive Homes franchisees to seek legal counsel and other advisors before entering into any agreements related to the location and construction. The franchisee bears the responsibility for ensuring the location is suitable for the Beehive Homes business model and complies with all local regulations.