Does Beem Light Sauna designate a Site Selection Area for franchisees?
Beem_Light_Sauna Franchise · 2025 FDDAnswer from 2025 FDD Document
For all Franchise Agreements, whether executed pursuant to a Development Agreement or otherwise, before you begin operating your Studio:
- 1. Designate Areas. We will designate your Site Selection Area. (Franchise Agreement - Section 1.1)
- 2. Site Selection. If you identify a site in the Site Selection Area that is reasonably suited for the conduct of the Studio and is consistent with any site selection guidelines that we may provide, before entering into any lease or purchase agreement for the site, you must submit a site proposal package describing details about the proposed site and provide any other information that we reasonably require. We will review each site that you identify and determine whether to accept it using our proprietary site selection assistance criteria, which may include evaluations of the proposed site by third-party site selection assistance software. We will conduct such on-site evaluation as we consider necessary and appropriate as part of our evaluation. We are not required to complete our review within a certain period of time. In addition to certain demographic characteristics, we also consider the following factors in accepting a Studio location: site visibility, zoning, parking, competition, neighboring tenants, accessibility, population density, and adjusted gross income. While we will provide assistance and guidance, it is solely your responsibility to select a suitable site for the Studio. Our acceptance of a proposed site is not a warranty or representation of any kind as to the potential success or profitability of your Studio. (Franchise Agreement - Section 4.1)
- 3. Site Acquisition. Before you make a binding commitment to purchase, lease, or sublease a site, we must approve in writing the proposed lease or purchase agreement or any letter of intent between you and the third-party seller or lessor. If you or your affiliate leases the site, unless we waive the requirement in writing, you must arrange for the execution of the Lease Rider in the form that is attached as Appendix D to the Franchise Agreement (the Franchise
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING (FDD pages 37–47)
What This Means (2025 FDD)
According to Beem Light Sauna's 2025 Franchise Disclosure Document, Beem Light Sauna will designate a Site Selection Area for all new franchisees. Franchisees are responsible for identifying a site within the designated area that is suitable for a Beem Light Sauna studio.
Before entering into any lease or purchase agreement, franchisees must submit a site proposal package with details about the proposed site. Beem Light Sauna will then review the proposed site using its proprietary site selection criteria, which may include evaluations from third-party site selection software. An on-site evaluation may also be conducted as part of the review process.
Beem Light Sauna considers factors such as site visibility, zoning, parking, competition, neighboring tenants, accessibility, population density, and adjusted gross income, along with certain demographic characteristics, when evaluating a potential location. While Beem Light Sauna provides assistance and guidance, the franchisee is ultimately responsible for selecting a suitable site. The franchisor's acceptance of a site does not constitute a warranty or representation of the studio's potential success or profitability.
Before a franchisee makes a binding commitment to purchase or lease a site, Beem Light Sauna must provide written approval of the proposed lease or purchase agreement. Franchisees must secure an approved site by signing a Site Lease or purchase agreement within 90 days after the effective date of the Franchise Agreement, referred to as the "Site Acquisition Deadline." Beem Light Sauna may extend this deadline by up to 90 days at its discretion, potentially requiring the franchisee to execute a general release as a condition of the extension. Failure to acquire an accepted site by the Site Acquisition Deadline may result in the termination of the Franchise Agreement.