factual

What happens if a franchisee and Better Blend cannot agree on a site?

Better_Blend Franchise · 2024 FDD

Answer from 2024 FDD Document

If we and you cannot agree on a site, you will be unable to comply with your obligation to develop and open the franchise by the deadline stated in the franchise agreement.

Unless we agree to extend the deadline, you will be in default and we may terminate your franchise agreement.

Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING (FDD pages 21–27)

What This Means (2024 FDD)

According to Better Blend's 2024 Franchise Disclosure Document, if a franchisee and Better Blend cannot agree on a site, the franchisee will be unable to meet the obligation to develop and open the franchise by the deadline outlined in the franchise agreement. Unless Better Blend agrees to extend the deadline, the franchisee will be in default, and Better Blend has the right to terminate the franchise agreement.

Better Blend does not select the site for the franchisee. Instead, the franchisee must find a potential site and submit it to Better Blend for approval, along with all required information and documents. Better Blend will review and advise the franchisee regarding potential locations that are submitted. The factors Better Blend considers when approving sites include general location and neighborhood, competition, trade area demographics, traffic patterns, parking, size, physical characteristics of existing buildings, and lease terms.

This stipulation places significant responsibility on the franchisee to identify and propose suitable locations that meet Better Blend's criteria. The franchisee bears the risk of investing time and resources into site selection, with the understanding that Better Blend's approval is not guaranteed. The franchisee should carefully consider these factors and conduct thorough due diligence before committing to a potential site to minimize the risk of disagreement and potential termination of the franchise agreement.

Disclaimer: This information is extracted from the 2024 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.