What are the two main reasons Bft Franchisor can reject a proposed site or affiliate?
Bft Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisor has the absolute right to reject any site or any affiliate (a) that does not meet Franchisor's criteria or (b) if Developer or its affiliates are not then in compliance with any existing Franchise Agreements executed pursuant to this Agreement or operating its or their Studios in compliance with the mandatory specifications, standards, operating procedures and rules that Franchisor periodically prescribes for operating Studios.
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER AND DISPUTE RESOLUTION (FDD pages 57–66)
What This Means (2025 FDD)
According to Bft's 2025 Franchise Disclosure Document, the franchisor has the right to reject a proposed site or affiliate for two main reasons. First, Bft can reject a site or affiliate that does not meet the franchisor's criteria. Second, Bft can reject a site or affiliate if the developer or its affiliates are not in compliance with existing franchise agreements. This includes operating studios in compliance with the mandatory specifications, standards, operating procedures, and rules that Bft periodically prescribes.
This means that a prospective Bft franchisee needs to ensure that any proposed location meets the franchisor's standards and that they, along with any affiliates, are in good standing with Bft. Failure to meet these criteria could result in the rejection of a proposed site, potentially delaying or preventing the opening of a Bft studio.
It is important for potential franchisees to understand Bft's criteria for site selection and affiliate approval. Maintaining compliance with all franchise agreements and operational standards is crucial to avoid potential issues with site approval. Prospective franchisees should request detailed information about these criteria and standards from Bft to ensure they can meet these requirements.