Does Bhc authorize its employees or representatives to make financial performance representations?
Bhc Franchise · 2025 FDDAnswer from 2025 FDD Document
We do not make any representation about a franchisee's future financial performance or the past financial performance of company-owned or franchised BHC Restaurants. We also do not authorize our employees or representatives to make any such representations either orally or in writing. If you are purchasing an existing BHC Restaurant, however, we may provide you with the actual records of that BHC Restaurant. If you receive any other financial performance information or projections of your future income, you should report it to the franchisor's management by contacting the Franchise Development Department at 3435 Wilshire Blvd., Suite 460, Los Angeles, CA 90010, 323-424-3733, the Federal Trade Commission, and the appropriate state regulatory agencies.
Source: Item 19 — Financial Performance Representations (FDD page 49)
What This Means (2025 FDD)
According to Bhc's 2025 Franchise Disclosure Document, Bhc does not authorize its employees or representatives to make any representations, either orally or in writing, about a franchisee's future financial performance or the past financial performance of company-owned or franchised Bhc Restaurants. This policy is in place to ensure consistent and reliable information is provided to potential franchisees.
However, if you are purchasing an existing Bhc Restaurant, Bhc may provide you with the actual records of that specific restaurant. This allows prospective franchisees to review the financial history of the location they are considering.
The FDD advises that if you receive any other financial performance information or projections of your future income from other sources, you should report it to Bhc's management by contacting the Franchise Development Department at 3435 Wilshire Blvd., Suite 460, Los Angeles, CA 90010, 323-424-3733, the Federal Trade Commission, and the appropriate state regulatory agencies. This measure is in place to protect potential franchisees from misleading or inaccurate financial projections.
This policy is typical in franchising, as franchisors generally want to control the financial information being disseminated to potential franchisees to avoid liability and ensure consistent messaging. It is crucial for prospective franchisees to rely only on the official financial information provided in the FDD or directly from the franchisor and to report any unauthorized representations.