What factors does Bhc use to evaluate a potential site for a franchised restaurant?

According to Bhc's 2025 Franchise Disclosure Document, Bhc uses several factors to evaluate a potential site for a franchised restaurant. Bhc analyzes available demographic information, area income figures, traffic patterns, visibility, population density, competition, zoning, parking, accessibility, and other related, relevant circumstances. Bhc reserves the sole right of final review and consent to any location. However, Bhc may, without obligation, assist the franchisee in locating or evaluating a site for a reasonable fee. Franchisees are required to submit site information to Bhc for review and must reimburse Bhc for all costs associated with the site review.

Bhc does not guarantee the success of a business at any particular location, even with their review and consent. The franchisee is ultimately responsible for securing a suitable premises that meets Bhc's standards and specifications. If a franchisee, whether a master franchisee or a regular franchisee, fails to locate a site acceptable to Bhc within four months of the agreement's effective date, Bhc has the right to cancel the agreement.

Before commencing leasehold improvements, the franchisee's architect must submit final plans and specifications to Bhc for review and approval. Bhc retains complete control over the restaurant's design and may require specific color schemes and decorative trade dress. Franchisees cannot modify the design or use third-party designers without Bhc's written consent. The franchisee is responsible for obtaining all necessary zoning classifications, permits, clearances, and certificates of occupancy, ensuring compliance with all applicable regulations and restrictions.

Bhc also requires franchisees to use licensed general contractors, designers, vendors, and architects approved by Bhc for any leasehold improvement work. Bhc is not responsible for delays in leasehold improvements or any losses resulting from the restaurant's design or leasehold improvements. Bhc personnel must have access to the restaurant during construction and may require alterations or modifications as deemed necessary. The franchisee's failure to complete the design, leasehold improvements, and opening of the restaurant promptly can result in a breach of the franchise agreement.