factual

What is the Bhc franchisee required to do regarding licensing related matters for the Franchised Bhc Restaurant?

Bhc Franchise · 2025 FDD

Answer from 2025 FDD Document

At Franchisee's sole expense, Franchisee must employ directly architects, designers, engineers, or others as reasonably acceptable to Franchisor to complete, adapt, modify, or substitute the sample plans and specifications for the Franchised BHC Restaurant, and review and monitor all licensing related matters.

Developer shall be solely responsible for acquiring all of the necessary permits and licenses, including but not limited to permits related to structural reinforcement, grease interceptors, and parking.

The architect must submit a complete set of final plans and specifications to Franchisor before commencing leasehold improvement of the Franchised BHC Restaurant.

Franchisor will review these plans and specifications promptly and accept them as stated or provide Franchisee with Franchisor's comments on the plans and specifications.

Franchisor will have complete and uncontested control over the design of the Franchised BHC Restaurant and Franchisee may not modify the design or choose third party designers without Franchisor's express written consent.

Franchisee may not commence leasehold improvement of the Franchised BHC Restaurant until Franchisor consents in writing to the final plans, specifications, and contractors to be used in constructing the Franchised BHC Restaurant.

Franchisor will consult with Franchisee, to the extent Franchisor deems necessary, on the leasehold improvement and equipping of the Franchised BHC Restaurant (and Franchisor may require the Franchised BHC Restaurant to have a certain color scheme and decorative trade dress), but it is and will remain Franchisee's sole responsibility to diligently construct, equip and otherwise make ready, and then open the Franchised BHC Restaurant. Franchisee is responsible, at Franchisee's expense, for obtaining all zoning classifications, permits, clearances, certificates of occupancy and center clearances which may be required by governmental authorities and to comply with all covenants, conditions, easements, and restrictions of record.

  • (e) Franchisee must use licensed general contractors, designers, vendors, and architects accepted by Franchisor before performing leasehold improvement work at Franchisee's Franchised BHC Restaurant.

Source: Item 23 — Receipts (FDD pages 52–230)

What This Means (2025 FDD)

According to Bhc's 2025 Franchise Disclosure Document, the franchisee is responsible for various licensing and construction-related tasks. The franchisee must employ architects, designers, and engineers, who are reasonably acceptable to Bhc, to adapt the sample plans and specifications for the Franchised Bhc Restaurant. The franchisee is also responsible for reviewing and monitoring all licensing related matters.

Bhc franchisees are solely responsible for acquiring all necessary permits and licenses. These include, but are not limited to, permits related to structural reinforcement, grease interceptors, and parking. The franchisee's architect must submit a complete set of final plans and specifications to Bhc before starting any leasehold improvements.

Bhc retains control over the restaurant's design, and the franchisee cannot modify it or choose third-party designers without express written consent from Bhc. Leasehold improvements cannot begin until Bhc approves the final plans, specifications, and contractors in writing. While Bhc may consult with the franchisee on these improvements, the franchisee is ultimately responsible for constructing, equipping, and preparing the restaurant for opening. The franchisee must also obtain all required zoning classifications, permits, clearances, certificates of occupancy, and center clearances from governmental authorities, and comply with all applicable covenants, conditions, easements, and restrictions.

Furthermore, Bhc mandates that franchisees use only licensed general contractors, designers, vendors, and architects approved by Bhc for any leasehold improvement work. This ensures that all construction and design aspects meet Bhc's standards and comply with local regulations. These requirements ensure that the Franchised Bhc Restaurant is compliant with all applicable regulations and standards, although the franchisee bears the responsibility and cost of ensuring this compliance.

Disclaimer: This information is extracted from the 2025 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.