Does the Bhc Franchisor need to approve changes in the restaurant plans before leasehold improvement?
Bhc Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisor must approve in writing any and all changes in the Franchised BHC Restaurant plans prior to leasehold improvement of the Franchised BHC Restaurant or the implementation of such changes.
Source: Item 23 — Receipts (FDD pages 52–230)
What This Means (2025 FDD)
According to Bhc's 2025 Franchise Disclosure Document, the franchisor's written approval is required for any changes to the restaurant plans before leasehold improvements can begin. Specifically, Bhc maintains complete control over the design of the franchised restaurant, and franchisees cannot modify the design or choose third-party designers without express written consent from Bhc.
Before starting any leasehold improvements, the architect must submit a complete set of final plans and specifications to Bhc for review. Bhc will then either accept the plans as they are or provide comments and required changes. The franchisee cannot begin leasehold improvements until Bhc provides written consent to the final plans, specifications, and contractors that will be used for construction.
Bhc may also require reasonable alterations or modifications to the leasehold improvements during the work in progress. Failure to promptly commence and diligently complete the design, leasehold improvements, inventorying, equipping, and opening of the Bhc restaurant constitutes a material breach of the franchise agreement. Before opening to the public, Bhc will conduct three on-site visits and a final walk-through inspection, issuing a written consent to open if all deficiencies are corrected within 30 days. The franchisee is responsible for a $600 inspection fee, along with covering accommodation, transportation, meals, and daily allowances for Bhc personnel during these visits, up to three times per restaurant.