If an Affiliate Franchisee purchases the land or building for a Bhc Restaurant, are those costs included in the initial investment estimates?

According to Bhc's 2025 Franchise Disclosure Document, the estimated initial investment for an Affiliate Franchisee does not include the costs of purchasing land or a building. The FDD states that the estimates provided are based on the Affiliate Franchisee leasing the restaurant premises.

Bhc acknowledges that if an Affiliate Franchisee chooses to purchase the land or building, they will incur substantial additional costs and expenses. However, Bhc explicitly states that it cannot meaningfully estimate these additional costs. This is likely due to the wide variation in real estate prices depending on location, market conditions, and other factors.

Prospective Affiliate Franchisees should be aware that the initial investment figures provided by Bhc are significantly lower than the actual costs they will incur if they decide to purchase the real estate for their restaurant. It is crucial for potential franchisees to conduct thorough market research and consult with real estate professionals to determine the actual costs of purchasing land or a building in their desired location. This will allow them to develop a more accurate estimate of their total investment and assess the financial feasibility of their Bhc franchise.