What information is contained in Exhibit E of the Bhc Franchise Disclosure Document?
Bhc Franchise · 2025 FDDAnswer from 2025 FDD Document
The following agreements and other required exhibits are attached to this disclosure document as listed below:
Exhibit A – Multi-Unit Master Franchise Agreement
Exhibit B - Franchise Agreement
Exhibit C – Financial Statements
Exhibit D - List of Franchised BHC Restaurants
Exhibit E - List of Terminated Franchises
Exhibit F - State Franchise Administrators and Agents for Service of Process
Exhibit G - State Specific Addenda
Exhibit H - State Effective Dates
Exhibit I - List of Approved Supplies
Exhibit J – Acknowledgment and Authorization for Background Check
Exhibit K – Receipts
Source: Item 22 — Contracts (FDD page 52)
What This Means (2025 FDD)
According to Bhc's 2025 Franchise Disclosure Document, Exhibit E contains a list of terminated franchises. This exhibit is included as part of the franchise agreement and other required exhibits attached to the disclosure document.
For a prospective franchisee, this list provides insight into the turnover and stability within the Bhc franchise system. Reviewing this list may reveal patterns or reasons for franchise terminations, which could inform a potential franchisee's decision-making process. It's important to note that the reasons for termination are not provided in this exhibit, so further investigation may be required to understand the context behind these terminations.
Understanding the history of franchise terminations can be a valuable part of due diligence. A high number of terminations could indicate issues with the franchise model, franchisor support, or franchisee profitability. Therefore, prospective franchisees should carefully examine Exhibit E and ask Bhc for more details about the circumstances surrounding any listed terminations.