Can the Master Franchisee commence leasehold improvement of the Franchised Bhc Restaurant before the Franchisor consents in writing to the final plans, specifications, and contractors for a Bhc restaurant?
Bhc Franchise · 2025 FDDAnswer from 2025 FDD Document
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 Master 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 Master Franchisee may not modify the design or choose third party designers without Franchisor's express written consent.
Master 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.
Source: Item 23 — Receipts (FDD pages 52–230)
What This Means (2025 FDD)
According to Bhc's 2025 Franchise Disclosure Document, a Master Franchisee cannot commence leasehold improvements on a franchised Bhc restaurant until the franchisor provides written consent. This consent must cover the final plans, specifications, and the contractors who will be involved in the construction.
Before starting any leasehold improvements, the architect hired by the Master Franchisee must submit a complete set of final plans and specifications to Bhc. Bhc will then review these plans and either accept them as they are or provide comments and required changes. Bhc maintains complete control over the design of the restaurant, and the Master Franchisee cannot alter the design or choose third-party designers without explicit written consent from Bhc.
This requirement ensures that all Bhc restaurants adhere to the brand's standards and design specifications. It also protects the brand's image and customer experience. For a prospective Master Franchisee, this means that they must factor in the time required for plan submission, review, and approval into their project timeline. Failure to obtain written consent before starting leasehold improvements could result in a breach of the franchise agreement.