What physical modifications must a Bhc franchisee make to their restaurant before or within 90 days of executing a Renewal Franchise Agreement?
Bhc Franchise · 2025 FDDAnswer from 2025 FDD Document
- (f) Before or not later than 90 days after Franchisee's execution of a Renewal Franchise Agreement for an additional term, Franchisee must make such physical modifications (i.e., remodel) to Franchisee's Franchised BHC Restaurant as are reasonably necessary so that they are substantially consistent with the then current Trade Dress or System requirements, and so that they can accommodate new BHC Products, if any. Franchisee must also bring Franchisee's Franchised BHC Restaurant and equipment, materials, and supplies into compliance with the standards then applicable to new BHC franchises.
Source: Item 23 — Receipts (FDD pages 52–230)
What This Means (2025 FDD)
According to Bhc's 2025 Franchise Disclosure Document, a franchisee must make specific physical modifications to their restaurant when renewing their franchise agreement. Before or within 90 days after executing a Renewal Franchise Agreement, the franchisee must remodel the BHC restaurant to ensure it aligns with the current Trade Dress or System requirements. This also includes making sure the restaurant can accommodate any new BHC Products.
In addition to remodeling, the franchisee is responsible for bringing the restaurant, its equipment, materials, and supplies into compliance with the standards applicable to new Bhc franchises at the time of renewal. This ensures that all locations, whether new or renewing, meet the same operational and brand standards.
These required modifications and upgrades are also described in section 8.5 of the agreement. Bhc may also require franchisees to maintain and periodically refurbish the Franchised BHC Restaurant to conform to the then- current building design, Trade Dress, and color schemes then applicable for a Franchised BHC Restaurant. These expenditures may include structural changes, installing new equipment, remodeling, redecoration and modifications to existing improvements and such modifications as may be necessary to comply with System-wide standards then in effect for Franchised BHC Restaurants or to accommodate new BHC Products.