On what basis does Big Apple Bagels have the right to withhold approval of sites?

According to Big Apple Bagels' 2025 Franchise Disclosure Document, Big Apple Bagels has the right to withhold approval of sites based on specific standards. These standards include general location, physical and demographic characteristics of the neighborhood, traffic patterns, parking availability, and the level of competition in the area. The proximity to other businesses, including existing Big Apple Bagels stores, is also a factor. Furthermore, the nature of other businesses near the proposed site, the layout and other physical characteristics of the site itself, rental costs, lease duration, and other lease terms and conditions are all considered.

For a prospective franchisee, this means that Big Apple Bagels has a comprehensive set of criteria that a potential site must meet. It is not enough to simply find an available space; the location must align with Big Apple Bagels' strategic requirements. This protects the brand by ensuring that new locations have the best possible chance of success, based on factors that Big Apple Bagels has identified as important through their experience.

However, the FDD also states that Big Apple Bagels' approval does not constitute a warranty of any kind regarding the suitability of the premises. The document makes clear that demographic and economic factors can change after the approval, and Big Apple Bagels is not responsible if an approved site fails to meet the franchisee's expectations. Therefore, while Big Apple Bagels provides site selection criteria and approval, the franchisee ultimately bears the risk and responsibility for independently investigating the suitability of the location.