What is the prospective Big Apple Bagels franchisee obligated to do regarding site selection?
Big_Apple_Bagels Franchise · 2025 FDDAnswer from 2025 FDD Document
bution of "My Favorite Muffin" branded muffins and Brewster's branded coffee. These Stores are operated under the trademarks and service marks "My Favorite Muffin Gourmet Muffin Bakery" or "My Favorite Muffin Your All Day Bakery Cafe," one of which is their primary identifying brand.
THEREFORE, the parties agree as follows:
-
- PROSPECTIVE FRANCHISEE has, contemporaneously with the execution of this Preliminary Agreement, deposited with BAB the sum of Ten Thousand ($10,000.00) Dollars ("Deposit") to be applied against the initial franchise fee payable by PROSPECTIVE FRANCHISEE if a BAGELS Franchise shall subsequently be granted.
-
- Upon execution of this Agreement, BAB will furnish PROSPECTIVE FRANCHISEE its written criteria for site selection, which must be returned to BAB upon termination of this Agreement.
-
- It shall be the obligation of PROSPECTIVE FRANCHISEE to search for, locate, and submit in writing to BAB for approval, within sixty (60) days after execution of this Preliminary Agreement, a site suitable for the operation of a BAGELS Store acceptable to BAB within the following area: _______________________________ (the "Area").
- a. The Area is not exclusive or protected either during the term of this Agreement or in the event a franchise is granted.
Source: Item 23 — RECEIPTS (FDD pages 87–319)
What This Means (2025 FDD)
According to Big Apple Bagels' 2025 Franchise Disclosure Document, a prospective franchisee is obligated to actively search for and locate a suitable site for their Big Apple Bagels store. Within 60 days of signing the Preliminary Agreement, the franchisee must submit a written site proposal to Big Apple Bagels for approval. The specific geographic area for the site will be defined in the Preliminary Agreement.
Big Apple Bagels retains the right to approve or disapprove proposed sites based on various criteria. These criteria include the general location, physical and demographic characteristics of the neighborhood, traffic patterns, parking availability, competition, proximity to other businesses (including other Big Apple Bagels stores), the nature of nearby businesses, the site's layout and physical characteristics, rental costs, lease duration, and other lease terms. This extensive list of factors highlights the importance Big Apple Bagels places on site selection and its potential impact on the success of the franchise.
If a prospective franchisee submits at least one site within the 60-day period that Big Apple Bagels does not approve, Big Apple Bagels has the option to extend the 60-day period or terminate the Preliminary Agreement. If the agreement is terminated under these circumstances, the prospective franchisee will receive a refund of their deposit, less $3,000. If the prospective franchisee fails to submit any sites within the 60-day period, Big Apple Bagels may terminate the Preliminary Agreement, and the prospective franchisee will not be entitled to any refund of the deposit. The franchisee must return the written site selection criteria to Big Apple Bagels to receive any potential refund.