What is the purpose of the site report that a Big Apple Bagels Developer must submit?
Big_Apple_Bagels Franchise · 2025 FDDAnswer from 2025 FDD Document
- (2) When Developer selects a site under a franchise agreement, he shall submit to Franchisor a complete site report (containing such demographic, commercial, and other information and photographs as Franchisor may reasonably require) for each site at which Developer proposes to establish and operate a BAGELS Store and which Developer reasonably believes to conform to site selection criteria established by Franchisor from time to time. Such proposed site shall be subject to Franchisor's prior written approval. In approving or disapproving any proposed site, Franchisor will consider such matters as it deems material, including without limitation, demographic characteristics of the proposed site, traffic patterns, parking, the predominant character of the neighborhood, competition from other similar stores, the proximity to other businesses (including other BAGELS Stores), and other commercial characteristics (including the purchase price or rental obligations and other lease terms for the proposed site) and the size of premises, appearance, and other physical characteristics; and
- (3) Developer acknowledges that in order to preserve and enhance the reputation and goodwill of all Stores and the goodwill of the Marks, all BAGELS Stores must be properly developed and operated. Accordingly, Developer agrees that Franchisor may refuse to grant to Developer a franchise for a proposed BAGELS Store, unless in Franchisor's reasonable judgment demonstrates sufficient financial capabilities to properly develop and operate the BAGELS Store. To this end, Developer shall furnish to Franchisor such financial statements and development plans and other information regarding Developer in the development and operation of the proposed BAGELS Stores (including, without limitation pro forma statements and investment and financing plans for the proposed BAGELS Store) as Franchisor may reasonably require.
Source: Item 23 — RECEIPTS (FDD pages 87–319)
What This Means (2025 FDD)
According to Big Apple Bagels's 2025 Franchise Disclosure Document, a Developer must submit a comprehensive site report to the Franchisor when selecting a location for a BAGELS Store under a franchise agreement. This report should include demographic, commercial, and photographic information that the Franchisor deems necessary. The purpose of this report is for Big Apple Bagels to evaluate and approve the proposed site.
Big Apple Bagels will assess various factors when reviewing the site report, including demographic characteristics, traffic patterns, parking availability, the nature of the neighborhood, competition from similar businesses, proximity to other businesses (including existing Big Apple Bagels stores), commercial characteristics such as purchase price or rental obligations and lease terms, and the physical attributes of the premises like size and appearance.
The Big Apple Bagels FDD emphasizes that all BAGELS Stores must be properly developed and operated to maintain the brand's reputation and goodwill. Therefore, Big Apple Bagels may deny a franchise if the Developer does not demonstrate sufficient financial capabilities to develop and operate the store effectively. The Developer must also provide financial statements, development plans, pro forma statements, and investment and financing plans for the proposed store, as required by Big Apple Bagels.