What is the dependency for determining the restaurant location for a Buns On Fire franchise?
Buns_On_Fire Franchise · 2025 FDDAnswer from 2025 FDD Document
r license anyone other than Franchisee to establish any Franchised Business under the System within the territory specified in Exhibit "A" ("Protected Territory").
1.2 Site Selection Timeframe
Unless an approved location was selected by Franchisee at the time this Agreement is executed, Franchisee shall select the location of the Franchised Business, subject to the Franchisor's approval, within ninety (90) days after the effective date of this Agreement.
1.3 No Change of Franchise Location
The franchise location described in Exhibit "A" may not be modified or changed by the Franchisee without Franchisor's prior written approval. The Franchisee must request Franchisor's prior written approval in writing. To modify or change location, the Franchisee must be current in all obligations to Franchisor, whether under this Agreement or any other agreement, and must not be defaulting under this or any other agreement with Franchisor.
In the event that Franchisee's request to modify or change location is approved by the Franchisor, the Franchisee will be required, and must sign, Franchisor's then-current form of the Franchise Agreement. The then-current Franchise Agreement may contain different terms and conditions, for a term that may be equal to the remaining term of this Agreement. Unless we grant you a term that is longer than the remaining term under this Franchise Agreement, you will not be required make an Initial Franchise Fee payment for the relocated Franchised Business.
Source: Item 23 — RECEIPTS (FDD pages 49–200)
What This Means (2025 FDD)
According to the 2025 Buns On Fire Franchise Disclosure Document, the restaurant location is dependent on approval from the Franchisor. The franchisee is responsible for selecting a location for the Franchised Business, but this selection is subject to the Franchisor's approval. This approval process must occur within ninety (90) days after the franchise agreement's effective date, unless a location was already approved when the agreement was signed.
This means that while franchisees have some autonomy in choosing their location, Buns On Fire retains ultimate control over site selection. This is a common practice in franchising, as the location can significantly impact the success of the business and the brand's reputation. Franchisees should carefully consider potential locations and present a well-researched proposal to the Franchisor to increase the likelihood of approval.
Furthermore, once a location is approved and described in Exhibit "A" of the franchise agreement, the franchisee cannot modify or change it without prior written approval from Buns On Fire. To request a change, the franchisee must be current on all obligations to the Franchisor and not be in default under any agreement. If a relocation request is approved, the franchisee will be required to sign the Franchisor's current form of the Franchise Agreement and pay a Relocation Fee of twenty-five hundred dollars ($2,500).
This requirement ensures that all Buns On Fire locations meet the Franchisor's standards and maintain brand consistency. The new Franchise Agreement may contain different terms and conditions, for a term that may be equal to the remaining term of this Agreement. Prospective franchisees should be aware of these restrictions and factor them into their business plans.