When must a Buns On Fire franchisee commence construction or leasehold improvements after executing the addendum, lease, or obtaining possession of the premises?
Buns_On_Fire Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisee shall commence construction or leasehold improvements (hereinafter "Construction") of the franchise business within fifteen (15) days after Franchisee executes this addendum, executes a lease, or obtains the right to possession of the premises, whichever occurs latest. Franchisee shall provide written notice to Franchisor of the date Construction of the franchised business commences within five (5) days after commencement. Franchisee shall maintain continuous Construction of the franchised business premises and shall complete Construction, including all exterior and interior carpentry, electrical, painting and finishing work, and installation of all furnishings, fixtures, equipment, and signs, in accordance with the approved plans and specifications at Franchisee's expense, within one hundred twenty (120) days after commencement (exclusive of the time lost by reason of strikes, lockouts, fire and other casualties and acts of God). Each week during the Construction period, Franchisee and Franchisee's architect or general contractor shall certify in writing to Franchisor that all work is proceeding substantially on schedule, and in accordance with the approved plans and specifications and all applicable laws, regulations ordinances and restrictive covenants. Franchisee further agrees that Franchisor and its agents shall have the right to inspect the Construction at all reasonable times.
Source: Item 23 — RECEIPTS (FDD pages 49–200)
What This Means (2025 FDD)
According to Buns On Fire's 2025 Franchise Disclosure Document, a franchisee must begin construction or leasehold improvements within fifteen days. This fifteen-day period starts after the franchisee executes the addendum, executes a lease, or obtains the right to possess the premises, using whichever event occurs latest.
Following the start of construction, the franchisee must notify Buns On Fire in writing of the construction start date within five days. The franchisee is then expected to maintain continuous construction.
The construction, including all carpentry, electrical work, painting, finishing, and the installation of furnishings, fixtures, equipment, and signs, must be completed within 120 days after construction commences. This 120-day period excludes any time lost due to strikes, lockouts, fire, casualties, or acts of God. During the construction period, the franchisee and their architect or general contractor must provide weekly written certification to Buns On Fire confirming that the work is proceeding on schedule and according to approved plans, specifications, and applicable laws.