What is the deadline for a Buona franchisee to obtain the franchisor's written approval of a site?
Buona Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisee must have a proposed site approved by Franchisor within nine (9) months of the date of the execution of this Agreement.
Franchisor has the unilateral right (but not the obligation) to terminate the Agreement upon delivery of notice to Franchisee if Franchisee has not obtained Franchisor's written approval of a site for the Franchised Business within time frames described above.
Source: Item 23 — RECEIPTS (FDD pages 78–356)
What This Means (2025 FDD)
According to Buona's 2025 Franchise Disclosure Document, a franchisee must obtain written approval of a proposed site within nine months of the franchise agreement's execution date. Buona retains the right to terminate the agreement if the franchisee fails to meet this deadline.
Before entering into any lease agreement, the franchisee must submit a site evaluation form, a letter of intent, and a proposed lease to Buona for approval. Buona will then provide written notice of approval or disapproval within 30 days of receiving the franchisee's complete proposal. The franchisor's decision will be based on factors such as the location's characteristics, the premises, and the financial terms of the proposed lease or purchase agreement.
If the location requires ground-up construction, the franchisee has six months from the agreement's execution date to obtain site approval. For existing locations, the approval timeframe is shorter, at four months from the agreement's execution date. Failure to secure timely site approval can result in Buona terminating the franchise agreement without an opportunity for the franchisee to rectify the situation. However, Buona may extend these deadlines at its discretion if delays are due to circumstances beyond the franchisee's control or other mutually agreed-upon reasons.