For a Buona franchise, who is responsible for site selection if the location is not designated on Exhibit A?
Buona Franchise · 2025 FDDAnswer from 2025 FDD Document
s as Franchisor may require from time to time in the Manual or otherwise in writing; and
- (g) Franchisee shall maintain transfer restrictions on its records, of any securities with voting rights, subject to the restrictions of this Agreement, and each certificate of Franchisee representing ownership or equity interests in the Entity, shall have conspicuously endorsed upon it the following legend:
The transfer of this [stock/membership interest/ownership interest] is subject to the terms and conditions of a Buona Franchise Agreement with Buona dated . Reference is made to the provisions of said Franchise Agreement and to the governing documents of [name of Franchisee Entity].
- 6.2 Site Selection and Approval. If the location is not designated on Exhibit A at the time this Agreement is executed, it is Franchisee's sole responsibility to undertake site selection activities and otherwise secure the premises for the Franchised Business. Prior to entering into a lease for a site, Franchisee must submit to Franchisor a site evaluation form for the proposed site, together with a letter of intent, proposed lease, or other evidence satisfactory to Franchisor which confirms Franchisee's favorable prospects for obtaining the proposed site. Franchisor in its discretion shall determine what factors it will consider in approving or disapproving a site, including but not limited to characteristics of the location and premises and financial terms of the proposed purchase agreement or lease. In the event that Franchisee proposes to lease the proposed site from an affiliated entity, or an entity that includes any member or shareholder of the Franchisee business entity as a member or shareholder, Franchisor may be required to submit a proforma and/or draft lease to Franchisor before a determination is made by Franchisor regarding approval of the site. Franchisee or the affiliated entity shall not secure financing or purchase the property until the site has been approved by Franchisor. Franchisor will provide Franchisee written notice of approval or disapproval of the proposed site within thirty (30) days after receiving Franchisee's written proposal and all required documents. Franchisee must obtain Franchisee's written approval of a proposed site before entering into a lease. Franchisee must have a proposed site approved by Franchisor within nine (9) months of the date of the execution of this Agreement.
Source: Item 23 — RECEIPTS (FDD pages 78–356)
What This Means (2025 FDD)
According to Buona's 2025 Franchise Disclosure Document, if the location is not already specified in Exhibit A of the franchise agreement, the responsibility for site selection falls solely on the franchisee. This means the franchisee must actively search for and secure a suitable premises for their Buona restaurant.
Before committing to a location, the franchisee must submit a site evaluation form to Buona for approval. This form should include a letter of intent, a proposed lease, or other documentation that demonstrates the franchisee's ability to obtain the site. Buona has the discretion to determine the factors it will consider when approving or disapproving a site, including the location's characteristics, the premises, and the financial terms of the proposed lease or purchase agreement.
The franchisee cannot secure financing or purchase the property until Buona has approved the site. Buona will provide written notice of approval or disapproval within 30 days of receiving the franchisee's proposal and all required documents. The franchisee must obtain written approval of a proposed site before entering into a lease and must have a proposed site approved by Buona within nine months of the date of the execution of the Franchise Agreement. Buona has the right to terminate the agreement if the franchisee does not obtain site approval within this timeframe. While Buona may offer assistance with site selection, this does not guarantee the location's success.