What conditions must a Burger King developer satisfy before Burger King grants a Franchise Agreement for each respective Franchised Restaurant?
Burger_King Franchise · 2025 FDDAnswer from 2025 FDD Document
sonable amount of time.
4.5 Notice of Franchised Restaurant. At least forty-five (45) days prior to the proposed initial opening date of business of each Franchised Restaurant, Developer shall notify BKC in writing of such proposed opening date. Failure to provide the notice required by this Section 4.5 shall constitute an Event of Default pursuant to Section 6.1.9.
ARTICLE V: GRANT OF FRANCHISE
- 5.1 Developer understands and agrees that as a condition precedent to BKC granting a franchise to operate a Franchised Restaurant, Developer must meet the requirements for Franchise Approval. Developer must sign and return to BKC, no less than seven (7) days prior to the opening of each Franchised Restaurant, the then-current form of the BURGER KING® Restaurant Franchise Agreement (Entity) as disclosed in BKC's then-current Franchise Disclosure Document ("Franchise Agreement") and all other documents required by BKC to be executed in connection with the grant of a franchise, together with payment of the then-current franchise fee, subject to Section 5.5 below. Developer shall not open a Franchised Restaurant prior to the execution of a Franchise Agreement, payment of the franchise fee, and receipt of BKC approval.
Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 109–124)
What This Means (2025 FDD)
According to Burger King's 2025 Franchise Disclosure Document, a developer must meet specific conditions before Burger King grants a Franchise Agreement to operate a Franchised Restaurant. The developer, its affiliates, and its principals must be in full compliance with the requirements of the Development Agreement and all other franchise agreements for Developer Restaurants that are in force when a franchise grant is requested. This means maintaining good standing across all existing Burger King franchise obligations.
Additionally, the developer must have and continue to hold all relevant approvals, permits, and licenses required by applicable law to operate the Franchised Restaurant. This includes ensuring all legal and regulatory requirements are met for the specific location. The developer must also be current on all monetary obligations due to Burger King. This encompasses all fees, royalties, and other payments owed to Burger King at the time the franchise is to be granted.
Furthermore, the developer needs to sign and return the then-current form of the Burger King Restaurant Franchise Agreement (Entity) and all other required documents, along with payment of the then-current franchise fee, no less than seven days prior to the opening of each Franchised Restaurant. The developer cannot open a Franchised Restaurant before the execution of a Franchise Agreement, payment of the franchise fee, and receipt of Burger King approval. These conditions ensure that the developer is fully prepared and authorized to operate the Burger King franchise according to Burger King's standards and legal requirements.