Where can I find information about site selection for a Burros Fries franchise in the FDD?
Burros_Fries Franchise · 2024 FDDAnswer from 2024 FDD Document
direct ownership interest in Franchisee without first obtaining our written consent which consent shall be given or withheld within thirty (30) days of Franchisee's request.
S. Site Selection
Franchisee assumes all costs, liability, expense, and responsibility for locating, obtaining and developing a site for the Franchise Business to be established under the Franchise Agreement and for equipping the Business at such premises. A typical Burros & Fries Business has approximately 2,500- 3,000 square feet of space. The space must be enclosed and separate from other businesses with its own locking door. Franchisee may buy or lease the required real property and improvements from any source and on terms approved by us in writing. Franchisee may not sign a lease (or a contract to purchase the premises, if applicable) for the Business until Franchisee has obtained our written approval. Franchisee must not invest any monies for a site in which Franchisee wishes to open a Business until Franchisee has obtained our written approval for the site which will be made by email or any other form of written communication. On the execution of any lease for the Franchise Business, Franchisee will deliver to us a copy of the executed lease and an option to assume the lease executed by the lessor in favor of us in a form acceptable to us. All improvements to the Business must be approved by us.
FRANCHISEE ACKNOWLEDGES THAT OUR ACCEPTANCE OF A PROSPECTIVE SITE AND THE RENDERING OF ASSISTANCE IN THE SELECTION OF A SITE DOES NOT CONSTITUTE A REPRESENTATION, PROMISE, WARRANTY, OR GUARANTEE BY US THAT A BURROS & FRIES FRANCHISE OPERATED AT THAT SITE WILL BE PROFITABLE OR OTHERWISE SUCCESSFUL.
Franchisee acknowledges that we have spent considerable amount of time choosing and creating the décor and outfitting Burros & Fries Businesses. It is part of our trade dress. Franchisee acknowledges and agrees that the design, layout and other characteristics of the Business constitute and/or contain
Confidential Information and/or trade secrets of ours. Franchisee agrees that the Business shall be maintained and operated as follows:
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- Franchisee will maintain the Business and every component of the kitchen equipment furnishings, fixtures and technology items in good order and repair at all times as specified in the Operations Manual;
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- Franchisee will keep the Business fully insured as specified in this Agreement and in the Operations Manual;
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- Franchisee will keep the Business at all times in a clean and tidy condition and free of any advertising and promotional material other than that required by law or the Operations Manual, and will exhibit such signage, colors and logos in the Business and upgrade or review the same as specified in the Operations Manual;
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- Franchisee will not alter or in any way amend the appearance of the Business, or any kitchen equipment, furnishings, fixtures, technology items and signage contained within the Business as specified in the Operations Manual;
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- Franchisee will maintain all kitchen equipment, furnishings, fixtures, technology items and signage as specified from time-to-time in the Operations Manual and may be required to upgrade such items as technology advances or in our sole discretion because of new functionality so as to always use our then-current specifications;
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- Franchisee shall meet and maintain the highest level of health standards and ratings applicable to the operation of the Business. Franchisee shall furnish to us, immediatelyor within three (3) days after receipt thereof, a copy of all inspection reports, warnings, citations, certificates and/or ratings resulting from inspections conducted by any federal, state or local governmental authority with jurisdiction over the Business; and
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- Franchisee may be required to use only approved service centers for repairs and maintenance of all kitchen equipment.
Franchisee shall not execute a lease or sublease for the Business, or make any modifications or amendments to the lease or sublease, without our prior written consent, which we may grant, condition or withhold in our Business Judgment.
Source: Item 22 — CONTRACTS (FDD page 53)
What This Means (2024 FDD)
According to Burros Fries's 2024 Franchise Disclosure Document, Item 22, Section S and C, contains information about site selection. The franchisee is responsible for finding, securing, and developing a site for their Burros Fries franchise. The FDD specifies that a typical Burros & Fries Business needs approximately 2,500-3,000 square feet of enclosed space, separate from other businesses, with its own locking door. The franchisee can either buy or lease the property, but Burros Fries must provide written approval of the site and lease terms before the franchisee signs any agreements or invests any money.
Burros Fries must review and approve any lease or purchase contract before it is signed. The franchisor will assess the location and can either approve or disapprove it. The document specifies that acceptance of a site by Burros Fries does not guarantee the profitability or success of the franchise at that location.
The territory is determined by factors such as population, demographics, traffic patterns, proximity to major roads, parking, competition, business potential, site availability, square footage, and rent. Once a location is approved, the territory is set and will not change during the agreement, even if the population changes. The franchisee cannot relocate without prior written consent from Burros Fries and must operate within the assigned territory.