Does Burros Fries make any representations that a franchisee's business will be profitable or successful by being located at the approved site?
Burros_Fries Franchise · 2024 FDDAnswer from 2024 FDD Document
Neither we nor any of our employees have special expertise in selecting sites; we make no representations that your Business will be profitable or successful by being located at the approved site. Any approval is intended only to indicate that the proposed site meets our minimum criteria based upon our general business experience.
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING (FDD pages 27–38)
What This Means (2024 FDD)
According to Burros Fries's 2024 Franchise Disclosure Document, the company does not guarantee that a franchisee's business will be profitable or successful simply because the site has been approved. While Burros Fries provides written guidelines for site selection and must approve the location, this approval is based on the franchisor's discretion that the site meets or exceeds their standards. These standards include factors like population density, demographics, traffic patterns, convenience, parking, safety, zoning, and the physical characteristics of the premises.
Burros Fries explicitly states that neither they nor their employees have special expertise in selecting sites, and they make no representations about profitability or success based on the approved location. The approval only indicates that the site meets the minimum criteria based on their general business experience. This means that while Burros Fries assesses potential locations, the ultimate success of the business depends on numerous other factors beyond the site itself.
This is a common practice in franchising, as franchisors typically provide site selection assistance but cannot guarantee financial outcomes. Prospective Burros Fries franchisees should conduct their own due diligence, including market research and financial projections, to assess the potential profitability of any proposed location. Relying solely on the franchisor's site approval without independent analysis could be risky.