factual

What written guidelines will Burros Fries provide to franchisees for site selection?

Burros_Fries Franchise · 2024 FDD

Answer from 2024 FDD Document

Before you open your Business, we will:

(1) Provide you with written guidelines for site selection. You must, on your own initiative and atyour own expense locate, obtain and occupy the site and negotiate the lease for your Business. You must select the site for your Business within the protected territory provided in the Franchise Agreement. We currently do not own the site and lease it back to you; however, we retain the rights in the future to do so. You may not sign a lease for the site (or contract to purchase the premises, if applicable) in which you wish to operate your Business until you have obtained our written approval. Additionally, you must not invest any money for the site in which you have not received our written approval. We must accept the site if we feel in our total discretion that it meets or exceeds our standards, but our acceptance does not ensure that your Business will be profitable at the approved location. If we do not approve the site, you will be given a second opportunity to locate a site. If we do not approve the second site, we may terminate the Franchise. The factors that we consider in acceptance of the site include: population density, demographics, traffic patterns, convenience, adequate parking, safety, zoning ordinances, neighborhood and physical characteristics of the premises such as size and layout. We evaluate each proposed site and accept or reject each one on a case-by-case basis and will notify you by email or any other form of written communication of our acceptance or rejection of any proposed site within thirty (30) days after we receive your request

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, Burros Fries will provide franchisees with written guidelines for site selection. The franchisee is responsible for locating, obtaining, and occupying a site, as well as negotiating the lease, all at their own expense. The site must be within the protected territory outlined in the Franchise Agreement.

The franchisee cannot sign a lease or purchase agreement for the site until they have received written approval from Burros Fries, and they must not invest any money in the site without this approval. Burros Fries will assess the proposed site based on factors such as population density, demographics, traffic patterns, convenience, parking, safety, zoning ordinances, neighborhood characteristics, and the physical attributes of the premises, including size and layout.

Burros Fries will evaluate each proposed site on a case-by-case basis and notify the franchisee of their decision via email or other written communication within thirty days of receiving the request. However, Burros Fries notes that their acceptance of a site does not guarantee the franchisee's business will be profitable at that location. If the initial site is not approved, the franchisee will have a second opportunity to find a suitable location. If the second site is also rejected, Burros Fries reserves the right to terminate the franchise agreement.

Disclaimer: This information is extracted from the 2024 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.