Besides a Franchise Site Application, what must a Carls Jr. developer submit for a proposed site?
Carls_Jr Franchise · 2025 FDDAnswer from 2025 FDD Document
For each proposed site for a Franchised Restaurant, Developer shall, if requested by CJR, submit to CJR a Franchise Site Application. In addition, Developer shall submit a development proposal (containing that information as CJR may reasonably require) for a proposed site which Developer reasonably believes to conform to site selection criteria CJR establishes from time to time for demographic characteristics, traffic patterns, parking, character of the neighborhood, competition from other businesses in the area, the proximity to other businesses (including restaurants operated or franchised by CJR or its affiliates), the nature of other businesses in proximity to the site and other commercial characteristics (including the purchase price, rental obligations and other lease terms for the proposed site) and the size, appearance, other physical characteristics, and a site plan of the premises.
Developer acknowledges that, in order to preserve and enhance the reputation and goodwill of all restaurants franchised by CJR and the goodwill of the Proprietary Marks, all Franchised Restaurants must be properly developed, operated and maintained. Accordingly, Developer agrees that CJR may refuse to accept a site for a proposed Franchised Restaurant unless Developer demonstrates sufficient financial capabilities, in CJR's sole judgment, applying standards consistent with criteria CJR uses to establish restaurants in other comparable market areas, to properly develop, operate and maintain the proposed Franchised Restaurant. To this end, Developer shall furnish CJR with such financial statements and other information regarding Developer (or its Affiliated Entity, as defined in Section 3.E.) and the development and operation of the proposed Franchised Restaurant, including, without limitation, investment and financing plans for the proposed Franchised Restaurant, as CJR reasonably may require.
Source: Item 23 — RECEIPTS (FDD pages 76–364)
What This Means (2025 FDD)
According to the 2025 Carls Jr. Franchise Disclosure Document, in addition to the Franchise Site Application, a developer must submit a development proposal for each proposed site. This proposal should include information that Carls Jr. reasonably requires, pertaining to the site selection criteria they establish.
The criteria include demographic characteristics, traffic patterns, parking availability, the character of the neighborhood, and competition from other businesses in the area. The proposal should also detail the proximity to other businesses, including restaurants operated or franchised by Carls Jr. or its affiliates, and the nature of other businesses near the site.
Furthermore, the development proposal must include commercial characteristics such as the purchase price, rental obligations, and other lease terms for the proposed site. It should also describe the size, appearance, other physical characteristics, and a site plan of the premises. The developer must also furnish Carls Jr. with financial statements and other information regarding the developer (or its Affiliated Entity) and the development and operation of the proposed Franchised Restaurant, including investment and financing plans for the proposed Franchised Restaurant, as Carls Jr. reasonably may require.