factual

Can Chicken Guy's approval of a site be subject to conditions?

Chicken_Guy Franchise · 2025 FDD

Answer from 2025 FDD Document

Upon receipt of your Real Estate Application and other requested materials, our Real Estate Review Committee will review those materials and evaluate the proposed site using the site selection criteria referenced above. Within 15 days after we receive the Real Estate Site Application, your business plan and any additional information that we require (and if the Franchised Restaurant is not developed under a Development Agreement, the signed Franchise Agreement and all requisite fees), we will advise you in writing whether we have approved a particular site. If we do not respond within that time period, we will be deemed to have denied approval of the site. Our approval or denial of approval of a site may be subject to reasonable conditions as determined in our sole discretion.

Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS AND TRAINING (FDD pages 25–34)

What This Means (2025 FDD)

According to Chicken Guy's 2025 Franchise Disclosure Document, the approval of a site is subject to conditions. After a franchisee submits a Real Estate Site Application, business plan, and any other required information, Chicken Guy's Real Estate Review Committee will evaluate the proposed site. Within 15 days of receiving all necessary documents, Chicken Guy will inform the franchisee in writing whether the site has been approved. If Chicken Guy fails to respond within this 15-day period, the site is considered denied.

Chicken Guy's approval of a site can be subject to reasonable conditions, which are determined at their sole discretion. This means that even if a site initially meets the general criteria, Chicken Guy can impose additional requirements or modifications that the franchisee must meet before the site is officially approved. These conditions could relate to various aspects of the site, such as modifications to the building, specific lease terms, or other factors that Chicken Guy deems necessary for the success of the franchise.

For a prospective Chicken Guy franchisee, this implies that site selection is not solely based on meeting the franchisor's initial criteria. Franchisees must be prepared to negotiate and potentially make adjustments to their chosen site to satisfy any conditions imposed by Chicken Guy. Failure to meet these conditions could result in the disapproval of the site, potentially delaying or preventing the opening of the franchise. Therefore, it is crucial for franchisees to maintain open communication with Chicken Guy during the site selection process and to understand all potential conditions that may be required for approval.

Disclaimer: This information is extracted from the 2025 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.