What information must a Chocolate Bash franchisee provide to obtain site approval?
Chocolate_Bash Franchise · 2024 FDDAnswer from 2024 FDD Document
- A. Your site. We will review and advise you regarding potential locations that you submit to us. (Section 5.4). If you sign a Multi-Unit Development Agreement, we will approve the location of future sites and territories for those sites, and our then-current standards for sites and territories will apply. We are not obligated to further assist you in locating a site or negotiating the purchase or lease of the site.
- (i) We generally do not own your premises.
- (ii) If your site is not already known and approved by us when you sign your franchise agreement, then we and you will specify in your franchise agreement the area in which you must select a site (Franchise Agreement, Summary Page). We do not select your site. Your site is subject to our approval. To obtain our approval, you must provide all information and documents about the site that we require.
- (iii) The factors we consider in approving sites are general location and neighborhood, competition, trade area demographics, traffic patterns, parking, size, physical characteristics of existing buildings, and lease terms.
- (iv) The time limit for us to approve or disapprove your proposed site is 30 days after you submit all of our required documents and information. (Section 6.1). If we and you cannot agree on a site, you will be unable to comply with your obligation to develop and open the franchise by the deadline stated in the franchise agreement. Unless we agree to extend the deadline, you will be in default and we may terminate your franchise agreement.
- (v) We are not obligated to assist you in conforming the premises of your site to local ordinances and building codes and obtaining any required permits. This will be your responsibility.
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING (FDD pages 19–25)
What This Means (2024 FDD)
According to Chocolate Bash's 2024 Franchise Disclosure Document, franchisees must provide all required information and documents about a potential site to the franchisor to obtain approval. Chocolate Bash does not select the site for the franchisee; the franchisee is responsible for site selection within a specified area outlined in the Franchise Agreement.
Chocolate Bash will review and advise on potential locations submitted by the franchisee. The factors Chocolate Bash considers for site approval include the general location and neighborhood, competition, trade area demographics, traffic patterns, parking availability, the size and physical characteristics of existing buildings, and lease terms.
Chocolate Bash has 30 days to approve or disapprove a proposed site after receiving all required documents and information. Failure to agree on a site can result in the franchisee being unable to meet the development and opening deadlines specified in the franchise agreement, potentially leading to default and termination of the agreement, unless an extension is granted. The franchisee is also responsible for ensuring the site complies with local ordinances and building codes and for obtaining all necessary permits.