Does Chop5 Salad Kitchen review and approve or disapprove sites proposed by the franchisee for their Chop5 Salad Kitchen Restaurant?
Chop5_Salad_Kitchen Franchise · 2024 FDDAnswer from 2024 FDD Document
We do not guarantee any of your notes, leases or obligations.
ITEM 11 FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS AND TRAINING
Except as listed below, we are not required to provide you with any assistance.
Before you open your Restaurant, we will:
- Provide access to our Manual which will help you establish and operate your Restaurant, as discussed below under "Manual". (§6.1)
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- Review and approve or disapprove sites you propose for your Restaurant, as discussed below under "Site Selection". (§7.1, 7.3 & 7.4)
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- Provide our written specifications for goods and services you must purchase to develop, equip and operate your Restaurant and a list of suppliers. We do not deliver or install any items that you purchase. (§11.2)
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- Provide access to approved advertising and marketing materials, as discussed below under "Advertising and Marketing". (§10.2)
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- Review and approve or disapprove the design and buildout of your Restaurant, as discussed below under "Site Development". (§7.3 & 7.4)
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- Provide an initial training program, as discussed below under "Training Program". (§5.1 & 5.2)
During the operation of your Restaurant, we will:
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- Provide our guidance and recommendations to improve the operation of your Restaurant. (§6.2)
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- Provide periodic training programs, as discussed below under "Training Program". (§5.3)
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- Maintain a corporate website to promote our brand and a local webpage to promote your Restaurant, as discussed below under "Advertising and Marketing". (§6.6)
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- Establish and implement the Brand Fund, as discussed below under "Advertising and Marketing". (§10.1)
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- Provide you with our corporate retail pricing model, which has not been adapted for local market conditions. You may deviate from our corporate retail pricing at your discretion. However, in the future we may require you to obtain our approval of any deviation more than 10% higher or lower than our corporate retail pricing, unless the pricing is part of a temporary advertising campaign we approved. To the extent permitted by applicable law, we may set maximum or minimum prices on the goods and services you sell. (§11.6)
During the operation of your Restaurant, we may, but need not:
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- Conduct periodic field visits to provide onsite consultation, assistance and guidance pertaining to the operation and management of your Restaurant. (§6.4)
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- Develop new merchandise, menu items or other goods or services for sale by Restaurants. (§6.9)
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Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS AND TRAINING (FDD pages 24–36)
What This Means (2024 FDD)
According to Chop5 Salad Kitchen's 2024 Franchise Disclosure Document, Chop5 Salad Kitchen reviews and approves or disapproves sites proposed by the franchisee for their Restaurant. Chop5 Salad Kitchen tries to approve or disapprove sites within 30 days after receiving all required materials. If Chop5 Salad Kitchen fails to issue written approval within this 30-day period, the site is considered disapproved.
When reviewing proposed sites, Chop5 Salad Kitchen considers factors such as parking, visibility, size, condition and characteristics of the building, traffic counts, general location, the existence and location of competitive businesses, the general character of the neighborhood, local demographic information, and various economic indicators.
The franchisee is responsible for finding an approved site within 180 days of signing the Franchise Agreement; failure to do so may result in termination of the agreement. The site must be within the Site Selection Area specified in the Franchise Agreement and conform to Chop5 Salad Kitchen's minimum site selection criteria. The franchisee must also submit a complete site report with all required information about the proposed site. If the franchisee signs an Area Development Agreement (ADA), Chop5 Salad Kitchen must approve the site for each Restaurant developed, applying their current site selection criteria.