How does Costa Vida Fresh Mexican Grill communicate its approval of a proposed site?
Costa_Vida_Fresh_Mexican_Grill Franchise · 2025 FDDAnswer from 2025 FDD Document
arance and other physical characteristics of the site and all other information that we reasonably require for each site for a Costa Vida Restaurant that you propose to develop and operate and that you in good faith believe to conform to our then-current standard selection criteria for Costa Vida Restaurants;
- (2) We will approve or reject each site for which you submit to us a complete Site Approval Package in accordance with subparagraph (1) above and, if we approve the site, we will do so by delivering our standard Site Approval Letter. Our Site Approval Letter, duly signed by us, is the exclusive means by which we approve a proposed site, and no other direct or indirect representation, approval or acceptance, whether in writing or verbally, by any of our officers, employees or agents, shall be effective or bind us. We will use all reasonable efforts to make a site approval decision and, if the site is approved, deliver a Site Approval Letter to you within 30 days after we receive the complete Site Approval Package and any other materials we have requested. In deciding whether to approve or reject a site you propose, we may consider such factors as we, in our sole discretion, deem appropriate, including the general location and neighborhood, demographics information, traffic patterns, access, visibility, location of other retail food establishments (including other Costa Vida Restaurants) and size, condition, configuration, appearance and other physical characteristics of the site.
Source: Item 23 — RECEIPTS (FDD pages 67–282)
What This Means (2025 FDD)
According to Costa Vida Fresh Mexican Grill's 2025 Franchise Disclosure Document, site approval is communicated through a formal Site Approval Letter. After a prospective franchisee submits a complete Site Approval Package, Costa Vida Fresh Mexican Grill will review the proposal. This package includes essential details such as demographic information, traffic patterns, the location of other food establishments (including existing Costa Vida restaurants), and the physical characteristics of the site. Costa Vida Fresh Mexican Grill aims to make a decision within 30 days of receiving the complete package.
The Site Approval Letter, duly signed by Costa Vida Fresh Mexican Grill, serves as the exclusive means of approval. No other form of communication, whether written or verbal, from any officer, employee, or agent of Costa Vida Fresh Mexican Grill, is considered binding. This ensures clarity and avoids any potential misunderstandings regarding site approval.
Costa Vida Fresh Mexican Grill considers various factors when evaluating a proposed site, including its location, neighborhood demographics, traffic patterns, accessibility, visibility, and the presence of other food establishments. However, the FDD explicitly states that site approval does not constitute a warranty or representation regarding the site's suitability. It simply indicates that Costa Vida Fresh Mexican Grill is willing to grant a franchise for that location under the terms of the Franchise Agreement. This places the onus on the franchisee to conduct their own due diligence to ensure the site meets their business needs.
If the franchisee does not obtain legal possession of the approved site within 120 days from the date of the Site Approval Letter, Costa Vida Fresh Mexican Grill reserves the right to retract the approval. This condition encourages franchisees to act promptly in securing the site once approval is granted.