Is Crave's approval of a location a guarantee of success or profitability for the Crave Restaurant?
Crave Franchise · 2025 FDDAnswer from 2025 FDD Document
You acknowledge and agree that our approval of a location for the Franchised Business is not a warranty or guaranty, express or implied, that you will achieve any particular level of success at the location or that your Restaurant will be profitable. Our approval of a location for the Restaurant only signifies that the location meets our then-current minimum criteria for a Crave Restaurant.
Source: Item 23 — RECEIPTS (FDD pages 63–253)
What This Means (2025 FDD)
According to Crave's 2025 Franchise Disclosure Document, Crave's approval of a location for a franchised business does not guarantee success or profitability. While Crave must approve the location, this approval only signifies that the site meets the company's minimum criteria for a Crave Restaurant at that time. The FDD emphasizes that franchisees are responsible for the location, selection, procurement, and development of their restaurant site.
Crave franchisees are expected to consult with real estate and other professionals during the site selection process. Franchisees bear the costs and responsibilities associated with finding, securing, and developing the location within their designated territory. Crave retains the right to approve deviations from its standard site selection criteria based on specific factors of a particular site, but these approvals are at Crave's sole discretion.
Crave makes it clear that its approval of a site should not be interpreted as an assurance that the business will operate successfully or profitably. This is a common disclaimer in franchise agreements, as the success of a franchise depends on numerous factors beyond just the location, including the franchisee's management skills, local market conditions, and competition.