What happens if Crisp & Green does not approve a proposed site for a Crisp & Green Restaurant?

According to Crisp & Green's 2024 Franchise Disclosure Document, if Crisp & Green does not approve a proposed site for a Franchised Restaurant, the franchisee must continue to identify and submit new sites for approval until Crisp & Green approves one. Crisp & Green commits to using reasonable efforts to approve or disapprove a proposed site within thirty days after receiving the franchisee's written proposal. If the franchisee does not receive written notice of approval or disapproval within that timeframe, the site is deemed disapproved. No site is considered approved unless Crisp & Green provides express written approval.

This process places the onus on the franchisee to find suitable locations, while Crisp & Green retains the right of final approval. Crisp & Green will offer reasonable efforts to help analyze the market area, determine site feasibility, and assist in designating the location, but will not conduct site selection activities for the franchisee. This means the franchisee bears the responsibility (and potential costs, such as broker fees) of site selection.

This arrangement is fairly typical in franchising, where the franchisor sets criteria but the franchisee performs the local legwork. However, the franchisee should carefully consider Crisp & Green's site selection criteria and approval process. The franchisee bears the risk that a site approved by Crisp & Green may still not meet their expectations for revenue or operational criteria, as demographic and economic factors can change. The franchisee also releases Crisp & Green from any liability related to site selection once the premises are accepted.