Does Crown Gold Exchange require landlord to sign a Rider to Lease Agreement?

According to Crown Gold Exchange's 2024 Franchise Disclosure Document, franchisees must use reasonable efforts to have their landlord sign the Crown Gold Exchange form of Rider to Lease Agreement. The FDD specifies that the business location is subject to Crown Gold Exchange's approval and must meet their specifications. The Rider to Lease Agreement is attached to the disclosure document as Exhibit D.

This requirement means that prospective Crown Gold Exchange franchisees need to factor in the time and potential difficulty of getting a landlord to agree to and sign this Rider to Lease Agreement. It is not explicitly stated as a mandatory requirement, but franchisees must use "reasonable efforts," implying that Crown Gold Exchange places importance on this agreement.

This is a fairly common practice in franchising, as franchisors often want to ensure that the lease terms align with their brand standards and protect their interests. The Rider to Lease Agreement likely contains provisions that benefit Crown Gold Exchange, such as restrictions on the landlord's ability to lease space to competitors or requirements for maintaining the property in a certain condition. Franchisees should carefully review Exhibit D and understand the implications of this agreement before signing a lease.