Under what condition is a Crown Gold Exchange franchisee required to engage the services of an architect?
Crown_Gold_Exchange Franchise · 2024 FDDAnswer from 2024 FDD Document
- 6.3 Development. Franchisee shall construct (or remodel) and finish the Location in conformity with Crown Gold Franchising's System Standards. If required by Crown Gold Franchising, Franchisee shall engage the services of an architect licensed in the jurisdiction of the Location. Franchisee shall not begin any construction or remodeling work without first obtaining Crown Gold Franchising's approval of Franchisee's plans. Crown Gold Franchising may, but is not required to, inspect Franchisee's construction or remodeling progress at any reasonable time.
Source: Item 22 — CONTRACTS (FDD pages 38–39)
What This Means (2024 FDD)
According to Crown Gold Exchange's 2024 Franchise Disclosure Document, a franchisee is required to engage the services of a licensed architect in the jurisdiction of their location if Crown Gold Franchising requires it. This requirement is related to the construction or remodeling of the franchise location.
This means that before starting any construction or remodeling, a Crown Gold Exchange franchisee must first obtain approval from Crown Gold Franchising for their plans. While Crown Gold Franchising has the option to inspect the construction or remodeling progress, they are not obligated to do so.
The necessity of hiring an architect is not guaranteed for every franchisee; it depends on Crown Gold Franchising's specific requirements for the location's development. This could add to the initial investment if Crown Gold Exchange mandates the use of an architect, so prospective franchisees should clarify this potential expense with the franchisor.