Does Deka Lash generally own the premises and lease it to the franchisee?
Deka_Lash Franchise · 2024 FDDAnswer from 2024 FDD Document
Site Selection. We provide site selection criteria, guidelines, and counseling to help you select a site. We do not select the site. It is your responsibility to locate and select a suitable site for your studio. You must submit to us a site selection proposal containing reasonable items required by us to evaluate the site. We must approve any site you select before you sign a lease for that location. We do not generally own the premises and lease it to you. Before you enter into a lease or purchase agreement, you must have the site approved by us. We consider the following factors in approving your site selection: general location, proximity to other affiliated/Deka Lash locations, neighborhood, traffic patterns, signage, parking, size, zoning, physical characteristics of the proposed space, demographics, population density of the area, and lease terms (including the cost of the build-out, monthly rent rate). We may conduct an on-site evaluation if we consider it necessary as part of our evaluation. We will typically approve or disapprove a proposed site within 14 days of your submission to us of the pertinent information required by us on the proposed site. If we accept a proposed site and you obtain it, we will insert a description of the specific location in Schedule 1 to the franchise agreement. In the unlikely event that you and we cannot agree on a site within the opening timeframe allowed, you can extend the timeline by getting approved and paying the opening deadline extension fee, we can allow you more time to search for a site that we can agree upon, or we can terminate the franchise agreement. (Franchise Agreement, Section 5.2(a)).
Build out. It is your responsibility to conform the premises to federal, state or local ordinances, building codes, licensing requirements (including those required for a studio that offers our services) and obtain any required permits. (Franchise Agreement, Sections 6.2(b)-(c)).
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS AND TRAINING (FDD pages 32–40)
What This Means (2024 FDD)
According to Deka Lash's 2024 Franchise Disclosure Document, Deka Lash does not generally own the premises and lease it to its franchisees. The franchisee is responsible for locating and selecting a suitable site for their studio, although Deka Lash must approve the site before the franchisee signs a lease.
Before entering into a lease or purchase agreement, the franchisee must have the site approved by Deka Lash. Deka Lash considers factors such as general location, proximity to other Deka Lash locations, neighborhood, traffic patterns, signage, parking, size, zoning, physical characteristics of the proposed space, demographics, population density, and lease terms, including build-out costs and monthly rent rate.
The franchisee is also responsible for conforming the premises to federal, state, or local ordinances, building codes, and licensing requirements, as well as obtaining any required permits. This means the franchisee bears the responsibility for ensuring the location meets all legal and regulatory standards for operating a Deka Lash studio.