factual

For a Dq Treat franchise, what factors can influence bids during construction?

Dq_Treat Franchise · 2025 FDD

Answer from 2025 FDD Document

    1. Bids can be influenced by local governing regulations and requirements, developers' design criteria, and actual site as built conditions. The general contractor shall include all items in the bid. However, because of timing or unforeseen circumstances, some of these items may be added to the total construction cost via approved change orders and paid by the Licensee.
    1. ADQ does not assume any responsibility for construction cost overruns or costs associated with opening delays. All construction costs, late fees, rental commencement charges, etc., associated with the project opening are the sole responsibility of the Licensee.

Source: Item 17 — The following paragraph is added to the end of Item 17 of the Disclosure Document: (FDD pages 70–378)

What This Means (2025 FDD)

According to the 2025 Dq Treat FDD, several factors can influence construction bids. Local governing regulations and requirements, the developer's design criteria, and the actual site conditions as built can all impact the bids received from general contractors. These elements must be factored into the initial bid to ensure accurate cost projections.

However, the FDD notes that unforeseen circumstances or timing issues may lead to additional costs during construction. These costs are typically addressed through approved change orders, which the franchisee is responsible for paying. Therefore, it is crucial for prospective Dq Treat franchisees to carefully consider these potential cost adjustments when budgeting for construction.

Dq Treat emphasizes that any design changes to the building or equipment must be finalized before obtaining final bids and signing the construction contract. Changes made after the contract is signed may result in additional expenses for the franchisee. The FDD explicitly states that no changes should be made without notifying the construction consultant and obtaining written approval from ADQ to avoid unexpected costs and ensure compliance with brand standards.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.