What section of the addendum refers to the approval of a site for an Engineering For Kids franchise?
Engineering_For_Kids Franchise · 2025 FDDAnswer from 2025 FDD Document
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- Authorized Center Location: Upon our approval of a site under Section 3 of this Addendum, and after you secure the site pursuant to Section 5 of this Addendum, we will insert its address into Appendix A of the Franchise Agreement, and it will be the Approved Location for your EFK Center Location (the "Authorized Center Location").
You acknowledge and agree that, if we have recommended, approved or given you information regarding a site for the Authorized Center Location, that is not a representation or warranty of any kind, express or implied, of the suitability of the site for an Engineering For Kids Business or any other purpose.
Our recommendation indicates only that we believe that the site meets our then acceptable criteria.
Applying criteria that have appeared effective with other sites and premises might not accurately reflect the potential for all sites and premises, and demographic and/or other factors included in or excluded from our criteria could change, altering the potential of a site and premises.
The uncertainty and changeable nature of these criteria and factors are beyond our control, and we are not responsible if a site and premises we recommend fail to meet your expectations.
You acknowledge and agree that your acceptance of the obligation to develop the Business is based on your own independent investigation of the suitability of the site for the Business and that you are solely responsible for all due diligence and related costs to determine the suitability of a proposed site for the Franchised Business, including the costs related to issues that arise after the commencement of construction.
Source: Item 22 — CONTRACTS (FDD page 53)
What This Means (2025 FDD)
According to the 2025 Engineering For Kids FDD, Section 3 of the Site Selection Addendum pertains to the approval of a site for an Engineering For Kids franchise. Specifically, upon Engineering For Kids' approval of a site under Section 3 and after the franchisee secures the site as per Section 5 of the addendum, the address will be inserted into Appendix A of the Franchise Agreement, designating it as the Approved Location for the EFK Center Location, also known as the "Authorized Center Location".
The FDD emphasizes that any recommendation, approval, or information provided by Engineering For Kids regarding a site does not constitute a representation or warranty of its suitability for an Engineering For Kids Business or any other purpose. The franchisor's recommendation only indicates that the site meets their acceptable criteria at the time. The document makes it clear that criteria that have worked for other locations may not accurately reflect the potential of all sites, and demographic or other factors could change, altering a site's potential.
The document states that the uncertainty and changeable nature of these criteria and factors are beyond Engineering For Kids' control, and they are not responsible if a recommended site fails to meet the franchisee's expectations. The franchisee acknowledges that their decision to develop the business is based on their own independent investigation of the site's suitability. The franchisee is solely responsible for all due diligence and related costs to determine the suitability of a proposed site, including costs related to issues that arise after construction commences.
This arrangement is typical in franchising, where the franchisee bears the ultimate responsibility for site selection, while the franchisor provides guidance based on their experience. Prospective Engineering For Kids franchisees should conduct thorough due diligence, including market research and financial analysis, to ensure the chosen location is viable for their business.