Who is responsible for selecting the Approved Location for each Extreme Art Studio Business?
Extreme_Art_Studio Franchise · 2024 FDDAnswer from 2024 FDD Document
Although we may assist you, you are solely responsible for selecting each Approved Location and negotiating the lease or purchase terms for each of your Extreme Art Studio Businesses.
- 2.1.1 You are responsible for selecting each Studio location for the Extreme Art Studio Business.
We will provide you with assistance, including site selection, site evaluation, lease review, and construction project management for any Extreme Art Studio Business, as outlined in the Franchise Operations Manual.
You may not lease or purchase a site for your Extreme Art Studio Business until after we have approved the site in writing.
We will provide you with mandatory and suggested criteria for Studio locations for the Extreme Art Studio Business.
We may inspect a Studio that you propose before we grant our approval.
You acknowledge and agree that our approval of any Studio is merely our determination, entirely for our own purposes, that the Studio site meets our current criteria.
Our consent does not constitute a representation or warranty of any kind, express or implied, of the Studio's suitability, and you confirm that you have not relied, and will not rely, on our approval for that purpose.
Source: Item 22 — CONTRACTS (FDD page 49)
What This Means (2024 FDD)
According to the 2024 Extreme Art Studio Franchise Disclosure Document, the franchisee is primarily responsible for selecting the location of their Extreme Art Studio business. While Extreme Art Studio may offer assistance, the ultimate responsibility for selecting the Approved Location and negotiating lease or purchase terms rests solely with the franchisee.
Extreme Art Studio will provide assistance with site selection, evaluation, lease review, and construction project management, as outlined in their Franchise Operations Manual. They also provide mandatory and suggested criteria for studio locations. However, the franchisee must not enter into a lease until Extreme Art Studio approves the location in writing. Extreme Art Studio retains the right to inspect proposed studio sites before granting approval.
It is important to note that Extreme Art Studio's approval of a site is simply a determination that the site meets their current criteria and does not constitute a warranty or representation of the site's suitability or potential. The franchisee is expected to conduct their own independent investigation to determine if the location is suitable for their Extreme Art Studio business. Franchisees must reach an agreement with Extreme Art Studio on an Approved Location within four months of signing the Franchise Agreement, or Extreme Art Studio has the option to terminate the agreement.
This arrangement places significant responsibility on the franchisee to conduct thorough due diligence and market research to identify a viable location. While Extreme Art Studio offers support and must ultimately approve the site, the success of the location hinges on the franchisee's initial selection and investigation.