What site selection criteria does Extreme Art Studio provide to franchisees?
Extreme_Art_Studio Franchise · 2024 FDDAnswer from 2024 FDD Document
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Site Selection
We will provide you with our site selection criteria for you to use to select and acquire a site for your Studio which meets our site selection criteria. You may not lease or purchase a site for your Studio until after we have approved the site in writing. The factors we consider in approving sites for your Studio include location; size; suitability; layout; access and visibility of the proposed location; proximity to other businesses; location and nature of any competitors; population density and demographics; vehicle traffic; pedestrian traffic; existing tenant mix; parking convenience; and other factors that may be relevant to your market. The same site selection criteria will generally be applicable to all Extreme Art Studio Business franchisees. We generally do not own the premises and lease it to you.
There are no deadlines for our approval or disapproval of your proposed Studio site, although we will typically be able to respond within two weeks after you submit to us all of the required information. Once we have approved your location, the Franchise Agreement or applicable Extreme Art Rider will automatically be amended to show the specific location as the only location where you are authorized to
operate the Extreme Art Studio Business. If you and we are not able to reach agreement on an approved site for your Studio within four months after you sign the Franchise Agreement or applicable Extreme Art Rider, then we have the option to terminate the Franchise Agreement without providing you a refund.
You must obtain our prior written approval of your Studio lease. Your Studio lease must meet our lease approval criteria, including certain mandatory lease provisions that we require for our protection. If you fail to enter into a lease for your Extreme Art Studio Business within six months after signing the Franchise Agreement, then we have the option to terminate the Franchise Agreement without providing you a refund.
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS AND TRAINING (FDD pages 27–37)
What This Means (2024 FDD)
According to Extreme Art Studio's 2024 Franchise Disclosure Document, the franchisor provides site selection criteria for franchisees to use when selecting a location for their studio. However, the franchisee must receive written approval from Extreme Art Studio before leasing or purchasing a site.
The factors that Extreme Art Studio considers when approving a site include the location, size, suitability, layout, access, and visibility. They also consider the proximity to other businesses, the location and nature of any competitors, population density and demographics, vehicle and pedestrian traffic, the existing tenant mix, parking convenience, and other factors relevant to the market.
Extreme Art Studio does not provide any guarantee of how long the approval process will take, but states that they typically respond within two weeks of receiving all required information. If the franchisee and Extreme Art Studio cannot agree on a site within four months of signing the Franchise Agreement, Extreme Art Studio has the option to terminate the agreement without providing a refund. The franchisee must also obtain Extreme Art Studio's prior written approval of the studio lease, and the lease must meet Extreme Art Studio's criteria, including certain mandatory lease provisions. If the franchisee fails to enter into a lease within six months of signing the Franchise Agreement, Extreme Art Studio can terminate the agreement without a refund.