factual

Who has the ultimate responsibility in choosing, obtaining, and developing the site for an Extreme Art Studio?

Extreme_Art_Studio Franchise · 2024 FDD

Answer from 2024 FDD Document

Although we will consult with you on your site for your Studio, assist you in finding an acceptable location, and require that your site for your Studio be subject to our final authorization, you have the ultimate responsibility in choosing, obtaining, and developing the site for your Studio. You are responsible for conforming the premises to local ordinances and building codes, obtaining the required permits, and constructing, remodeling and decorating the premises. We will not provide assistance for any of these franchisee obligations.

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, while the franchisor will consult on the site and assist in finding an acceptable location, the franchisee has the ultimate responsibility for choosing, obtaining, and developing the site for their studio. This includes conforming the premises to local ordinances and building codes, obtaining the required permits, and managing the construction, remodeling, and decorating of the space. The franchisor will not provide assistance for these obligations.

Extreme Art Studio does provide site selection criteria for franchisees to use. Franchisees must receive written approval from Extreme Art Studio before leasing or purchasing a site. The franchisor considers factors such as location, size, suitability, layout, access, visibility, proximity to other businesses, competitors, population density, demographics, traffic, tenant mix, and parking. The franchisor states that they will typically respond within two weeks after receiving all required information, but there are no deadlines for approval or disapproval.

If an agreement on an approved site cannot be reached within four months of signing the Franchise Agreement or Extreme Art Rider, Extreme Art Studio has the option to terminate the agreement without providing a refund. Similarly, if a lease is not secured within six months of signing the Franchise Agreement, the franchisor can terminate the agreement without a refund. The franchisee must also obtain the franchisor's prior written approval of the studio lease, ensuring it meets the franchisor's criteria, including mandatory lease provisions for their protection.

Disclaimer: This information is extracted from the 2024 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.