What conditions must a site meet for FSI to approve it as a Fat Shack Restaurant location?
Fat_Shack Franchise · 2025 FDDAnswer from 2025 FDD Document
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Franchisee may only operate a FAT SHACK Restaurant at a site approved by FSI, which approval will not be unreasonably withheld so long as the site meets FSI's site selection criteria. Franchisee shall follow FSI's site selection procedures in locating a Restaurant Location for the FAT SHACK Restaurant. Franchisee shall submit a completed site submittal package, including demographics and other materials requested by FSI, containing all information required by FSI to assess a proposed Restaurant Location. Franchisee acknowledges and warrants that (1) FSI's approval does not constitute a guarantee, recommendation or endorsement of the Restaurant Location or Target Area and that the success of the FAT SHACK Restaurant to be operated at a Restaurant Location is dependent upon Franchisee's abilities as an independent businessperson; and, (2) when a Restaurant Location is approved by FSI, then FSI has complied with its obligations under the Agreement to assist Franchisee by provision of criteria for the Restaurant Location and determining fulfillment of the requisite criteria for the Restaurant Location, such determination based on information provided by Franchisee.
6.2. Lease Approval and Architectural Drawings
Once the Restaurant Location has been approved by FSI, Franchisee's proposed Restaurant Location lease or purchase agreement must be reviewed and certified acceptable by FSI. After FSI has approved the proposed lease or purchase agreement, FSI and Franchisee will mutually develop the layout of the Restaurant Location, or Franchisee may employ the services of an architecture to create a set of architectural drawings for the Restaurant Location, which will be subject to FSI's approval. Franchisee may not sign a lease or use architectural drawings that have not been approved by FSI.
Source: Item 23 — Receipts (FDD pages 53–223)
What This Means (2025 FDD)
According to Fat Shack's 2025 Franchise Disclosure Document, franchisees may only operate a Fat Shack Restaurant at a site approved by FSI. This approval will not be unreasonably withheld as long as the site meets Fat Shack's site selection criteria. The franchisee is responsible for following FSI's site selection procedures when looking for a location.
To initiate the approval process, the franchisee must submit a completed site submittal package. This package should include demographics and any other materials requested by FSI, containing all the information FSI needs to assess the proposed restaurant location. Fat Shack's approval does not guarantee the success of the location. The success of the Fat Shack Restaurant depends on the franchisee's abilities as an independent businessperson.
Once FSI approves a location, they have fulfilled their obligation to assist the franchisee by providing location criteria and determining if the location meets those criteria, based on the information provided by the franchisee. After FSI approves the restaurant location, the franchisee's proposed lease or purchase agreement must be reviewed and certified as acceptable by FSI.
After lease approval, Fat Shack and the franchisee will develop the layout of the restaurant location together. Alternatively, the franchisee can hire an architect to create architectural drawings for the location, which will then be subject to FSI's approval. The franchisee cannot sign a lease or use architectural drawings that FSI has not approved.