What happens if the site does not satisfy Fitstop's site selection guidelines?
Fitstop Franchise · 2024 FDDAnswer from 2024 FDD Document
We will make reasonable efforts to approve or reject any proposed location within 30 days of the date you provide us with all requested materials. If we determine that an on-site evaluation is necessary, then you must: (i) submit to us in the form we specify a description of the site prior to our representative conducting its on-site evaluation, including evidence that the site satisfies our site selection guidelines and any other information and materials that we may reasonably require, including a letter of intent or other evidence that confirms your favorable prospects for obtaining the site; and (ii) reimburse us for the expenses incurred in connection with such an evaluation. If we do not provide our specific approval of a proposed location within this 30-day period, the proposed location will be deemed rejected.
You must secure a Premises within six (6) months of the date you enter into your Franchise Agreement with us. If you are unable to find a suitable site within this timeline, then we will have the right to terminate your Franchise Agreement upon written notice.
Regardless of the above, our approval of a site you proposed for a given Franchised Business only means that the site meets our minimum requirements for a typical Franchised Business. It does not, and may not be construed to, constitute any kind of guarantee, promise, representation or other affirmative statement or judgment that your Franchised Business will achieve any certain level of revenue when operating from said location.
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING (FDD pages 24–35)
What This Means (2024 FDD)
According to Fitstop's 2024 Franchise Disclosure Document, if Fitstop does not provide specific approval of a proposed location within 30 days of receiving all requested materials, the location is deemed rejected. The franchisee is responsible for all costs associated with securing a location that meets Fitstop's standards. Fitstop may provide written site selection guidelines and counseling, but the franchisee bears the responsibility for locating, obtaining, and developing a suitable premises.
A prospective Fitstop franchisee must secure a premises within six months of signing the Franchise Agreement. Failure to do so grants Fitstop the right to terminate the agreement with written notice. Even if Fitstop approves a site, it only signifies that the site meets minimum requirements and does not guarantee any specific level of revenue for the franchise.
Fitstop's site selection criteria include factors such as demographic characteristics, traffic patterns, design and building allowances, parking, visibility, signage, neighborhood character, competition, zoning restrictions, soil and environmental issues, and the site's physical characteristics. Fitstop also requires the opportunity to review any lease or purchase agreement before the franchisee enters into it and may condition site approval on certain terms in the lease agreement.