Who benefits from the Floyds 99 Franchisor's review and approval of the lease or purchase agreement?

According to the 2025 Floyds 99 Franchise Disclosure Document, the franchisor's review and approval of the lease or purchase agreement is solely for the franchisor's benefit. Floyds 99 franchisees should not rely on this review for any reason. This means that while Floyds 99 requires franchisees to obtain their approval on location and lease terms, this approval is to protect the brand and ensure the location aligns with their standards, not to guarantee the franchisee's success or the suitability of the location.

Floyds 99 requires franchisees to secure the franchisor's written approval before executing any lease or purchase agreement for the franchised location. The lease must include specific provisions detailed in the Operations Manual, such as a minimum term of 10 years, consent for using Floyds 99's marks and signage, the franchisor's right to enter and modify the premises to protect their marks, and the option for the franchisor to assume the lease under certain conditions. These stipulations ensure that the location meets Floyds 99's operational and brand requirements.

Given that Floyds 99's approval primarily benefits the franchisor, it is crucial for the franchisee to conduct their own thorough due diligence. This includes independently assessing the location's suitability, potential profitability, and the terms of the lease or purchase agreement. Floyds 99 explicitly states that their approval does not constitute a recommendation, endorsement, or guarantee of the location's success. Therefore, franchisees bear the ultimate responsibility for ensuring the location and lease terms align with their business goals and financial capabilities.