What materials must be submitted to Golden Krust Caribbean Restaurant for site approval?
Golden_Krust_Caribbean_Restaurant Franchise · 2024 FDDAnswer from 2024 FDD Document
s identified by the Marks through distribution channels other than Golden Krust Restaurants (including but not limited to, grocery stores, club stores, convenience stores, gas stations and other restaurants).
II. SITE SELECTION, LEASE OF PREMISES AND DEVELOPMENT OF RESTAURANT
A. SITE SELECTION
You acknowledge that you are responsible for locating a site for the Premises. Sites are subject to our approval. You acknowledge and agree that our recommendation or approval of the Premises, and any information regarding the Premises communicated to you, do not constitute a representation or warranty of any kind, express or implied, as to the suitability of the Premises for a Golden Krust Restaurant or for any other purpose. Our recommendation or approval of the Premises indicates only that we believe that the Premises falls within the acceptable criteria for sites and premises. Application of criteria that have appeared effective with respect to other sites and premises may not accurately reflect the potential for all sites and premises, and, after our approval of a site, demographic and/or other factors include in or exclude from our criteria could change, thereby altering the potential of a site and premises. The uncertainty and instability of such criteria are beyond our control, and we will not be responsible for the failure of a site and premises we have recommended or approved to meet expectations as to potential revenue or operational criteria. You acknowledge and agree that your acceptance of the Franchise is based on your own independent investigation of the suitability of the Premises.
We will approve or disapprove a location you propose for the Restaurant within thirty (30) days after we receive the complete site report and other materials requested. If we and you cannot agree upon a
site within one (1) year of your signing our Franchise Agreement, we will terminate your Franchise Agreement and retain your initial franchise fee.
B. LEASE OF PREMISES
You are obligated to deliver a copy of the signed lease to us within fifteen (15) days after its execution.
Source: Item 22 — CONTRACTS (FDD page 35)
What This Means (2024 FDD)
According to the 2024 Franchise Disclosure Document, the prospective Golden Krust Caribbean Restaurant franchisee is responsible for locating a site for the premises, and these sites are subject to the franchisor's approval. The franchisee must submit a complete site report and other materials requested by Golden Krust Caribbean Restaurant. The franchisor will then approve or disapprove the proposed location within 30 days of receiving all required documents. If a mutually agreeable site cannot be found within one year of signing the Franchise Agreement, Golden Krust Caribbean Restaurant can terminate the agreement and retain the initial franchise fee.
It is important to note that Golden Krust Caribbean Restaurant's recommendation or approval of a site does not constitute a warranty regarding the site's suitability for a restaurant or any other purpose. The franchisor's approval only indicates that the site meets their acceptable criteria. The document makes clear that the franchisee's acceptance of the franchise is based on their own independent investigation of the site's suitability.
Furthermore, the franchisee is obligated to deliver a copy of the signed lease to Golden Krust Caribbean Restaurant within 15 days after its execution. The franchisor also reserves the right to lease any site that the franchisee has located and the franchisor has approved, and then sublet the premises to the franchisee under the same terms and conditions as in their lease with the landlord. The franchisee must have Golden Krust Caribbean Restaurant's form lease rider executed. Any material violation of the lease or sublease that is not cured after notice is given and within the applicable grace periods, as required by the terms of the lease or sublease for the Premises, is a default of the Franchise Agreement.
In addition to site selection and lease requirements, the franchisee is responsible for developing the restaurant according to Golden Krust Caribbean Restaurant's standards. This includes submitting construction plans and specifications to the franchisor for approval before construction begins, and submitting revised or as-built plans and specifications during construction if requested. The franchisee must also secure all necessary financing, permits, and licenses, and ensure that the restaurant's construction and decoration comply with the franchisor's approved plans and specifications.