What is the deadline for Hyper Kidz to approve or disapprove a proposed lease or purchase agreement?
Hyper_Kidz Franchise · 2024 FDDAnswer from 2024 FDD Document
Approve a lease or purchase agreement for the approved site, if the lease or purchase agreement meets our criteria. We may also assist you in negotiating the lease or purchase agreement. If we do not notify you of our approval or disapproval a proposed lease or purchase agreement within 15 days, it shall be deemed approved. At our request, you must have your landlord sign a Collateral Assignment of Lease. (Franchise Agreement – Section 4.2. and Attachment 6)
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS AND TRAINING (FDD pages 24–33)
What This Means (2024 FDD)
According to Hyper Kidz's 2024 Franchise Disclosure Document, Hyper Kidz has 15 days to notify a franchisee of their decision to approve or disapprove a proposed lease or purchase agreement for the site. If Hyper Kidz fails to notify the franchisee within this 15-day period, the lease or purchase agreement is considered approved.
This stipulation is important for prospective franchisees as it sets a clear timeline for the approval process. If Hyper Kidz delays in their decision-making, the franchisee benefits from an automatic approval, preventing potential hold-ups in securing a location. This can expedite the process of opening the Hyper Kidz Business.
However, franchisees should ensure they submit all necessary documentation and information related to the lease or purchase agreement promptly to allow Hyper Kidz sufficient time to review. Franchisees should also maintain clear communication with Hyper Kidz during this period to address any questions or concerns that may arise. This proactive approach can help ensure a smooth and timely approval process, or, failing explicit approval, benefit from the 15-day approval clause.