factual

What must happen before a Moe's Southwest Grill franchisee can open the Restaurant?

Moes_Southwest_Grill Franchise · 2025 FDD

Answer from 2025 FDD Document

You may not open the Restaurant until we provide our consent in writing. (Franchise Agreement, Sections 6.2, 6.3, and 6.5)

We will approve the opening of your Restaurant, provided you have met your pre-opening obligations.

You must (i) identify the Accepted Location, (ii) obtain our acceptance of the Accepted Location, (iii) sign any documentation we require to document the Accepted Location, (iv) obtain our acceptance of a Lease for the Accepted Location, and (v) sign the accepted Lease for the Accepted Location or otherwise acquire the ownership rights to the Accepted Location within 150 days after you sign the Franchise Agreement (the "Site Approval Deadline").

You must submit to us a complete set of final Architectural Plans at least 30 days before the Construction Start Deadline.

You must begin construction at the Accepted Location within 270 days after we sign the Franchise Agreement (the "Construction Start Deadline").

You must open your Restaurant within 360 days after we sign the Franchise Agreement (the "Opening Deadline").

We may terminate your Franchise Agreement (without refunding the Initial Franchise Fee) if you fail to meet the Site Approval Deadline or the Construction Start Deadline and fail to cure such failure within 30 days or if you do not meet the Opening Deadline. (Franchise Agreement, Section 6.5)

We will approve or disapprove, in writing, any materials that you proposed to use in grand opening advertising promoting the opening of your Restaurant.

You must obtain our written approval for the grand opening advertising plan 30 days prior to the scheduled start date of such advertising campaign.

We may delay your opening if we have not approved your grand opening advertising plan at least 30 days prior to your opening date. (Franchise Agreement, Section 10.1.C.)

All of your Required Trainees must successfully complete our Management Training Program before they may be involved in the operation of your Restaurant.

Source: Item 11 — Franchisor's Assistance, Advertising, Computer Systems, and Training (FDD pages 53–68)

What This Means (2025 FDD)

According to the 2025 Moe's Southwest Grill FDD, a franchisee must obtain written consent from the franchisor before opening their restaurant. Additionally, the franchisee must meet certain pre-opening obligations.

These pre-opening obligations include identifying and securing an 'Accepted Location,' which involves the franchisee finding a site that meets Moe's Southwest Grill's criteria and receiving the franchisor's acceptance. The franchisee must also obtain the franchisor's acceptance of a lease for the location and sign the lease within 150 days of signing the Franchise Agreement. Franchisees must also submit final architectural plans at least 30 days before the construction start deadline and begin construction within 270 days after the Franchise Agreement is signed. The restaurant must be opened within 360 days after signing the Franchise Agreement.

Furthermore, the franchisee must have their grand opening advertising plan approved in writing by Moe's Southwest Grill at least 30 days before the scheduled start date. The franchisee's trainees must also successfully complete the Management Training Program. The FDD states that all required trainees must successfully complete the Management Training Program before they may be involved in the operation of the restaurant.

Failure to meet the site approval or construction start deadlines, or failure to open the restaurant within the specified timeframe, may result in the termination of the Franchise Agreement without a refund of the initial franchise fee. Moe's Southwest Grill may also delay the restaurant opening if the grand opening advertising plan is not approved at least 30 days prior to the opening date.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.