Does the Mrcool FDD specify that franchisees must adhere to certain 'Site Selection Criteria' when selecting a warehouse or office?
Mrcool Franchise · 2025 FDDAnswer from 2025 FDD Document
5.6 SITE SELECTION CRITERIA
Franchisee will not lease, purchase or otherwise acquire a Center Locations for the Development Centers until such information as Franchisor may require regarding the proposed site has been provided to Franchisor by Franchisee and has been approved by Franchisor. Information requested by Franchisor may include, without limitation, information regarding the proposed Center Location as to accessibility, visibility, potential traffic flows, lease terms and other demographic information. Franchisee shall not enter into any lease or purchase agreement with respect to any proposed Center Location until Franchisor has approved the site.
Source: Item 23 — RECEIPTS (FDD pages 55–263)
What This Means (2025 FDD)
According to Mrcool's 2025 Franchise Disclosure Document, franchisees are responsible for selecting the site for their Center location but must obtain the Franchisor's prior written approval. Mrcool requires franchisees to provide information about the proposed site, which may include details regarding accessibility, visibility, potential traffic flows, lease terms, and other demographic information. The franchisee cannot enter into any lease or purchase agreement until Mrcool has approved the site.
This means that while Mrcool franchisees have the autonomy to choose their location, Mrcool retains control over the final decision. This ensures that all locations meet Mrcool's standards and are likely to succeed.
Prospective franchisees should carefully consider Mrcool's site selection criteria and approval process. Engaging an experienced commercial real estate broker, as suggested by Mrcool, could be a valuable investment to help navigate this process and identify suitable locations that meet Mrcool's requirements.