What is an 'Approved Location' for a Nothing Bundt Cakes franchise?
Nothing_Bundt_Cakes Franchise · 2025 FDDAnswer from 2025 FDD Document
You will operate the Bakery from a location which we approve ("Approved Location"). At the time you sign the Franchise Agreement, you will enter into our Site Selection Addendum, attached as Exhibit 1 to the Franchise Agreement, which will identify a site selection territory and govern the site selection process.
You may not relocate the Bakery without our prior written consent. If we grant you permission to relocate, or if we determine, not more than 18 months nor less than 12 months prior to the end of any term of your Lease, that the commercial characteristics of your Approved Location no longer meet our criteria for a Nothing Bundt Cakes bakery, you must find another location for your Bakery within your Territory. You must comply with our then-current site selection procedures and construction procedures. In such a circumstance, you must obtain our express written consent to relocation, procure a site acceptable to us within 90 days prior to closing operations at your current Approved Location, and open for business at the new Approved Location within 30 days of closing business at your existing Approved Location. You must comply with our then-current site selection procedures and construction procedures. In the event you are required to relocate as the result of a fire or other casualty, within 90 days following the date of the loss due to fire or other casualty and except to the extent you collect business interruption payments during any transitional period, we will not collect the Royalty on the condition that you comply with our relocation criteria and find a new location approved by us within 30 days of the fire or casualty. If you relocate your Bakery without our prior written consent, we shall have the right immediately to terminate the Franchise Agreement.
Source: Item 12 — TERRITORY (FDD pages 52–58)
What This Means (2025 FDD)
According to Nothing Bundt Cakes' 2025 Franchise Disclosure Document, an 'Approved Location' is a site that Nothing Bundt Cakes has approved for a franchisee to operate their bakery. The franchisee will operate their bakery from this approved location. At the time of signing the Franchise Agreement, the franchisee will also sign a Site Selection Addendum, which identifies a site selection territory and governs the site selection process.
The FDD specifies that a franchisee cannot relocate their bakery without prior written consent from Nothing Bundt Cakes. If relocation is permitted or required due to the location no longer meeting Nothing Bundt Cakes' criteria, the franchisee must find a new location within their territory. This new location must adhere to Nothing Bundt Cakes' current site selection and construction procedures. The franchisee must obtain express written consent for the relocation and secure an acceptable site within 90 days before closing the current location, opening at the new location within 30 days of closing the previous one.
In the event relocation is required due to a fire or other casualty, Nothing Bundt Cakes will not collect royalties if the franchisee complies with relocation criteria and finds a new, approved location within 30 days of the incident, provided they do not collect business interruption payments during the transition. Failure to obtain prior written consent for relocation can result in immediate termination of the Franchise Agreement. This highlights the importance of adhering to Nothing Bundt Cakes' site selection and relocation policies to maintain the franchise agreement and operational continuity.