Commercial
Property Partner FAQs

1. What is the T-Licious Commercial Property Partner Handbook?

The T-Licious Commercial Property Partner Handbook has been developed to assist landlords who lease or license commercial premises to authorised T-Licious franchise partners.

Its purpose is to explain the respective roles, responsibilities, expectations, and communication processes that help foster a successful long-term relationship between:

• Property Owners (Landlords)
• T-Licious Franchise Partners
• T-Licious Franchisor

This handbook is intended to promote transparency, minimise misunderstandings, and encourage professional collaboration throughout the tenancy.

2. Why has T-Licious created this handbook?

Commercial property owners are valuable stakeholders in the success of every T-Licious café.

By providing clear guidance regarding leasing practices, property management, communication protocols, maintenance responsibilities, and dispute resolution procedures, this handbook seeks to establish a productive and mutually beneficial working relationship between all parties.

3. Who should read this handbook?

This handbook is intended for:

• Commercial property owners.
• Property managers.
• Asset management companies.
• Leasing consultants.
• Authorised representatives acting on behalf of landlords.
• Existing landlords.
• Prospective landlords considering leasing premises to a T-Licious franchise partner.

4. Who is my legal tenant?

In most cases, your legal tenant will be the authorised T-Licious Franchise Partner who has entered into the Leave and Licence Agreement or Lease Agreement with you.

Unless expressly agreed otherwise in writing, T-Licious Franchisor is generally not the tenant and does not replace the contractual obligations of the Franchise Partner under the property agreement.

Landlords should always refer to the executed property agreement to identify the contracting parties.

5. What is the role of T-Licious Franchisor?

The Franchisor licenses the T-Licious brand, business system, operational procedures, and intellectual property to approved Franchise Partners.

The Franchisor may also:

• Approve premises.
• Establish brand standards.
• Provide operational guidance.
• Conduct quality assurance reviews.
• Support franchise development.

The Franchisor does not ordinarily assume the day-to-day obligations of the tenant unless specifically agreed in writing.

6. What is the role of the Franchise Partner?

The Franchise Partner is generally responsible for:

• Entering into the property agreement.
• Paying rent and applicable charges.
• Operating the café.
• Maintaining the premises as agreed.
• Complying with lease obligations.
• Managing employees.
• Meeting statutory requirements.
• Maintaining insurance where required.

The Franchise Partner is the primary point of contact for routine tenancy matters.

7. Why should I lease my property to a T-Licious Franchise Partner?

Authorised T-Licious Franchise Partners operate under a structured franchise system designed to promote:

• Professional business operations.
• Standardised operating procedures.
• Brand consistency.
• Ongoing training.
• Operational support.
• Quality assurance.
• Continuous business improvement.

While every business carries commercial risk, franchise systems generally provide greater operational structure than many independent businesses.

8. How does T-Licious select its Franchise Partners?

Prospective Franchise Partners undergo an evaluation process that may consider:

• Business aptitude.
• Financial capability.
• Commitment to the brand.
• Operational readiness.
• Location suitability.
• Long-term business objectives.

Only applicants who satisfy the applicable qualification requirements are offered franchise opportunities.

9. What type of properties does T-Licious typically seek?

Suitable properties generally exhibit characteristics such as:

• Strong visibility.
• Good pedestrian or vehicular traffic.
• Commercial zoning.
• Appropriate utilities.
• Customer accessibility.
• Adequate frontage.
• Sufficient operating space.
• Compliance with applicable regulations.

Property requirements may vary depending on the franchise format.

10. What type of relationship does T-Licious hope to build with landlords?

T-Licious values long-term, professional relationships founded on:

• Mutual respect.
• Transparency.
• Timely communication.
• Fair dealing.
• Commercial responsibility.
• Collaborative problem-solving.

A successful café benefits not only the Franchise Partner but also contributes to stable occupancy, consistent rental income, and enhanced commercial activity for the property owner.

11. How will communication normally take place?

Routine property-related communication should generally occur directly between:

• The Landlord (or authorised representative), and
• The Franchise Partner (or authorised representative).

This approach enables most day-to-day matters to be resolved efficiently at the operational level.

12. When should T-Licious Franchisor be contacted?

The Franchisor should generally be contacted only after reasonable efforts have been made to resolve the matter directly with the Franchise Partner, unless:

• The matter involves misuse of the T-Licious brand.
• There are repeated or material breaches affecting the franchise system.
• The issue involves franchise compliance.
• The Franchise Agreement specifically requires Franchisor involvement.
• Immediate escalation is necessary due to health, safety, or legal concerns.

This structured communication process helps ensure efficient resolution while preserving the respective responsibilities of each party.

13. Does this handbook replace the Leave & Licence Agreement or Lease Agreement?

No.

This handbook is intended to provide general guidance and operational information.

The executed Leave & Licence Agreement, Lease Agreement, Franchise Agreement, and applicable laws will always prevail in the event of any inconsistency.

14. Can this handbook be updated?

Yes.

As the T-Licious franchise network evolves, this handbook may be updated to reflect:

• Changes in legislation.
• Operational improvements.
• Industry best practices.
• Updated franchise policies.
• New communication procedures.

Landlords are encouraged to refer to the latest published version.

15. Where can landlords obtain assistance?

Landlords are encouraged to first contact the authorised Franchise Partner responsible for the premises.

Where a matter cannot be resolved through the established communication process, assistance may be sought through the appropriate T-Licious support channels in accordance with the escalation framework described later in this handbook.

16. How does T-Licious evaluate a proposed commercial property?

Every proposed location is evaluated using a combination of commercial, operational, technical, and strategic factors.

The assessment may consider:

- Visibility.

- Accessibility.

- Customer demographics.

- Footfall.

- Vehicular traffic.

- Parking availability.

- Competition.

- Utilities.

- Structural suitability.

- Lease terms.

- Long-term business viability.

Approval of a site depends on its overall suitability for the proposed franchise format.

17. Does T-Licious approve every property offered by landlords?

No.

Not every commercial property will be suitable for a T-Licious café.

Each property is assessed individually to determine whether it aligns with the operational, branding, customer experience, and commercial objectives of the franchise system.

18. What types of commercial properties are generally preferred?

Depending on the franchise model, preferred properties may include:

- High-street retail units.

- Shopping centres.

- Mixed-use commercial developments.

- Business parks.

- Office complexes.

- Educational hubs.

- Transport-oriented commercial spaces.

- Hospitality districts.

Suitability depends on overall business potential rather than property type alone.

19. What minimum space requirements should a property satisfy?

Minimum space requirements vary according to the franchise format.

Factors considered include:

- Customer seating.

- Kitchen operations.

- Beverage preparation.

- Storage.

- Washroom facilities (where applicable).

- Staff circulation.

- Accessibility requirements.

Specific dimensional requirements will be communicated during the site evaluation process.

20. Why is frontage important?

A prominent frontage enhances:

- Brand visibility.

- Customer awareness.

- Signage effectiveness.

- Impulse purchases.

- Overall accessibility.

Properties with strong street presence generally provide greater opportunities for customer engagement.

21. How important is customer accessibility?

Accessibility is a significant consideration.

Properties should ideally provide convenient access for:

- Pedestrians.

- Customers with disabilities.

- Families.

- Senior citizens.

- Delivery personnel.

- Emergency services.

Good accessibility improves the customer experience and supports business performance.

22. Is parking important?

Yes.

Where feasible, convenient customer parking can significantly enhance the attractiveness of a location.

The availability of nearby public parking, shared parking facilities, or designated commercial parking may also be considered during site evaluation.

23. Does surrounding neighbourhood matter?

Absolutely.

The surrounding commercial environment influences customer demand.

Factors may include:

- Residential density.

- Office population.

- Educational institutions.

- Retail activity.

- Entertainment venues.

- Hotels.

- Healthcare facilities.

- Tourism.

- Future development plans.

24. Will nearby competitors affect site approval?

Competition forms part of the evaluation process.

The presence of other cafés does not automatically disqualify a property.

Instead, T-Licious considers:

- Customer demand.

- Market saturation.

- Competitive positioning.

- Differentiation opportunities.

- Overall commercial potential.

25. What utilities should be available?

Suitable commercial premises should generally provide reliable access to:

- Electricity.

- Water supply.

- Drainage.

- Internet connectivity.

- Waste disposal services.

Additional utility requirements may vary depending on the proposed café format.

26. Is electrical capacity important?

Yes.

Commercial food and beverage operations often require adequate electrical infrastructure to support:

- Coffee machines.

- Refrigeration.

- Air conditioning.

- Kitchen equipment.

- Lighting.

- POS systems.

- Internet equipment.

Insufficient electrical capacity may require upgrades before operations commence.

27. Will ventilation and exhaust systems be evaluated?

Yes.

Where food preparation requires exhaust or ventilation systems, the property should allow for compliant installation.

Landlords are encouraged to disclose any restrictions affecting:

- Exhaust ducts.

- External ventilation.

- Roof access.

- Mechanical installations.

Early disclosure helps avoid unnecessary delays.

28. Can structural modifications be required?

Possibly.

Certain properties may require modifications to support café operations.

Examples include:

- Plumbing.

- Electrical works.

- Flooring.

- Internal partitioning.

- Kitchen layout.

- Signage installation.

All structural alterations should be carried out only after obtaining the necessary approvals from the landlord and any relevant authorities.

29. Will the building's legal approvals be reviewed?

Yes.

During due diligence, the Franchise Partner may request documentation relevant to the lawful occupation and use of the premises.

Depending on the property, this may include:

- Ownership documentation.

- Occupancy Certificate (OC).

- Completion Certificate (CC).

- Fire safety approvals.

- Building permissions.

- Property tax records.

- Utility documentation.

The specific documents required may vary based on local regulations.

30. Why is title verification important?

The Franchise Partner should have confidence that the landlord has the legal authority to lease or license the premises.

Where appropriate, documentation confirming ownership or authority to lease may be requested before executing the property agreement.

31. Should landlords disclose known property restrictions?

Yes.

Landlords are encouraged to disclose any material restrictions affecting the use of the premises, including:

- Usage limitations.

- Society regulations.

- Building rules.

- Heritage restrictions.

- Noise limitations.

- Operating hour restrictions.

- Signage limitations.

Transparent disclosure helps avoid future misunderstandings.

32. Can T-Licious operate in mixed-use buildings?

Yes, provided the applicable laws, building regulations, society by-laws, and property permissions permit the proposed commercial activity.

Each property is evaluated individually.

33. Is signage approval important?

Very important.

Brand visibility is essential to the success of a café.

Before entering into a property agreement, the parties should clearly understand:

- Permitted signage locations.

- Illuminated signage permissions.

- Fascia dimensions.

- Window branding.

- Directional signage.

- Applicable municipal approvals.

34. Will accessibility for deliveries be assessed?

Yes.

Operational efficiency depends on reliable supplier access.

Evaluation may include:

- Loading and unloading areas.

- Delivery timings.

- Service entrances.

- Lift access.

- Storage access.

- Vehicle restrictions.

35. Should landlords disclose planned redevelopment?

Yes.

If the landlord is aware of any planned redevelopment, renovation, demolition, or major construction affecting the property during the proposed tenancy, this information should be disclosed before executing the property agreement.

Early disclosure supports informed commercial decision-making.

36. Does environmental suitability matter?

Yes.

Factors such as flooding risk, drainage issues, persistent water leakage, recurring power failures, or other environmental conditions that may materially affect business operations should be disclosed where known.

37. Can exclusivity arrangements be discussed?

Where commercially appropriate, the parties may discuss whether any exclusivity arrangements are suitable for the property.

Any such arrangements should be expressly documented within the executed property agreement and should clearly define their scope and duration.

38. What information should landlords ideally provide during due diligence?

Providing complete and accurate information helps expedite the evaluation process.

Examples include:

- Property plans.

- Carpet and built-up area.

- Utility capacities.

- Existing approvals.

- Photographs.

- Parking details.

- Ownership documentation.

- Contact details.

- Society or building rules.

- Any material restrictions affecting use of the premises.

39. Why is thorough due diligence beneficial for both parties?

Comprehensive due diligence helps:

- Identify potential issues early.

- Reduce project delays.

- Clarify responsibilities.

- Improve lease negotiations.

- Protect commercial interests.

- Build confidence between the landlord and the Franchise Partner.

Investing time before signing often prevents costly disputes later.

40. What happens after a property is approved?

Once a property is approved in principle, the parties may proceed to negotiate the commercial terms of the proposed Leave & Licence Agreement or Lease Agreement.

Approval of the site does not, by itself, create any legal obligation until the relevant agreements have been negotiated, executed, and all agreed conditions have been satisfied.

41. What type of property agreement does T-Licious generally recommend?

The preferred form of property agreement depends on the applicable laws of the jurisdiction and the commercial arrangement between the parties.

Where appropriate, T-Licious generally recommends a properly drafted and duly registered Leave & Licence Agreement or Commercial Lease Agreement, clearly setting out the rights and obligations of both the landlord and the Franchise Partner.

The agreement should be prepared or reviewed by qualified legal professionals engaged by the respective parties.

42. Why does T-Licious generally recommend an initial minimum 11-month Leave & Licence Agreement?

In jurisdictions where Leave & Licence Agreements are commonly used, an initial term of at least 11 months often provides a practical balance between operational stability and commercial flexibility.

Where commercially appropriate, the parties may also agree to:

• Renewal options.
• Longer licence periods.
• Multi-year lease arrangements.
• Fresh agreements upon expiry.

The most appropriate structure should be determined based on the needs of both parties and applicable law.

43. Why is a written agreement so important?

A written agreement helps both parties clearly understand their respective rights and obligations.

A comprehensive agreement reduces misunderstandings by documenting matters such as:

• Rent.
• Security deposit.
• Maintenance responsibilities.
• Permitted use.
• Utilities.
• Insurance.
• Renewal procedures.
• Termination rights.
• Dispute resolution.

Well-drafted agreements provide clarity throughout the tenancy.

44. Should the agreement be registered?

Where registration is required or commercially advisable under applicable law, the parties should ensure that the agreement is duly registered within the prescribed time.

Registration helps strengthen legal certainty and evidentiary value.

The parties should obtain independent legal advice regarding registration requirements applicable to their jurisdiction.

45. Who should bear stamp duty and registration costs?

The allocation of stamp duty, registration fees, and associated costs should be mutually agreed before execution of the agreement.

The agreed allocation should be clearly recorded within the property agreement.

46. What information should be accurately recorded in the agreement?

The agreement should clearly identify:

• The legal names of the parties.
• Property address.
• Property description.
• Licence or lease term.
• Rent.
• Security deposit.
• Payment schedule.
• Permitted use.
• Renewal provisions.
• Notice requirements.
• Other agreed commercial terms.

Accuracy at the outset reduces future disputes.

47. When should rent commence?

The agreement should clearly specify the rent commencement date.

Where fit-out works are required before trading begins, the parties may agree to:

• A rent-free fit-out period.
• A reduced rent period.
• Deferred commencement of commercial rent.

Any such arrangement should be expressly documented.

48. What is a fit-out period?

A fit-out period is the agreed time during which the Franchise Partner prepares the premises for café operations.

This may include:

• Interior construction.
• Electrical works.
• Plumbing.
• Flooring.
• Equipment installation.
• Branding.
• Furniture installation.
• Regulatory approvals.

During this period, the café may not yet be open to customers.

49. Why do many landlords offer a rent-free fit-out period?

A rent-free fit-out period recognises that the Franchise Partner is investing significant capital to prepare the premises before generating revenue.

Providing a reasonable fit-out period can:

• Encourage quality tenant improvements.
• Support timely store opening.
• Reduce financial pressure during construction.
• Foster a positive long-term landlord–tenant relationship.

The duration should be negotiated based on the scope of works.

50. What should the agreement say about permitted use?

The agreement should clearly specify that the premises may be used for the operation of an authorised T-Licious café and any ancillary activities permitted by law and agreed between the parties.

Clearly defining the permitted use reduces ambiguity and helps prevent future disputes.

51. Should the agreement include operating hours?

Where relevant, the parties should agree on permitted operating hours, taking into account:

• Local laws.
• Building regulations.
• Society by-laws.
• Customer demand.
• Neighbourhood considerations.

Any agreed operating restrictions should be clearly documented.

52. How should rent be paid?

The agreement should specify:

• Monthly rent.
• Due date.
• Bank account details.
• Accepted payment method.
• Consequences of late payment.
• Procedure for updating banking instructions.

Clear payment procedures promote timely and transparent transactions.

53. Why does T-Licious recommend NEFT or electronic bank transfers?

Electronic payment methods such as NEFT, RTGS, IMPS, or other recognised banking channels provide:

• Clear payment records.
• Faster settlement.
• Reduced cash handling.
• Improved audit trails.
• Easier reconciliation.

Electronic payments benefit both landlords and Franchise Partners.

54. Should standing instructions or auto-debit arrangements be considered?

Yes.

Where available, standing instructions or recurring electronic payment arrangements may help ensure that rent is paid on time each month.

Any such arrangement should be established with the mutual agreement of both parties and in accordance with the policies of the relevant financial institution.

55. What should the agreement say about rent escalation?

If rent escalation is agreed, the agreement should clearly specify:

• The percentage of increase.
• The frequency of escalation.
• The effective date.
• The calculation method.

Clearly drafted escalation clauses minimise uncertainty over the term of the agreement.

56. What is a security deposit?

A security deposit is an amount paid by the Franchise Partner to the landlord as security for the performance of obligations under the property agreement.

It is not intended to replace regular rent payments and should be dealt with strictly in accordance with the terms of the agreement.

57. How should the amount of the security deposit be determined?

The amount of the security deposit should be mutually negotiated after considering factors such as:

• Local market practice.
• Monthly rent.
• Property value.
• Fit-out investment.
• Commercial risk.
• Duration of the agreement.

The agreed amount should be clearly documented.

58. Can the landlord deduct amounts from the security deposit?

Yes, but only in accordance with the terms of the executed agreement and applicable law.

The agreement should clearly specify the circumstances in which deductions may be made, such as:

• Unpaid rent.
• Utility arrears.
• Damage beyond normal wear and tear.
• Outstanding contractual obligations.

Any deductions should be supported by appropriate documentation where reasonably practicable.

59. When should the security deposit be refunded?

The agreement should specify:

• The inspection process.
• The timeframe for refund.
• The procedure for identifying any legitimate deductions.
• The method of repayment.

Prompt settlement helps conclude the tenancy professionally.

60. Why is documenting commercial terms before signing so important?

A successful tenancy is built on clarity from the outset.

When key commercial terms are discussed, agreed, and accurately recorded before execution, both the landlord and the Franchise Partner can proceed with confidence, minimise misunderstandings, and focus on building a productive long-term relationship.

61. Who is responsible for the café fit-out?

Unless otherwise agreed in writing, the Franchise Partner is generally responsible for planning, financing, and executing the café fit-out in accordance with:

• T-Licious brand standards.
• Applicable laws and regulations.
• Approved architectural and engineering drawings.
• The terms of the Leave & Licence Agreement or Lease Agreement.

Where landlord approvals are required, work should not commence until such approvals have been obtained.

62. Can the Franchise Partner make alterations to the premises?

Alterations should only be carried out with the prior written consent of the landlord where required under the property agreement or by applicable law.

Examples may include:

• Internal partitioning.
• Flooring.
• Plumbing.
• Electrical works.
• False ceilings.
• HVAC installations.
• Kitchen layouts.
• Fixed cabinetry.

The agreement should clearly distinguish between cosmetic improvements and structural alterations.

63. What is considered a structural alteration?

Structural alterations generally involve changes affecting the integrity or permanent construction of the building.

Examples may include:

• Removal or construction of structural walls.
• Changes to beams or columns.
• Major façade modifications.
• Structural slab alterations.
• Permanent roof modifications.

Such works should never be undertaken without all necessary approvals from the landlord and relevant authorities.

64. Can T-Licious branding be installed on the property?

Yes, subject to:

• The property agreement.
• Municipal regulations.
• Building or society rules.
• Applicable signage approvals.

Branding may include:

• Exterior fascia signage.
• Illuminated signage.
• Window graphics.
• Directional signs.
• Menu boards.
• Internal branding elements.

Any restrictions should be discussed before the agreement is signed.

65. Who owns the café fixtures and equipment?

Unless otherwise agreed, equipment, furniture, machinery, branding materials, and removable fixtures purchased by the Franchise Partner generally remain the property of the Franchise Partner.

Ownership of permanently affixed improvements should be governed by the property agreement.

66. What happens to improvements made to the premises when the agreement ends?

The property agreement should clearly specify whether improvements:

• Must remain with the premises.
• May be removed by the Franchise Partner.
• Must be restored to their original condition.
• Require landlord approval before removal.

Clearly defining restoration obligations helps avoid disputes at the end of the tenancy.

67. Who is responsible for obtaining statutory approvals relating to the café?

The Franchise Partner is generally responsible for obtaining operational licences, registrations, and approvals required to conduct the café business, unless the parties expressly agree otherwise.

The landlord should cooperate by providing property-related documents reasonably required for obtaining such approvals where appropriate.

68. Who is responsible for utilities?

The agreement should clearly specify responsibility for charges relating to:

• Electricity.
• Water.
• Gas (where applicable).
• Internet services.
• Telephone services.
• Waste collection.
• Sewage charges.

Separate utility meters are generally preferred where feasible to simplify billing and reconciliation.

69. Who is responsible for Common Area Maintenance (CAM) charges?

Where the premises are located within a commercial complex or managed property, the agreement should clearly identify responsibility for:

• CAM charges.
• Society maintenance.
• Building maintenance fees.
• Service charges.
• Parking charges.
• Municipal levies where applicable.

Any method of calculation should be transparent and clearly documented.

70. Is insurance important for both parties?

Yes.

Insurance helps protect both the landlord's property and the Franchise Partner's business against unforeseen events.

Depending on the circumstances, insurance may include:

• Building insurance.
• Contents insurance.
• Public liability insurance.
• Fire insurance.
• Equipment insurance.
• Business interruption insurance.
• Employee-related insurance where legally required.

Each party should understand their respective insurance responsibilities under the property agreement.

71. What is a lock-in period?

A lock-in period is an agreed minimum period during which both parties commit to maintaining the tenancy, except under circumstances specifically provided for in the agreement.

Lock-in provisions help provide commercial certainty by protecting both the landlord's rental expectations and the Franchise Partner's investment in establishing the café.

72. Can the agreement be renewed?

Yes.

If both parties are satisfied with the tenancy, they may negotiate a renewal before the agreement expires.

Renewal discussions should ideally begin well in advance of the expiry date to allow sufficient time for negotiation and documentation.

Any renewal should be recorded in writing and executed in accordance with applicable legal requirements.

73. Can the Franchise Partner assign or transfer the property agreement?

Unless expressly permitted by the agreement, the Franchise Partner should not assign, transfer, sub-license, or otherwise transfer possession of the premises without the landlord's prior written consent.

Where assignment is permitted, the agreement should clearly specify the conditions under which it may occur.

74. Can the Franchise Partner terminate the agreement early?

Early termination rights should be governed by the property agreement.

The agreement should clearly specify:

• Notice periods.
• Any applicable lock-in obligations.
• Financial consequences, if any.
• Restoration requirements.
• Handover procedures.

Providing clarity on these matters helps reduce disputes if circumstances change.

75. Can the landlord terminate the agreement before expiry?

The landlord's right to terminate the agreement should be exercised only in accordance with the terms of the executed agreement and applicable law.

Typical grounds may include:

• Persistent non-payment of rent.
• Material breach of contractual obligations.
• Unauthorised use of the premises.
• Illegal activities.
• Other grounds expressly provided in the agreement.

Where appropriate, the agreement should also specify notice requirements and opportunities to remedy certain breaches before termination.

76. What happens if either party defaults on their obligations?

If either the landlord or the Franchise Partner fails to comply with a material obligation under the property agreement, the matter should be addressed in accordance with the provisions of the executed agreement and applicable law.

Where appropriate, the agreement may provide for:

• Written notification of the default.
• A reasonable opportunity to remedy the breach.
• Discussions to resolve the issue.
• Contractual remedies if the breach is not rectified.

Early communication often prevents minor issues from becoming significant disputes.

77. How should official notices be served?

The property agreement should specify the approved methods by which formal notices may be served.

Depending on the agreement and applicable law, notices may be delivered by:

• Registered Post or Speed Post.
• Courier.
• Hand delivery with acknowledgement.
• Email to nominated official email addresses.
• Any other method expressly agreed by the parties.

Both parties should promptly notify each other of any changes to their official contact details.

78. How does T-Licious recommend resolving disagreements between landlords and Franchise Partners?

T-Licious encourages disputes to be resolved through constructive communication wherever possible.

The recommended escalation process is:

### Level 1 – Direct Discussion

The landlord and the Franchise Partner should first discuss the issue directly and attempt to reach an amicable resolution.

Examples include:

• Minor maintenance concerns.
• Utility billing queries.
• Access arrangements.
• Routine operational matters.

### Level 2 – Senior Representative Discussion

If the matter remains unresolved, it should be escalated to:

• The Franchise Partner (Owner/Director), and
• The Landlord or their authorised representative.

This stage provides an opportunity for commercial discussions before involving external parties.

### Level 3 – T-Licious Franchise Support

Where the matter materially affects café operations, franchise compliance, or the reputation of the T-Licious brand, the parties may request assistance from the appropriate T-Licious Franchise Support representative.

At this stage, the Franchisor may:

• Clarify franchise policies.
• Facilitate communication.
• Encourage practical solutions.
• Assist in resolving operational misunderstandings.

Unless contractually required, the Franchisor does not act as a substitute for the legal obligations of either party under the property agreement.

### Level 4 – Formal Legal Remedies

If the matter cannot be resolved through the above process, either party may pursue the legal remedies available under the property agreement and applicable law.

T-Licious encourages this step to be taken only after reasonable efforts have been made to resolve the matter amicably, except where immediate legal action is necessary to protect legal rights or prevent significant harm.

79. What happens if extraordinary circumstances affect the tenancy?

Unexpected events beyond the reasonable control of either party may temporarily affect the operation or occupation of the premises.

Examples include:

• Natural disasters.
• Fire.
• Flooding.
• Earthquakes.
• Government restrictions.
• Public health emergencies.
• Widespread utility failures.
• Civil disturbances.

The rights and obligations of the parties during such events should be governed by the force majeure provisions of the property agreement and applicable law.

Where possible, the parties should cooperate in good faith to minimise disruption and resume normal operations as soon as reasonably practicable.

80. How should the premises be handed back at the end of the tenancy?

At the conclusion of the property agreement, both parties are encouraged to conduct a structured handover process.

A smooth handover may include:

• A joint inspection of the premises.
• Documentation of the property's condition.
• Meter readings and settlement of utility accounts.
• Return of keys, access cards, and security devices.
• Identification of any agreed restoration works.
• Assessment of the security deposit in accordance with the agreement.
• Preparation of a signed handover record acknowledging completion of the tenancy.

Conducting a documented handover protects the interests of both the landlord and the Franchise Partner and provides clarity regarding the final condition of the premises and the completion of their respective obligations.

81. When is the monthly rent due?

The due date for monthly rent should be clearly specified in the executed Leave & Licence Agreement or Lease Agreement.

To avoid confusion, the agreement should state:

• Due date.
• Billing period.
• Payment method.
• Bank account details.
• Consequences of delayed payment, if any.

Both parties should ensure that payment expectations are clearly understood before the tenancy begins.

82. What payment method does T-Licious recommend?

T-Licious strongly encourages cashless banking transactions for all recurring rental payments.

Preferred payment methods include:

• NEFT.
• RTGS.
• IMPS.
• Bank account transfers.
• Other recognised electronic banking channels.

Electronic payments provide greater transparency, stronger audit trails, and easier reconciliation for both landlords and Franchise Partners.

83. Why are electronic payments preferred over cash?

Electronic banking transactions offer several advantages, including:

• Permanent transaction records.
• Reduced risk associated with cash handling.
• Faster payment confirmation.
• Easier reconciliation.
• Greater transparency.
• Improved financial accountability.

Wherever practicable, cash payments should be avoided.

84. Does T-Licious recommend Standing Instructions (SI) or AutoPay?

Yes.

To reduce the possibility of missed or delayed payments, landlords and Franchise Partners are encouraged to establish Standing Instructions (SI) or recurring payment mandates through their banking institutions, where available.

Automated payment arrangements help ensure:

• Timely rent payments.
• Reduced administrative effort.
• Fewer payment disputes.
• Consistent financial discipline.

85. Should landlords issue rent invoices?

Where applicable, landlords should issue rent invoices or tax invoices in accordance with applicable laws and taxation requirements.

Invoices should clearly state:

• Property details.
• Billing period.
• Rent amount.
• Applicable taxes.
• Due date.
• Payment instructions.

Timely invoicing assists both parties in maintaining accurate financial records.

86. Should Franchise Partners acknowledge rent payments?

Yes.

Following each payment, the Franchise Partner should retain:

• Bank transaction confirmation.
• Payment reference number.
• UTR number (where applicable).
• Payment advice.
• Digital receipt or acknowledgement.

Maintaining organised payment records helps resolve any future queries quickly.

87. What should happen if a payment fails?

If a payment is unsuccessful due to banking issues, technical errors, or incorrect account details, the Franchise Partner should promptly notify the landlord and arrange for payment to be completed as soon as reasonably practicable.

Open communication often prevents unnecessary misunderstandings.

88. How should delayed rent payments be handled?

If rent cannot be paid on the agreed due date, the Franchise Partner should communicate with the landlord at the earliest opportunity.

Where appropriate, the parties should discuss:

• The reason for the delay.
• Expected payment date.
• Any applicable contractual consequences.
• Steps to avoid future delays.

Transparent communication helps preserve professional relationships.

89. Should payment reminders be documented?

Yes.

Where reminders are necessary, landlords are encouraged to communicate in writing through the agreed communication channels.

Documented reminders help maintain clear records while promoting respectful and professional communication.

90. What information should every rent payment reference include?

To facilitate accurate reconciliation, payment references should ideally include:

• Franchise Partner name.
• Property or outlet name.
• Month being paid.
• Invoice number (if applicable).

Clear payment references reduce administrative effort for both parties.

91. Should landlords provide payment acknowledgements?

Yes.

Upon receiving payment, landlords are encouraged to acknowledge receipt within a reasonable timeframe.

Acknowledgements may include:

• Receipt number.
• Date received.
• Amount received.
• Outstanding balance (if any).

Prompt acknowledgements promote financial transparency.

92. How should security deposits be documented?

Security deposits should be clearly recorded in the property agreement, including:

• Amount paid.
• Date received.
• Method of payment.
• Purpose of the deposit.
• Conditions governing deductions.
• Refund process.

Proper documentation protects both parties.

93. Can the security deposit be treated as the last month's rent?

Unless expressly agreed in writing, the security deposit should not automatically be adjusted against the final month's rent.

Its purpose is to secure the Franchise Partner's obligations under the agreement and should be dealt with in accordance with the agreed contractual terms.

94. Under what circumstances may deductions be made from the security deposit?

Where permitted by the agreement and applicable law, deductions may include:

• Unpaid rent.
• Outstanding utility charges.
• Unpaid CAM charges.
• Damage beyond normal wear and tear.
• Costs arising from unfulfilled contractual obligations.

The basis for any deduction should be supported by appropriate documentation wherever reasonably practicable.

95. What should not ordinarily be deducted from the security deposit?

Unless specifically provided for in the agreement, landlords should generally avoid making deductions for:

• Normal wear and tear.
• Routine ageing of the premises.
• Improvements that were approved to remain.
• Costs unrelated to the Franchise Partner's contractual obligations.

Fair and transparent handling of security deposits builds trust and reduces disputes.

96. How should utility charges be reconciled?

Where utilities are billed separately, the parties should periodically reconcile charges using:

• Meter readings.
• Utility invoices.
• Consumption records.
• Agreed billing methodology.

Maintaining accurate records helps avoid disagreements over utility costs.

97. How should Common Area Maintenance (CAM) charges be administered?

Where CAM charges apply, landlords are encouraged to provide sufficient supporting information to explain the charges being recovered.

Transparency regarding CAM charges promotes confidence and reduces the likelihood of disputes.

98. How should annual rent escalations be implemented?

Where the agreement provides for periodic rent increases, landlords should notify the Franchise Partner in advance of the effective date.

The notification should clearly specify:

• Current rent.
• Revised rent.
• Effective date.
• Calculation basis.
• Applicable contractual provision.

Advance notice assists with financial planning and budgeting.

99. How long should financial records be retained?

Both landlords and Franchise Partners should retain financial records relating to the tenancy for an appropriate period in accordance with applicable legal, taxation, and accounting requirements.

Such records may include:

• Agreements.
• Invoices.
• Bank statements.
• Payment confirmations.
• Deposit records.
• Utility reconciliations.
• Correspondence.

Well-maintained records support transparency and facilitate dispute resolution if required.

100. What financial practices contribute to a successful long-term landlord–tenant relationship?

The strongest commercial relationships are built upon consistent financial discipline, mutual transparency, and timely communication.

Both landlords and Franchise Partners are encouraged to:

• Make and acknowledge payments promptly.
• Maintain accurate records.
• Communicate proactively regarding financial matters.
• Resolve discrepancies professionally.
• Honour the terms of the property agreement.
• Treat financial administration as a shared responsibility rather than a source of conflict.

When both parties adopt these practices, they create a stable foundation for a successful and enduring tenancy that benefits the landlord, the Franchise Partner, and the continued growth of the T-Licious brand.

101. What happens after the Leave & Licence Agreement or Lease Agreement is executed?

Once the property agreement has been executed and all agreed pre-conditions have been satisfied, the Franchise Partner may begin planning the store development process.

This typically includes:

• Finalising architectural drawings.
• Obtaining necessary approvals.
• Appointing contractors.
• Scheduling fit-out works.
• Procuring equipment and furniture.
• Planning utility connections.
• Coordinating the anticipated store opening.

The commencement of works should always comply with the property agreement and applicable laws.

102. Will T-Licious provide a standard café design?

Yes.

T-Licious provides design standards intended to maintain a consistent customer experience across the franchise network.

These standards may include:

• Store layout.
• Customer flow.
• Counter design.
• Seating arrangements.
• Colour schemes.
• Lighting concepts.
• Branding placement.
• Menu display standards.
• Equipment positioning.

Individual sites may require reasonable adaptations depending on their physical characteristics.

103. Can landlords review the proposed fit-out plans?

Yes.

Where required under the property agreement or applicable regulations, landlords may review proposed plans affecting their property before works commence.

This process helps ensure that the proposed works are compatible with:

• Building regulations.
• Structural limitations.
• Society rules.
• Existing building services.
• Safety requirements.

104. Who appoints the contractors?

Unless otherwise agreed, the Franchise Partner is responsible for appointing contractors and coordinating the fit-out works.

Contractors should possess the appropriate experience, licences, insurance, and technical expertise required for commercial construction.

105. Does the landlord have the right to know who will be working on the property?

Yes.

For security and property management purposes, landlords may reasonably request details such as:

• Contractor names.
• Site supervisors.
• Emergency contact numbers.
• Expected working hours.
• Vehicle details where necessary.
• Insurance certificates, where applicable.

Providing this information facilitates safe and efficient site access.

106. Who is responsible for complying with building rules during construction?

The Franchise Partner and its appointed contractors are generally responsible for ensuring that construction activities comply with:

• Building regulations.
• Society by-laws.
• Commercial complex rules.
• Safety requirements.
• Noise restrictions.
• Permitted working hours.
• Waste disposal procedures.

Compliance helps minimise disruption to neighbouring occupants.

107. Can the landlord inspect the premises during the fit-out?

Yes, provided inspections are conducted reasonably and in accordance with the property agreement.

Periodic inspections enable the landlord to confirm that:

• Approved works are being carried out.
• Structural integrity is being protected.
• Safety requirements are being observed.
• The property is being used appropriately during construction.

Such inspections should not unnecessarily interfere with the progress of the works.

108. Can the Franchise Partner install air-conditioning, ventilation, and exhaust systems?

Yes, where necessary for café operations and subject to:

• Landlord approval where required.
• Building management approvals.
• Applicable municipal regulations.
• Technical feasibility.
• Compliance with safety standards.

Installation should be performed by qualified professionals.

109. Can plumbing and electrical systems be modified?

Modifications may be undertaken where necessary to support café operations, provided:

• Appropriate approvals have been obtained.
• Qualified contractors perform the work.
• Applicable safety standards are followed.
• The works comply with the property agreement.

Major infrastructure changes should always be discussed with the landlord before implementation.

110. How should construction waste be managed?

The Franchise Partner and its contractors should ensure that construction debris is removed responsibly and in accordance with:

• Building management requirements.
• Municipal regulations.
• Environmental standards.
• Site safety procedures.

The premises and common areas should be kept reasonably clean throughout the fit-out period.

111. Who is responsible for protecting the property during construction?

The Franchise Partner should take reasonable precautions to protect both the leased premises and adjacent common areas during construction.

Protective measures may include:

• Floor protection.
• Dust barriers.
• Lift protection.
• Corridor protection.
• Safe storage of materials.
• Controlled contractor access.

Preventing avoidable damage benefits both parties.

112. Can T-Licious signage be installed immediately?

Brand signage should only be installed after:

• The required approvals have been obtained.
• Construction has reached the appropriate stage.
• Building management requirements have been satisfied.
• Applicable local regulations have been complied with.

Properly installed signage enhances both brand visibility and the overall appearance of the property.

113. Can landlords impose reasonable signage guidelines?

Yes.

Landlords may establish reasonable requirements relating to:

• Sign dimensions.
• Installation methods.
• Structural attachment.
• Illumination.
• Building aesthetics.
• Safety considerations.

Such requirements should be communicated before execution of the property agreement wherever possible.

114. Who is responsible for obtaining signage permissions?

Responsibility should be determined by the property agreement and applicable local regulations.

Where municipal approvals are required, the Franchise Partner will generally coordinate the application process, while the landlord may be requested to provide ownership documents or written consent where necessary.

115. What happens if unforeseen issues arise during the fit-out?

Occasionally, unforeseen circumstances such as concealed utilities, structural conditions, supply delays, or regulatory requirements may affect the construction programme.

Where this occurs, the Franchise Partner should promptly inform the landlord, explain the circumstances, and, where appropriate, provide a revised timeline.

Open communication helps maintain confidence and minimise disruption.

116. Can the landlord request progress updates?

Yes.

Reasonable progress updates help reassure landlords that the project is proceeding in accordance with the agreed programme.

Updates may include:

• Current stage of works.
• Revised completion dates.
• Significant milestones.
• Any issues affecting the construction schedule.

117. What happens when construction is completed?

Following completion of the fit-out, the Franchise Partner will typically undertake:

• Equipment testing.
• Cleaning.
• Staff training.
• Stocking of inventory.
• Regulatory inspections.
• Final operational preparations.

Where applicable, a final walkthrough with the landlord may also be conducted before opening.

118. Can the landlord attend the café's opening?

Where appropriate, landlords are encouraged to participate in the opening of the café.

A successful opening represents the beginning of a long-term commercial relationship and provides an opportunity to celebrate the successful transformation of the premises.

119. What if the landlord wishes to carry out works to the building after the café opens?

Where building maintenance or improvement works become necessary, landlords are encouraged to provide reasonable advance notice to the Franchise Partner whenever practicable.

Both parties should cooperate to minimise disruption to café operations while ensuring that essential building works can proceed safely.

120. How does a professionally managed fit-out benefit both parties?

A well-planned and professionally executed fit-out delivers long-term value by:

• Enhancing the appearance of the premises.
• Protecting the property's structural integrity.
• Supporting efficient café operations.
• Strengthening the customer experience.
• Reducing future maintenance issues.
• Increasing the long-term commercial appeal of the property.

By working collaboratively throughout the store development process, landlords and Franchise Partners establish a strong foundation for a successful and enduring business relationship.

121. Who is responsible for maintaining the premises after the café opens?

Responsibility for maintenance should be clearly allocated within the executed Leave & Licence Agreement or Lease Agreement.

Generally:

• The Landlord is responsible for the structural integrity of the building and major building services under their control.
• The Franchise Partner is responsible for maintaining the café premises, fixtures, equipment, and day-to-day operational cleanliness.

Clearly defining responsibilities helps prevent misunderstandings.

122. Who is responsible for structural repairs?

Unless otherwise agreed, the landlord is generally responsible for structural elements of the property, including where applicable:

• Foundations.
• Structural walls.
• Beams and columns.
• Roof structure.
• Building façade.
• Permanent structural components.

The precise allocation of responsibilities should always be determined by the property agreement.

123. Who maintains the café's equipment?

The Franchise Partner is generally responsible for maintaining all café-owned equipment, including:

• Coffee machines.
• Grinders.
• Refrigeration units.
• Display counters.
• POS systems.
• Kitchen equipment.
• Water purification systems.
• Air-conditioning units installed specifically for café operations, unless otherwise agreed.

Regular servicing helps maximise equipment life and minimise operational interruptions.

124. Who pays for electricity, water, internet, and other utilities?

Unless otherwise agreed, the Franchise Partner is generally responsible for the cost of utilities consumed by the café, including:

• Electricity.
• Water.
• Internet.
• Telephone services.
• Gas (where applicable).
• Waste disposal charges attributable to the café.

The agreement should specify the billing arrangement and payment responsibilities.

125. What should happen if utility bills are shared?

Where utilities are not separately metered, the agreement should clearly describe the method used to calculate the Franchise Partner's share.

Examples include:

• Sub-meter readings.
• Percentage allocation.
• Actual consumption calculations.
• Other mutually agreed methods.

Transparent billing methods reduce the likelihood of disputes.

126. Who is responsible for Common Area Maintenance (CAM)?

Where applicable, responsibility for CAM charges should be clearly defined in the property agreement.

CAM charges may relate to:

• Common lighting.
• Security services.
• Landscaping.
• Lift maintenance.
• Cleaning of common areas.
• Building management services.
• Shared infrastructure.

The calculation methodology should be transparent and consistently applied.

127. What should happen if a utility service is interrupted?

If electricity, water, internet, or another essential utility is interrupted, the Franchise Partner should notify the appropriate utility provider and the landlord where the interruption relates to building infrastructure.

Both parties should cooperate to restore normal operations as quickly as reasonably practicable.

128. Who should arrange emergency repairs?

Emergency repairs should be addressed promptly to minimise damage and protect public safety.

Where an emergency affects:

• The building structure,
• Common services, or
• Landlord-controlled infrastructure,

the landlord should be notified immediately.

Where the emergency relates solely to café equipment or operations, the Franchise Partner should arrange the necessary repairs without undue delay.

129. What constitutes an emergency requiring immediate attention?

Examples include:

• Fire.
• Major water leaks.
• Gas leaks.
• Electrical hazards.
• Structural damage.
• Flooding.
• Security breaches.
• Events posing an immediate risk to life, property, or business continuity.

Emergency contact information should be exchanged before trading begins.

130. Should preventive maintenance be carried out?

Yes.

Preventive maintenance helps reduce unexpected failures, extends the life of equipment and building systems, and minimises operational downtime.

The Franchise Partner is encouraged to maintain a documented schedule for servicing café equipment, while the landlord should similarly maintain essential building infrastructure under their responsibility.

131. Is insurance important even if both parties trust each other?

Absolutely.

Insurance is intended to protect against unforeseen events—not against a lack of trust.

Appropriate insurance can reduce financial exposure arising from events such as:

• Fire.
• Storm damage.
• Theft.
• Accidental damage.
• Public liability claims.
• Equipment failure.
• Business interruption.

Each party should understand the scope and limitations of their own insurance coverage.

132. What insurance should the landlord generally maintain?

Depending on the nature of the property and applicable law, landlords are encouraged to maintain appropriate insurance for matters under their responsibility, such as:

• Building insurance.
• Fire and allied perils.
• Property owner's liability (where applicable).
• Natural catastrophe cover.
• Other policies appropriate to the property.

The specific insurance requirements will depend on the property and local regulations.

133. What insurance should the Franchise Partner generally maintain?

The Franchise Partner should consider maintaining insurance appropriate to the operation of a commercial café, which may include:

• Contents insurance.
• Equipment insurance.
• Stock insurance.
• Public liability insurance.
• Product liability insurance.
• Employee-related insurance where legally required.
• Business interruption insurance.
• Fidelity or crime insurance, where appropriate.

Insurance requirements should be reviewed periodically with a qualified insurance adviser.

134. Should proof of insurance be exchanged?

Yes.

Where required by the property agreement, each party should provide reasonable evidence of insurance coverage relevant to their obligations.

This helps ensure transparency and facilitates timely claims should an insured event occur.

135. What happens if insured property is damaged?

The affected party should notify:

• Their insurer.
• The other party, where appropriate.
• Any relevant authorities if legally required.

Both parties should cooperate in documenting the damage, preserving evidence, and facilitating the insurance claims process.

136. Who is responsible for routine repairs?

Routine repairs relating to the café's day-to-day operation are generally the responsibility of the Franchise Partner.

Examples may include:

• Minor plumbing repairs.
• Replacement of light fixtures.
• Internal painting.
• Furniture repairs.
• Door hardware adjustments.
• Equipment servicing.

The agreement should clearly distinguish routine repairs from structural repairs.

137. How should maintenance requests be communicated?

Maintenance requests should ideally be submitted in writing and include:

• A clear description of the issue.
• Photographs where helpful.
• Date the issue was identified.
• Level of urgency.
• Any temporary measures taken.

Documented communication assists in tracking progress and maintaining clear records.

138. Can the landlord inspect the property after the café opens?

Yes.

Subject to the property agreement, landlords may conduct reasonable inspections of the premises after providing appropriate notice, except where immediate access is necessary due to an emergency.

Inspections should be conducted in a manner that minimises disruption to business operations.

139. What should happen if maintenance responsibilities overlap?

Where responsibility is unclear or shared, the parties are encouraged to discuss the issue promptly and determine the most appropriate course of action based on:

• The property agreement.
• The nature of the issue.
• Practical considerations.
• Applicable law.

Good-faith cooperation often resolves such matters efficiently.

140. How do proper maintenance and insurance benefit everyone?

Well-maintained premises and appropriate insurance protect:

• The landlord's investment.
• The Franchise Partner's business.
• Employees.
• Customers.
• The reputation of the T-Licious brand.

By proactively maintaining the property, clearly allocating responsibilities, and ensuring appropriate insurance coverage, both parties contribute to a safer, more reliable, and commercially successful tenancy.

141. Who should landlords contact for day-to-day property matters?

For routine matters relating to the leased premises, landlords should contact the authorised Franchise Partner or their nominated representative.

Examples include:

• Rent-related queries.
• Minor maintenance issues.
• Access requests.
• Utility matters.
• Building coordination.
• Routine inspections.

Direct communication helps resolve most matters efficiently.

142. Why shouldn't every issue be reported directly to the Franchisor?

The Franchise Partner is generally the legal occupier and primary operator of the café.

Most day-to-day matters can be resolved more quickly through direct communication between the landlord and the Franchise Partner.

The Franchisor's role is to provide franchise oversight and support rather than manage routine tenancy administration.

143. What communication methods are recommended?

For efficient communication, the parties are encouraged to use appropriate channels based on the nature of the matter.

Examples include:

• Email for formal correspondence.
• Telephone for urgent operational matters.
• Instant messaging for routine coordination, where mutually agreed.
• Written notices where required under the property agreement.

Important decisions should always be confirmed in writing.

144. Should important conversations be documented?

Yes.

Where discussions involve significant commercial matters, both parties are encouraged to maintain written records of:

• Agreements reached.
• Timelines.
• Responsibilities.
• Follow-up actions.

Documented communication reduces misunderstandings and provides a useful reference if questions arise later.

145. How quickly should routine enquiries be acknowledged?

Although response times may vary depending on the nature of the enquiry, both parties are encouraged to acknowledge routine communications within a reasonable period.

Prompt acknowledgement demonstrates professionalism and reassures the other party that the matter is receiving attention.

146. How should urgent matters be communicated?

Urgent matters affecting safety, security, or business continuity should be communicated immediately using the fastest available communication method.

Examples include:

• Telephone calls.
• Emergency contact numbers.
• Follow-up written confirmation.

Emergency situations should not rely solely on email.

147. What information should be included when reporting an issue?

To facilitate prompt resolution, reports should include:

• Date and time.
• Property address.
• Nature of the issue.
• Photographs where appropriate.
• Immediate impact on operations.
• Any temporary measures already taken.
• Contact details of the reporting person.

Providing complete information enables faster decision-making.

148. How should disagreements be approached?

Both landlords and Franchise Partners are encouraged to approach disagreements professionally, respectfully, and in good faith.

Whenever possible, discussions should focus on:

• Understanding the issue.
• Identifying practical solutions.
• Preserving the commercial relationship.
• Avoiding unnecessary escalation.

Most concerns can be resolved through open communication.

149. What is the recommended escalation process?

T-Licious recommends the following four-level escalation framework:

### Level 1 – Operational Discussion

The landlord communicates directly with the Franchise Partner or Outlet Manager regarding the issue.

Examples:

• Minor maintenance.
• Utility queries.
• Property access.
• Scheduling matters.

Many issues can be resolved at this level.

### Level 2 – Management Review

If the issue remains unresolved, it should be escalated to:

• The Franchise Partner (Owner/Director), and
• The Landlord or authorised property representative.

This level is intended for matters requiring commercial discussion or management decisions.

### Level 3 – T-Licious Franchise Support

Where the issue materially affects:

• Franchise operations.
• Brand standards.
• Customer experience.
• Compliance with franchise requirements.

the parties may seek assistance from the appropriate T-Licious Franchise Support representative.

The Franchisor may:

• Clarify franchise requirements.
• Facilitate communication.
• Encourage collaborative solutions.
• Assist with operational guidance.

### Level 4 – Formal Legal Resolution

If reasonable efforts to resolve the matter have been unsuccessful, either party may pursue the remedies available under the property agreement and applicable law.

Legal proceedings should generally be regarded as a last resort after genuine attempts at amicable resolution, except where urgent legal intervention is necessary.

150. When should the Franchisor be contacted immediately?

The Franchisor should be notified promptly where matters involve:

• Serious misuse of the T-Licious brand.
• Health or safety incidents affecting the franchise system.
• Fraud or suspected criminal conduct.
• Significant reputational risks.
• Persistent contractual breaches affecting franchise compliance.
• Matters expressly requiring Franchisor involvement under the Franchise Agreement.

151. What if the Franchise Partner becomes temporarily unavailable?

If the Franchise Partner cannot be contacted for an urgent operational reason, landlords should use the emergency contact details provided at the commencement of the tenancy.

Where appropriate, the matter may then be escalated in accordance with the established communication framework.

152. Should communication remain respectful during disagreements?

Yes.

Constructive and respectful communication promotes better outcomes than confrontational approaches.

Both parties are encouraged to:

• Listen carefully.
• Avoid personal criticism.
• Focus on facts.
• Seek practical solutions.
• Maintain professional conduct.

Professional communication helps preserve long-term commercial relationships.

153. Can regular relationship meetings be beneficial?

Absolutely.

For long-term tenancies, periodic discussions between the landlord and the Franchise Partner can help address matters proactively.

Topics may include:

• Property condition.
• Planned maintenance.
• Upcoming renovations.
• Lease milestones.
• Operational improvements.
• Future planning.

Regular communication often prevents misunderstandings from developing into disputes.

154. How should complaints about neighbouring tenants or businesses be handled?

Where neighbouring occupants affect the operation of the café, the Franchise Partner should first document the issue and notify the landlord or building management, as appropriate.

The parties should work collaboratively to determine whether a practical resolution is available within the scope of their respective responsibilities.

155. What if building management introduces new rules?

If new building management or society rules materially affect café operations, the landlord should inform the Franchise Partner as soon as reasonably practicable.

The parties should then discuss any operational adjustments necessary to comply with the new requirements while maintaining efficient business operations.

156. Can the landlord provide suggestions to improve the café's operation?

Constructive observations are always welcome.

Landlords often possess valuable knowledge regarding the property, surrounding businesses, and customer activity.

Suggestions should be communicated respectfully and will be considered by the Franchise Partner where appropriate.

Operational decisions relating to the franchise system remain the responsibility of the Franchise Partner and the Franchisor.

157. How should confidential information shared during discussions be treated?

Information exchanged between the parties that is confidential or commercially sensitive should be handled responsibly and disclosed only where authorised or legally required.

Respecting confidentiality helps maintain trust throughout the tenancy.

158. How can both parties contribute to a successful long-term relationship?

Successful commercial relationships are built upon:

• Trust.
• Transparency.
• Timely communication.
• Mutual respect.
• Professional conduct.
• Shared commitment to resolving issues fairly.

By working collaboratively, landlords and Franchise Partners can create an environment that supports business success while protecting the value of the commercial property.

159. What role does the Franchisor play in maintaining healthy landlord relationships?

Although the Franchisor is generally not a party to the property agreement, T-Licious values strong relationships with landlords and recognises that suitable commercial premises are fundamental to the success of the franchise network.

Where appropriate, the Franchisor may assist by:

• Providing operational guidance.
• Clarifying franchise requirements.
• Facilitating communication.
• Supporting constructive problem-solving.
• Promoting professional standards across the franchise network.

160. Why is a structured communication framework important?

Clear communication pathways help ensure that:

• Routine matters are resolved quickly.
• Serious issues receive appropriate attention.
• Responsibilities remain clearly defined.
• Business relationships are preserved.
• The T-Licious brand is represented professionally.

By resolving issues at the lowest appropriate level and escalating only when necessary, landlords, Franchise Partners, and the Franchisor can work together to build stable, transparent, and mutually beneficial long-term partnerships.

161. When should discussions regarding renewal begin?

Renewal discussions should ideally commence at least 90 to 180 days before the expiry of the existing Leave & Licence Agreement or Lease Agreement, unless a different timeframe has been agreed in writing.

Beginning discussions early allows sufficient time to:

- Review the existing commercial relationship.

- Negotiate revised commercial terms.

- Plan any refurbishment requirements.

- Complete legal documentation.

- Ensure uninterrupted business operations.

162. Does T-Licious encourage long-term landlord relationships?

Yes.

T-Licious values long-term relationships with landlords who provide commercially suitable premises and support a professional tenancy environment.

Long-term occupancy can provide benefits such as:

- Stable rental income.

- Reduced vacancy periods.

- Lower tenant acquisition costs.

- Continued improvement of the property.

- Stronger community recognition of the location.

163. Is renewal automatic when the agreement expires?

No.

Unless expressly provided in the agreement, renewal is not automatic.

Any renewal should be negotiated by mutual agreement and documented through:

- A fresh Leave & Licence Agreement.

- A new Lease Agreement.

- A renewal agreement.

- Another legally appropriate document.

164. What factors may be considered before renewing the agreement?

Before renewal, the parties may review:

- Payment history.

- Compliance with lease obligations.

- Property condition.

- Maintenance history.

- Market rental conditions.

- Future development plans.

- Operational performance.

- Remaining commercial viability of the location.

A successful long-term relationship is built upon the performance of both parties.

165. Can the rent be renegotiated during renewal?

Yes.

Provided both parties agree, commercial terms may be reviewed during renewal discussions.

Topics may include:

- Monthly rent.

- Security deposit.

- Rent escalation.

- Renewal term.

- CAM charges.

- Parking arrangements.

- Operating hours.

- Any other mutually agreed commercial matters.

166. Can the Franchise Partner request a larger or different premises?

Yes.

As a business grows, the Franchise Partner may determine that a different premises would better support future operations.

Where relocation is proposed, discussions should begin well in advance so that:

- The landlord is informed.

- Business continuity can be planned.

- Contractual obligations are fulfilled.

- A smooth transition can be achieved.

167. What happens if the landlord intends to redevelop or repurpose the property?

If the landlord is aware that redevelopment, demolition, major renovation, or another significant change may affect the tenancy, they are encouraged to inform the Franchise Partner as early as reasonably practicable.

Advance notice allows both parties to:

- Plan appropriately.

- Explore renewal alternatives.

- Consider relocation where appropriate.

- Minimise business disruption.

168. How much notice should be given if the agreement will not be renewed?

The required notice period should be governed by the property agreement.

Where possible, providing notice well in advance demonstrates professionalism and allows both parties to make informed commercial decisions regarding the future of the premises.

169. What preparations should begin before vacating the premises?

As the end of the tenancy approaches, the Franchise Partner should begin planning for an orderly handover.

Preparations may include:

- Inventory removal.

- Equipment decommissioning.

- Utility account closure or transfer.

- Cleaning.

- Restoration works where required.

- Coordination of the final inspection.

- Settlement of outstanding financial obligations.

Early planning helps avoid unnecessary delays.

170. Should a pre-handover inspection be conducted?

Yes.

A joint pre-handover inspection enables both parties to identify any outstanding matters before the tenancy formally concludes.

The inspection may include:

- Property condition.

- Outstanding repairs.

- Restoration requirements.

- Utility readings.

- Keys and access devices.

- Signage removal.

- Any agreed snag list.

Addressing issues before the final handover generally results in a smoother transition.

171. Is the Franchise Partner required to restore the premises?

Restoration obligations should be determined by the property agreement.

Depending on the agreed terms, the Franchise Partner may be required to:

- Remove branding.

- Remove equipment.

- Restore alterations.

- Repair damage beyond normal wear and tear.

- Return the premises in the agreed condition.

Any restoration requirements should be clearly documented before the tenancy ends.

172. What happens to T-Licious branding when the tenancy ends?

Upon termination or expiry of the tenancy, all T-Licious intellectual property should be removed from the premises unless otherwise agreed.

This may include:

- Exterior signage.

- Window graphics.

- Interior branding.

- Menu boards.

- Promotional displays.

- Digital signage.

Prompt removal protects the integrity of the T-Licious brand and prevents customer confusion.

173. How should café equipment be removed?

The Franchise Partner should arrange for the careful removal of café-owned equipment in a manner that:

- Minimises damage to the premises.

- Complies with building rules.

- Maintains safety.

- Respects neighbouring occupants.

Heavy equipment removal should be coordinated with the landlord or building management where necessary.

174. What should happen to utility accounts?

Before vacating the premises, the Franchise Partner should:

- Pay outstanding utility charges.

- Arrange disconnection or transfer where appropriate.

- Record final meter readings.

- Retain supporting documentation.

This helps ensure a clean financial conclusion to the tenancy.

175. How should the final property inspection be conducted?

A joint inspection is strongly recommended.

During the inspection, both parties should review:

- Overall condition of the premises.

- Restoration work completed.

- Any remaining issues.

- Utility readings.

- Keys and access cards.

- Security systems.

- Any agreed deductions from the security deposit.

A signed inspection record is recommended.

176. When should the security deposit be returned?

The timeframe for returning the security deposit should be governed by the property agreement.

Once:

- The final inspection has been completed.

- Legitimate deductions (if any) have been agreed or determined in accordance with the agreement.

- Outstanding obligations have been satisfied.

the remaining balance of the security deposit should be refunded within the agreed timeframe.

177. Can the landlord retain part of the security deposit?

Only where permitted under the property agreement and applicable law.

Any deductions should relate to legitimate contractual obligations and, wherever reasonably practicable, be supported by appropriate documentation such as invoices, quotations, inspection reports, or utility statements.

Transparent documentation promotes fairness and reduces disputes.

178. What documents should be exchanged at the end of the tenancy?

Depending on the circumstances, the parties may exchange:

- Final inspection report.

- Handover record.

- Security deposit settlement statement.

- Utility reconciliations.

- Key acknowledgement.

- Final rent confirmation.

- Restoration completion confirmation.

- Any other agreed closing documentation.

Maintaining a complete closing file benefits both parties.

179. Can the parties work together again in the future?

Absolutely.

A professionally managed tenancy often creates opportunities for future collaboration.

Whether through:

- Renewing the tenancy.

- Leasing another commercial premises.

- Expanding into additional locations.

- Future franchise opportunities.

Positive business relationships frequently extend well beyond a single property agreement.

180. What is the objective of an orderly end-of-tenancy process?

An organised and transparent conclusion to the tenancy protects the interests of both the landlord and the Franchise Partner.

By planning early, communicating openly, documenting key milestones, and fulfilling contractual obligations, the parties can conclude the tenancy professionally while preserving goodwill and creating opportunities for future business relationships.

181. Who is responsible for complying with applicable laws?

Each party is responsible for complying with the laws and regulations applicable to their respective roles.

Generally:

• The Landlord is responsible for ensuring that the property can lawfully be leased or licensed for the intended commercial use and for complying with obligations relating to property ownership.
• The Franchise Partner is responsible for operating the café in compliance with all applicable laws, licences, registrations, labour regulations, food safety requirements, taxation laws, and other statutory obligations.
• The Franchisor is responsible for maintaining the franchise system, brand standards, and providing operational guidance in accordance with applicable laws.

182. Should landlords retain copies of important tenancy documents?

Yes.

Landlords are encouraged to maintain organised records relating to the tenancy, including:

• Executed Leave & Licence Agreement or Lease Agreement.
• Property plans.
• Security deposit records.
• Rent invoices.
• Payment acknowledgements.
• Correspondence.
• Insurance documents.
• Inspection reports.
• Handover documentation.

Maintaining complete records supports efficient administration and assists in resolving future queries.

183. Should the Franchise Partner also retain records?

Absolutely.

The Franchise Partner should maintain accurate records of:

• Rental payments.
• Utility payments.
• CAM charges.
• Insurance policies.
• Licences and permits.
• Maintenance records.
• Fit-out approvals.
• Inspection reports.
• Communications with the landlord.

Good record-keeping is an essential business practice.

184. Why is documentation so important?

Proper documentation:

• Creates a reliable history of events.
• Clarifies commercial arrangements.
• Supports financial reconciliation.
• Demonstrates compliance.
• Reduces misunderstandings.
• Assists in resolving disputes efficiently.

Well-documented relationships are generally easier to manage over the long term.

185. Should personal and commercial information remain confidential?

Yes.

During the tenancy, the parties may exchange commercially sensitive or personal information.

Such information should be handled responsibly and should only be used for legitimate business purposes or disclosed where:

• Required by law.
• Required under the property agreement.
• Authorised by the relevant party.

Respecting confidentiality promotes trust and professionalism.

186. How should personal information be protected?

Where personal information is collected or exchanged, both parties should handle it in accordance with applicable privacy and data protection laws.

Examples include:

• Identity documents.
• Contact details.
• Banking information.
• Authorised representative details.
• Emergency contact information.

Appropriate safeguards should be implemented to prevent unauthorised access or misuse.

187. Should parties maintain appropriate insurance throughout the tenancy?

Yes.

Insurance should remain valid for the duration of the tenancy, and policies should be renewed before expiry where continued coverage is required.

Both parties are encouraged to review their insurance needs periodically, particularly following significant changes to the property or business operations.

188. What should happen if laws or regulations change during the tenancy?

Legislation and regulatory requirements may change over time.

Where such changes materially affect the tenancy or café operations, the parties should cooperate in good faith to understand the implications and implement any necessary adjustments to maintain compliance.

189. What if a government authority inspects the premises?

If a regulatory authority conducts an inspection relating to the property or café operations, the relevant party should cooperate fully and provide any documentation reasonably required.

Where an inspection concerns matters affecting both the property and the café, the landlord and the Franchise Partner should communicate promptly and coordinate their responses where appropriate.

190. Can landlords request evidence of statutory compliance?

Where reasonably relevant to the tenancy and permitted by law, landlords may request evidence that the Franchise Partner has obtained the operational approvals necessary to conduct the authorised café business.

Such requests should be reasonable, proportionate, and related to the legitimate interests of the property.

191. How should risks be managed throughout the tenancy?

Effective risk management is a shared responsibility.

Both parties should identify, communicate, and address risks that could affect:

• Safety.
• Property.
• Business continuity.
• Customers.
• Employees.
• Compliance.

Proactive risk management reduces the likelihood of incidents and supports a stable tenancy.

192. What should happen if fraudulent activity is suspected?

Any suspected fraud, forgery, theft, corruption, or other unlawful conduct should be addressed promptly.

Depending on the circumstances, the affected party should:

• Preserve relevant records.
• Notify the appropriate party.
• Report the matter to the relevant authorities where legally required.
• Cooperate with any lawful investigation.

The Franchisor should also be informed where the matter could materially affect the T-Licious brand or franchise network.

193. How should conflicts of interest be managed?

Both landlords and Franchise Partners should disclose any actual or potential conflicts of interest that could materially affect the commercial relationship.

Transparency enables informed decision-making and helps maintain confidence between the parties.

194. Does T-Licious support ethical business practices?

Yes.

T-Licious expects all Franchise Partners to conduct business with honesty, integrity, professionalism, and respect for the law.

Ethical conduct strengthens relationships with landlords, customers, suppliers, employees, and the wider community.

195. Are gifts or inducements appropriate when negotiating property matters?

Commercial decisions should always be based on objective business considerations.

Neither landlords nor Franchise Partners should offer, solicit, or accept improper payments, inducements, or benefits intended to influence commercial decisions or compromise professional judgement.

196. How should emergencies outside normal business hours be handled?

Before the café begins operations, the landlord and the Franchise Partner should exchange emergency contact information for authorised representatives.

This may include contacts for:

• Property emergencies.
• Utility failures.
• Security incidents.
• Fire or safety issues.
• Building management.

Keeping emergency information up to date enables a faster response when unexpected events occur.

197. Does this handbook replace legal advice?

No.

This handbook is intended to provide general operational guidance and promote best practices.

It is not a substitute for independent legal, financial, taxation, engineering, insurance, or other professional advice.

Both landlords and Franchise Partners are encouraged to seek appropriate professional advice before entering into legally binding agreements or making significant commercial decisions.

198. Which documents take precedence if there is a conflict?

In the event of any inconsistency, the order of precedence should generally be:

1. Applicable laws and regulations.

2. The executed Leave & Licence Agreement or Lease Agreement.

3. Any written amendments executed by the parties.

4. Other legally binding agreements.

5. This handbook.

This handbook is intended to complement—not replace—the contractual arrangements between the parties.

199. Can this handbook be updated in the future?

Yes.

T-Licious may periodically review and update this handbook to reflect:

• Changes in legislation.
• Industry best practices.
• Operational improvements.
• Lessons learned across the franchise network.
• Updated communication procedures.

Landlords are encouraged to refer to the latest published version.

200. What is T-Licious' message to its Commercial Property Partners?

T-Licious recognises that every successful café begins with a suitable commercial premises and a landlord who shares a commitment to professionalism, transparency, and long-term collaboration.

We value our Commercial Property Partners as important stakeholders in the growth of the T-Licious franchise network.

By working together with mutual respect, clear communication, fair commercial practices, and a shared commitment to maintaining high standards, landlords, Franchise Partners, and the Franchisor can create enduring relationships that support thriving businesses, vibrant communities, and sustainable long-term success.

We sincerely thank you for your confidence in the T-Licious brand and look forward to building successful partnerships for many years to come.