factual

What costs must a 360 Painting franchisee reimburse to the franchisor for personnel assigned to training?

360_Painting Franchise · 2025 FDD

Answer from 2025 FDD Document

sole discretion and on terms designated by Franchisor, Franchisee may be permitted to select a substitute owner or Manager, as appropriate, and such substitute owner or Manager must complete the initial training to Franchisor's reasonable satisfaction.

  • 13.3 Training of Employees. Franchisee shall implement a training program approved by Franchisor for employees of the Business and shall be responsible for the proper training of its employees. Franchisee agrees not to employ any person who fails or refuses to complete Franchisee's training program or is unqualified to perform his or her duties at the Business in accordance with the requirements established for the operation of a 360 Painting Business.
  • 13.4 Additional Training. Franchisee may have additional representatives attend Franchisor's initial training program, provided space is available and that reasonable notice is provided to Franchisor and that all travel, living, and related expenses incurred by Franchisee's representative during such training shall be at Franchisee's sole cost and expense. In addition, Franchisee and its Managers and employees shall attend and conduct such additional training programs as Franchisor may from time to time reasonably require relating to the operation of the Business and the System. Franchisee also may be required to purchase training videos or other instructional materials as specified by Franchisor from time to time in the Brand Standards Manual or otherwise.
  • 13.5 Annual Convention. Franc

Source: Item 21 — FINANCIAL STATEMENTS (FDD page 56)

What This Means (2025 FDD)

Based on the 2025 Franchise Disclosure Document, 360 Painting franchisees may incur costs related to training, but the document does not explicitly state that franchisees must reimburse 360 Painting for personnel costs associated with training. However, franchisees are responsible for covering travel, living, and related expenses for themselves or their representatives when attending the initial training program or any additional training programs required by 360 Painting.

Franchisees may also be required to purchase training videos or other instructional materials as specified by 360 Painting in the Brand Standards Manual. Furthermore, 360 Painting requires franchisees and/or their operating managers to attend an annual convention, for which the franchisee is responsible for travel and living expenses. 360 Painting may also charge a reasonable fee to cover the costs and expenses of the convention; currently, the annual convention fee is $1,000 per attendee, but increases to $2,000 if the franchisee does not attend the convention.

In summary, while the 360 Painting FDD does not require direct reimbursement for the franchisor's personnel costs, franchisees should anticipate expenses for travel, accommodation, training materials, and convention fees. These costs can vary depending on the number of attendees and whether the franchisee attends the annual convention.

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.