Who must individually guarantee performance under the All County Franchise Agreement?
All_County Franchise · 2025 FDDAnswer from 2025 FDD Document
You must individually guarantee performance under the Franchise Agreement. Depending on your form of ownership of the Franchise (for example, a corporation, limited liability company, etc.), all your owners may need to sign guarantees of performance, which may include a spouse if the spouse is an owner of the Franchise.
Source: Item 15 — Obligation to Participate in the Actual Operation of the Franchise Business (FDD pages 30–31)
What This Means (2025 FDD)
According to All County's 2025 Franchise Disclosure Document, franchisees must individually guarantee performance under the Franchise Agreement. This means that the franchisee is personally responsible for ensuring all obligations and duties outlined in the agreement are met.
Furthermore, the FDD states that depending on the franchisee's form of ownership, such as a corporation or limited liability company, all owners may be required to sign guarantees of performance. This could also include a spouse if the spouse is an owner of the franchise.
This requirement ensures that All County has recourse to the personal assets of the franchisee and potentially their owners, should the franchise fail to meet its obligations. This is a common practice in franchising, as it provides an additional layer of security for the franchisor.