What agreement terms and conditions must an All Team franchisee comply with when servicing a National/Regional Account?
All_Team Franchise · 2025 FDDAnswer from 2025 FDD Document
s for the National/Regional Account must ultimately rest with the National/Regional Account. All National/Regional Accounts will be billed by ATFC, and customer payments for all National/Regional Accounts will be collected by ATFC exclusively and forwarded to FRANCHISEE as applicable.
In order for FRANCHISEE to be permitted to service a National/Regional Account, FRANCHISEE must: (i) maintain the insurance required by the National/Regional Account customer, and add the National/Regional Account customer and All Team Franchise Corporation as additional insureds, (ii) agree to be bound by and comply with all of the terms and conditions of the National/Regional Account and perform all of the obligations contained in the agreement between ATFC and the National/Regional account customer to the extent within their operational control; (iii) comply with any and all audits required by the National/Regional account customer; and (iv) and sign any document required by the National/Regional account customer. Uniformity and quality of services offered by all ATFC agencies to National/Regional Accounts is of utmost importance to ATFC and the entire System. If FRANCHISEE violates the National/Regional Account requirements described herein and in the Manual, FRANCHISEE agrees that ATFC will be damaged. These damages will be calculated at $1,000 for the first violation, $2,500 for the second violation and $5,000 for the third violation. After the third violation, FRANCHISEE may no longer be permitted to service National/Regional Accounts. ATFC has the right to collect these amounts in addition to exercising any and all other rights it may have for non-compliance under this Agreement. FRANCHISEE agrees that a precise calculation of the full extent of the damages that ATFC will incur from the improper servicing of National/Regional Accounts are difficult to determine and all parties desire certainty in this matter and agree that the damages provided here are reasonable and constitute liquidated damages and not a penalty.
III. FRANCHISE FEE
Upon execution of this Agreement, FRANCHISEE will pay ATFC the Franchise Fee for this Franchise which is set forth in Exhibit I. The Franchise Fee is Forty Two Thousand Five Hundred Dollars and No Cents ($42,500.00) payable upon execution of this Agreement. If FRANCHISEE or its owners already operate an Agency under a Franchise Agreement with ATFC and wish to purchase an additional franchise and/or open an additional Agency office the Franchise Fee will be $37,500.
If ATFC does not accept this Agreement within thirty (30) days of its submission, ATFC will refund the entire franchise fee, if any. Otherwise, the Franchise Fee is fully earned when paid and non-refundable.
IV. TERM
The term of this Agreement shall be for a period of ten (10) years from the date of execution, unless sooner terminated in accordance with this Agreement. If FRANCHISEE is in full compliance with the terms of this Agreement, FRANCHISEE shall have the right to renew for two additional terms of ten (10) years, provided that FRANCHISEE is not in default under this Agreement at the time of renewal and agrees to execute the most current franchise agreement being utilized by ATFC.
Source: Item 22 — CONTRACTS (FDD pages 33–34)
What This Means (2025 FDD)
According to All Team's 2025 Franchise Disclosure Document, franchisees must adhere to specific terms and conditions when servicing National/Regional Accounts. These accounts, defined as customers with business in multiple locations, are primarily managed by All Team. However, franchisees may get the opportunity to service them under certain conditions.
To be eligible to service a National/Regional Account, an All Team franchisee must first maintain the insurance coverage required by that specific account and include both the National/Regional Account customer and All Team Franchise Corporation as additional insured parties. The franchisee must also agree to comply with all terms and conditions outlined in the agreement between All Team Franchise Corporation (ATFC) and the National/Regional Account customer, fulfilling all obligations within their operational control. Furthermore, the franchisee must comply with any audits mandated by the National/Regional Account customer and sign any documents required by them.
All Team emphasizes the importance of uniformity and quality of service across all its agencies when dealing with National/Regional Accounts. If a franchisee violates these requirements, All Team will assess damages: $1,000 for the first violation, $2,500 for the second, and $5,000 for the third. After a third violation, the franchisee may lose the privilege of servicing National/Regional Accounts altogether. All Team retains the right to collect these damages in addition to any other rights it may have under the Franchise Agreement for non-compliance. These damages are considered liquidated damages, not a penalty, due to the difficulty in precisely calculating the full extent of damages resulting from improper servicing of these accounts.
If a National/Regional Account has locations within a franchisee's designated area, All Team will first offer the franchisee the opportunity to service those locations under the terms established with the account. The franchisee is not obligated to accept this offer. If the franchisee declines or fails to accept the offer within the specified timeframe, All Team reserves the right to service the account directly, or authorize other franchisees, affiliate-owned, or licensee-owned agencies to provide the services. However, even if a franchisee initially declines a job order, they may still be considered for subsequent job orders if they have available staff or management candidates, although the final decision rests with the National/Regional Account. All billing and payment collection for National/Regional Accounts are handled exclusively by All Team, with applicable payments forwarded to the franchisee.