What are the requirements for the Designated Manager of an Aplus store?
Aplus Franchise · 2024 FDDAnswer from 2024 FDD Document
us of your United States citizenship or permanent residency status.
We require that you be directly involved in the operation of your APLUS Store, devoting good faith and best efforts to the daily operation the APLUS Store. Your "Designated Manager" is the individual designated by Franchisee as having primary responsibility for managing the day-to-day supervision and affairs of the APLUS Store. If you operate the APLUS Store as a sole proprietor, then you shall also be the Designated Manager. If you operate the APLUS Store as an approved form of business organization, then you are required to designate a Designated Manager who must devote his/her good faith and best efforts to the daily operation of the APLUS Store.
If you operate under any approved form of business entity, unless we agree otherwise, the Designated Manager must be the 51% owner of the voting stock or other ownership interest in the entity. You, or
your Designated Manager, must attend and successfully complete to our satisfaction all required training programs and provide ongoing training, guidance and supervision to all of your employees.
Before you commence operations, you must successfully complete our initial training program (see Item 11). You are responsible for ensuring that those managing or employed at the APLUS Store know how to operate the store in a safe and proper manner, which includes, but is not limited to, having an employee present at your APLUS Store during all operating hours who has the ability to communicate with the public in the English language.
If the franchisee is a business entity, each owner must sign an Unlimited Guaranty and Assumption of Obligations substantially in the form attached as Attachment 3 to the franchise agreement. Any individual who attends our initial training program, any additional guarantors, all shareholders of a corporation, all members of a limited liability company, all general and limited partners of a partnership and your Designated Manager must sign a non-disclosure and non-competition agreement substantially in the form attached as Attachment 2 to the franchise agreement.
Leased APLUS Store and Non-Leased APLUS Store:
If you operate a single APLUS Store, you are obligated to be present at the location no less than 40 hours per week, including 8:30 a.m. to 4:30 p.m. on at least three weekdays (Monday through Friday).
If you operate two APLUS Stores, you are obligated to be present at the locations for no less than 40 hours per week combined, including 8:30 a.m. to 4:30 p.m. on at least two weekdays at each location. You must also have at least one employee employed full time at each location who has completed successfully, to our satisfaction, the APLUS initial training program.
If you operate more than two APLUS Stores, you are obligated to be present at the locations for no less than 40 hours per week combined, at such times we may designate, and you must have at least one employee employed full time at each location who has completed successfully, to our satisfaction, the APLUS initial training program.
Captive Market APLUS franchises:
In addition to the obligations stated above, you are obligated to comply with any additional operational requirements of the applicable Concessionaire and/or Turnpike, Thruway or Toll Road Authority.
Source: Item 15 — OBLIGATION TO PARTICIPATE IN THE ACTUAL OPERATION OF THE FRANCHISE BUSINESS (FDD pages 51–52)
What This Means (2024 FDD)
According to Aplus's 2024 Franchise Disclosure Document, if a franchisee operates the Aplus store as a sole proprietor, they will also be the Designated Manager. If the franchisee operates the Aplus store as an approved form of business organization, they are required to designate a Designated Manager who must devote their good faith and best efforts to the daily operation of the Aplus Store. Unless Aplus agrees otherwise, the Designated Manager must be the 51% owner of the voting stock or other ownership interest in the entity.
The franchisee or their Designated Manager must attend and successfully complete all required training programs and provide ongoing training, guidance, and supervision to all employees. Before commencing operations, the franchisee or Designated Manager must successfully complete Aplus's initial training program. The franchisee is responsible for ensuring that those managing or employed at the Aplus Store know how to operate the store in a safe and proper manner, including having an employee present at the Aplus Store during all operating hours who can communicate with the public in English.
If the franchisee is a business entity, each owner must sign an Unlimited Guaranty and Assumption of Obligations. Any individual who attends the initial training program, any additional guarantors, all shareholders of a corporation, all members of a limited liability company, all general and limited partners of a partnership, and the Designated Manager must sign a non-disclosure and non-competition agreement.
Prior to the opening of the franchised business, the Designated Manager must attend and successfully complete initial training to Aplus's satisfaction, including passing tests at the end of initial training. Aplus will conduct the initial training program at its headquarters, designated regional office, or at another designated location or in another format as Aplus may designate at its sole option. Aplus will not charge tuition or similar fees for initial training; however, all expenses incurred by the franchisee in attending such program, including travel costs, room and board expenses, and employees' salaries or wages, are the sole responsibility of the franchisee. The franchisee is responsible for training its management and other employees and must complete initial training to Aplus's satisfaction, including passing tests at the end of initial training.