Under what circumstances might Aplus charge a fee for providing advice and guidance to franchisees?
Aplus Franchise · 2024 FDDAnswer from 2024 FDD Document
or as otherwise provided by the Franchisor. If Franchisee is unable or unwilling to resolve a customer complaint within forty-eight (48) hours, and it becomes necessary for us to reimburse a customer in settlement of his or her complaint related to your APLUS Store, you agree to promptly reimburse us for amounts expended on account of any such complaint. Your obligations and liabilities under this Section shall survive any termination or expiration of this Agreement.
14. FRANCHISOR'S ADDITIONAL OPERATIONS ASSISTANCE
14.1. General Advice and Guidance
Franchisor has and will continue to engage with designated third parties in its sole discretion to provide Franchisee with operational support, including but not limited to merchandising, promotional, marketing, and other functions on Franchisor's behalf (each, a "Designated Service Provider"). Franchisor shall be available to render advice, discuss problems and offer general guidance to Franchisee during normal business hours by telephone, e-mail, facsimile, newsletters, and other methods. Franchisor does not currently charge for this service; however, Franchisor retains the right to charge a fee for this service should Franchisee be deemed by Franchisor to be utilizing this service too frequently or in an unintended manner. Franchisor's advice or guidance to Franchisee relative to prices for products and services that, in Franchisor's judgment, constitutes good business practice is based upon the experience of Franchisor and its franchisees in operating a Franchised Business and an analysis of costs and prices charged for competitive products and services. Franchisee shall have the right to determine the prices to be charged by the Franchised Business; provided, however, that Franchisor shall have the sole right to: (1) set maximum retail prices, subject to state or federal law, for certain convenience store products; (2) set prices for certain products as part of Franchisee's participation in Programs; and (3) determine the prices to be charged for products sold through the APLUS and/or SUNOCO Internet site, including products sold to persons identified as customers of the Franchised Business.
14.2. Periodic Visits
Franchisor or Franchisor's representative shall make periodic visits, which may be announced or unannounced, to the Franchised Business for the purposes of consultation, assistance, and guidance with respect to various aspects of the operation and management of the Franchised Business. Franchisor may
also accompany Franchisee and/or Franchisee's employees along any job site visits, in order to monitor certain business practices and better render any advice or opinions.
Source: Item 23 — RECEIPT (FDD pages 68–302)
What This Means (2024 FDD)
According to Aplus's 2024 Franchise Disclosure Document, Aplus generally offers advice and guidance to franchisees without charging a fee. This support includes operational assistance in merchandising, promotions, and marketing, typically provided via telephone, email, or newsletters during normal business hours. However, Aplus retains the right to charge a fee if a franchisee is deemed to be excessively or inappropriately using these services.
Additionally, if a franchisee requests additional assistance with the opening or continued operation of the franchised business beyond the initial support, Aplus may charge its standard rates plus expenses for this extra help. This additional assistance is provided only if Aplus deems it necessary and appropriate. Aplus may also use a Designated Service Provider to fulfill these duties.
Furthermore, if a franchisee schedules on-site training and subsequently cancels, fails to attend, or doesn't have the appropriate parties attend the entire program, Aplus may charge an on-site training cancellation fee. This fee can vary depending on the type of training, how far in advance the cancellation notice is given, and the costs incurred in rescheduling travel arrangements. These policies ensure that Aplus can manage its support resources effectively and address situations where franchisees require more than the standard level of assistance or fail to adhere to scheduled training programs.