When is the Management Training Program fee charged for Auntie Annes shops?
Auntie_Annes Franchise · 2024 FDDAnswer from 2024 FDD Document
and our review of one revised set of Architectural Plans that incorporate our required changes at no cost, we may charge a fee of $1,000 for each set of drawings we review that include any other modifications from the plans that we have previously accepted.
Training Fee. We will provide our Management Training Program to two Managers and any other individuals that we designate (the "Required Trainees") at no additional charge for the first two Shops that you or your affiliates operate. For the third and subsequent Shops that you or your affiliates operate, if we require you or you elect to receive the Management Training Program from us or our designee, you must pay us our then-current Management Training Program fee for all of your Required Trainees to attend in a single training session (currently, $2,500, except $4,000 for Co-Branded Shops).
Source: Item 5 — INITIAL FEES (FDD pages 28–30)
What This Means (2024 FDD)
According to Auntie Annes's 2024 Franchise Disclosure Document, the Management Training Program fee is charged under specific circumstances related to the number of shops a franchisee operates. For the first two Auntie Annes shops (or those operated by their affiliates), the Management Training Program is provided at no additional charge for two managers and any other individuals Auntie Annes designates as required trainees. This initial training is included as part of the initial franchise fee, allowing new franchisees to get their first locations up and running without incurring extra training costs.
However, for the third and subsequent Auntie Annes shops that a franchisee or their affiliates operate, a fee is required if Auntie Annes requires or the franchisee elects to receive the Management Training Program. The current fee is $2,500 for a standard shop and $4,000 for a Co-Branded Shop for all required trainees to attend a single training session. This fee covers the cost of training the necessary personnel to maintain Auntie Annes's standards and operational procedures as the franchisee expands their business.
Additionally, Auntie Annes reserves the right to charge additional training fees in certain situations. A fee of $250 per additional trainee per day may be charged if the franchisee elects to bring trainees beyond the required number, if the required trainees are trained in separate sessions, or if any required trainees fail to complete the program successfully and need to re-enroll or are replaced with new trainees. These additional fees ensure that Auntie Annes is compensated for the extra resources and time required to provide comprehensive training under these circumstances.