Under what conditions might Auntie Annes charge a training fee for additional trainees?
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). We reserve the right to charge you a reasonable training fee (currently, $250 per additional trainee per day) if (i) you elect, and we permit you, to bring additional trainees, other than the Required Trainees
Source: Item 5 — INITIAL FEES (FDD pages 28–30)
What This Means (2024 FDD)
According to Auntie Annes's 2024 Franchise Disclosure Document, while the company provides its Management Training Program to two managers and other designated individuals (the "Required Trainees") at no additional charge for the first two shops, there are circumstances where training fees may apply. Specifically, Auntie Annes reserves the right to charge a training fee under certain conditions related to additional trainees or training circumstances. The standard training fee for the Management Training Program is currently $2,500 (or $4,000 for Co-Branded Shops) for the third and subsequent shops that a franchisee operates, if Auntie Annes requires or the franchisee elects to receive the training.
Auntie Annes may charge a reasonable training fee, currently $250 per additional trainee per day, if a franchisee elects to bring additional trainees beyond the Required Trainees to the Management Training Program, and Auntie Annes permits it. This fee also applies if the Required Trainees are trained in separate sessions, indicating that franchisees cannot split up the training of their required personnel without incurring extra costs. Furthermore, if any of the Required Trainees fail to successfully complete the Management Training Program and need to re-enroll or are replaced with new trainees, the franchisee will be charged the additional training fee.
For a prospective Auntie Annes franchisee, this means that managing training effectively is crucial to avoid unexpected costs. Ensuring that the correct number of trainees attend the scheduled sessions and successfully complete the program can help avoid these additional fees. It is also important to note that these fees are subject to change, as Auntie Annes reserves the right to modify them. Therefore, franchisees should always confirm the current training fees with Auntie Annes before scheduling training sessions.