factual

What is the consequence if an Aw franchisee fails to satisfactorily complete the training program?

Aw Franchise · 2025 FDD

Answer from 2025 FDD Document

5.1 Initial Training. Prior to the opening of your Papa Ray's Pizza Restaurant, we will furnish, and you must attend and complete to our satisfaction, an initial training program of approximately four (4) weeks covering the operation of a Papa Ray's Pizza Restaurant. We, in our discretion, will determine when the initial training will take place and how long it will last. The total days of initial training provided to you may vary dependent upon your prior experience and other factors. Two (2) Owners and managers may attend the initial training program at no additional fee. Beyond the first two (2) people, additional Owners or managers may attend initial training program as space is available and for the current tuition fee. The initial training program will be furnished at times we designate at our offices, existing Papa Ray's Pizza Restaurants and/or other locations we designate.

If, during the initial training program, we determine, in our sole discretion, that you (or your approved Owner) are not qualified to manage a Papa Ray's Pizza Restaurant, we have the right to require you to attend and successfully complete additional training and/or to terminate this Agreement, effective upon delivery of written notice thereof to you. If during any training program, we determine, in our sole discretion, that any proposed Operating Manager is not qualified to manage your Papa Ray's Pizza Restaurant, we will notify you of that determination and you must then select and enroll a substitute manager in such training program. If you desire to have other managers trained by us, we will make this opportunity available to you provided training space is available in a regularly scheduled class. We will charge you the then-current fee for this additional training.

You will be solely responsible for all expenses, including, without limitation, travel, room, board, transportation expenses, and wages, incurred by you (or any of your Owners) and any proposed manager or employees in connection with attending any initial training program.

Source: Item 22 — CONTRACTS (FDD pages 39–40)

What This Means (2025 FDD)

According to Aw's 2025 Franchise Disclosure Document, if a franchisee fails to satisfactorily complete the initial training program, Aw has the right to require the franchisee to attend and successfully complete additional training or to terminate the franchise agreement. This determination is made at Aw's sole discretion. The termination would be effective upon delivery of written notice to the franchisee.

This is a significant risk for prospective Aw franchisees. If Aw determines that the franchisee (or an approved owner) is not qualified to manage a Papa Ray's Pizza Restaurant during the initial training program, Aw can demand additional training or terminate the agreement. This clause gives Aw considerable power over who can become a franchisee.

If a proposed operating manager is deemed unqualified, the franchisee must select and enroll a substitute manager in the training program. The franchisee is responsible for all expenses associated with attending any initial training program, including travel, room, board, transportation, and wages for themselves, their owners, and any proposed managers or employees. This financial burden, coupled with the risk of termination, underscores the importance of thorough preparation and aptitude for managing an Aw franchise.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.