Does Bananas Smoothies Frozen Yogurt require a Principal Owner's Statement as part of its exhibits?
Bananas_Smoothies_Frozen_Yogurt Franchise · 2025 FDDAnswer from 2025 FDD Document
(d) Developer and its Owners agree to revise the Principal Owners Statement as may be necessary to reflect any ownership changes and to furnish such other information about Developer's organization or formation as we may request (no ownership changes of 51% or more may be made without our approval);
(e) each of Developer's Owners during the term of this Agreement will sign and deliver to Franchisor our standard form of Principal Owner's Guaranty undertaking to be bound jointly and severally by all provisions of this Agreement and any other agreements between Developer and Franchisor.
A copy of Franchisor's current form of Owner's Personal Guaranty of Developer's Obligations is attached hereto as Two B and of the Corporate Guaranty of Developer's Obligations is attached as Exhibit Two C and each Exhibit is made a part hereof.
- (f) at Franchisor's request, Developer will furnish true and correct copies of all documents and contracts governing the rights, obligations and powers of Developer's Owners and agents (like articles of incorporation or organization, and partnership, operating or shareholder agreements).
Source: Item 23 — RECEIPT (FDD pages 58–231)
What This Means (2025 FDD)
According to the 2025 Bananas Smoothies Frozen Yogurt FDD, the brand requires a Principal Owner's Statement. Specifically, if the Developer is a business entity, the owners must revise the Principal Owners Statement as needed to reflect any ownership changes. These revisions must also include furnishing any other information about the Developer's organization or formation that Bananas Smoothies Frozen Yogurt may request. However, no ownership changes of 51% or more may be made without the brand's approval.
Furthermore, each of the Developer's Owners must sign and deliver Bananas Smoothies Frozen Yogurt's standard form of Principal Owner's Guaranty, agreeing to be bound jointly and severally by all provisions of the Area Development Agreement and any other agreements between the Developer and Bananas Smoothies Frozen Yogurt. A copy of the brand's current form of Owner's Personal Guaranty of Developer's Obligations is attached as Exhibit Two B, and the Corporate Guaranty of Developer's Obligations is attached as Exhibit Two C.
Finally, at Bananas Smoothies Frozen Yogurt's request, the Developer must furnish true and correct copies of all documents and contracts governing the rights, obligations, and powers of the Developer's Owners and agents. These documents include articles of incorporation or organization, and partnership, operating, or shareholder agreements. This requirement ensures that Bananas Smoothies Frozen Yogurt has access to all relevant information about the Developer's organization and its owners.