What is the Baya Bar franchisee's obligation regarding wages for trainees during pre-opening training?
Baya_Bar Franchise · 2024 FDDAnswer from 2024 FDD Document
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| (1) | (2) | (3) | (4) |
|---|---|---|---|
| Fees (1) | Amount | Due Date | Remarks |
| Pre-Opening Training (For New or Replacement Employees) | Our then-current per session training fee, plus expenses Current per session training fee = $3,000 | Before Training | We will train up to three people at no additional charge. If you request that we provide our pre-opening training program to any additional employees, or to new or replacement employees during the term of your Franchise Agreement, you must pay our training fee as well as the trainees' expenses, including travel, lodging, meals and wages. |
Source: Item 6 — OTHER FEES (FDD pages 11–16)
What This Means (2024 FDD)
According to Baya Bar's 2024 Franchise Disclosure Document, franchisees are responsible for covering the wages of their employees who attend pre-opening training, in addition to other expenses. Baya Bar provides pre-opening training for up to three people at no additional charge. However, if the franchisee requests training for additional employees or for new/replacement employees during the franchise term, they must pay Baya Bar's training fee, which is currently $3,000 per session, as well as cover the trainees' expenses. These expenses include travel, lodging, meals, and wages.
This means that a Baya Bar franchisee needs to budget not only for the training fee charged by Baya Bar for additional employees beyond the initial three, but also for the full cost of sending their employees to the training. This includes paying their regular wages during the training period, which could add a significant expense depending on the number of employees and the duration of the training.
It is important for prospective franchisees to factor in these potential training costs when evaluating the overall investment required to start and operate a Baya Bar franchise. Franchisees should discuss with Baya Bar the typical duration of pre-opening training and the estimated wages and other expenses associated with sending employees for training to accurately forecast these costs.