As of what date must the Statement of Principal Owners be current and complete for Beef O Bradys?
Beef_O_Bradys Franchise · 2025 FDDAnswer from 2025 FDD Document
[Item 23: RECEIPTS.]
The Principal Owners Statement will completely and accurately describe all of your Owners and their interests in you.
A copy of our current form of Principal Owners Statement is attached to the Franchise Agreement as Exhibit F;
- (d) Ownership Changes.
You and your Owners agree to revise the Principal Owners Statement as may be necessary to reflect any ownership changes and to furnish such other information about your organization or formation as we may request (any and all ownership changes must be approved in advance by us);
- (e) Guaranty.
Each of your Owners during the term of this Agreement will sign and deliver to us 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 you and us.
A copy of our current form of Principal Owners Guaranty is attached to the Franchise Agreement as Exhibit E; and
(f) Documents and Contract. At our request, you will furnish true and correct copies of all documents and contracts governing the rights, obligations and powers of your Owners and agents (like articles of incorporation or organization, and partnership, operating or shareholder agreements).
Source: Item 23 — RECEIPTS. (FDD pages 66–330)
What This Means (2025 FDD)
According to Beef O Bradys's 2025 Franchise Disclosure Document, the Principal Owners Statement must completely and accurately describe all of the franchisee's owners and their interests in the franchise. The FDD indicates that the franchisee and their owners must revise the Principal Owners Statement as necessary to reflect any ownership changes. These revisions and any other information about the franchisee's organization must be furnished as requested by Beef O Bradys, and all ownership changes must be approved in advance by Beef O Bradys.
Each owner must sign and deliver Beef O Bradys's standard form of Principal Owner's Guaranty, agreeing to be jointly and severally bound by all provisions of the Franchise Agreement and any other agreements between the franchisee and Beef O Bradys. Additionally, the franchisee must furnish true and correct copies of all documents and contracts governing the rights, obligations, and powers of the owners and agents, such as articles of incorporation or organization, and partnership, operating, or shareholder agreements, at Beef O Bradys's request.
While the FDD specifies the requirements for the Principal Owners Statement, it does not provide a specific date by which the statement must be current and complete. It only states that the statement must be kept up-to-date to reflect any ownership changes and furnished as requested by Beef O Bradys. A prospective franchisee should seek clarification from Beef O Bradys regarding the specific timelines and requirements for submitting and updating the Principal Owners Statement to ensure compliance with the franchise agreement.