What is the definition of a 'Designated Manager' for a Beverly Anns Cookie franchise?
Beverly_Anns_Cookie Franchise · 2025 FDDAnswer from 2025 FDD Document
Subject to this Section, the Managing Owner shall directly supervise and participate in the day-to-day operation of the Franchised Business during the term of this Franchise Agreement. At your request, we may, but are not obligated to, agree for you to employ a Designated Manager after the first 60 days of operation (other than the Franchisee/Managing Owner) to operate the Franchised Business. The term "Designated Manager" means an individual with primary day-to-day responsibility for the Franchised Business' operations, and may be you (if you are an individual) or an Owner, officer, director, or employee of yours (if you are other than an individual). The Designated Manager shall have similar responsibilities as a Managing Owner. You must deliver to us an amended Attachment B accurately identifying such appointed Designated Manager. The Designated Manager will be obligated to devote his or her full time, best efforts, and constant personal attention to the Franchised Business' operations, and must have full authority in order to comply with this Franchise Agreement. You must not hire any Designated Manager or successor Designated Manager without first receiving our written approval of such Designated Manager's qualifications. Each Designated Manager must attend and complete our Initial Training and sign a System Protection Agreement, the current form of which is attached to the Franchise Disclosure Document in Exhibit H. You must forward to us a copy of each such signed agreement. If we determine, in our sole discretion, during or following completion of the Initial Training program, that your Designated Manager (if any) is not qualified to act as designated manager of the Franchised Business, then we have the right to require you to choose (and obtain our approval of) a new individual for that position. If you are required to appoint a new Designated Manager, you must do so within 30 days of the termination of the previous Designated Manager.
Source: Item 23 — RECEIPTS (FDD pages 57–235)
What This Means (2025 FDD)
According to the 2025 Beverly Anns Cookie Franchise Disclosure Document, a 'Designated Manager' is an individual with primary responsibility for the day-to-day operations of the franchised business. This individual can be the franchisee themselves (if they are an individual), or an owner, officer, director, or employee of the franchisee (if the franchisee is an entity). The franchisor must approve the Designated Manager's qualifications before they are hired.
The Designated Manager has similar responsibilities to a Managing Owner and must devote their full time and best efforts to the business. They also need to have full authority to ensure compliance with the Franchise Agreement. The franchisee must notify Beverly Anns Cookie of the Designated Manager appointment by providing an updated Attachment B to the franchise agreement.
Each Designated Manager is required to attend and complete the initial training program and sign a System Protection Agreement. If Beverly Anns Cookie determines that the Designated Manager is not qualified during or after the training, the franchisee will be required to find a replacement within 30 days. This ensures that all managers are properly trained and capable of upholding the standards of the Beverly Anns Cookie franchise.