What must a Bonchon franchisee communicate to their employees regarding their employer?

According to Bonchon's 2025 Franchise Disclosure Document, a franchisee must inform all employees that the franchisee, not Bonchon, is their employer. This requirement ensures clarity in the employment relationship, establishing that the franchisee is solely responsible for all employment-related decisions and liabilities.

This means the Bonchon franchisee is responsible for hiring, setting schedules, determining compensation, providing benefits, and handling any disciplinary actions or terminations. Bonchon maintains no direct or indirect control over the franchisee's employees. The franchisee must also ensure that no employment-related documents, such as payroll checks, job applications, or W-2s, contain or reference Bonchon's name or trademarks.

This arrangement protects Bonchon from potential liabilities related to the franchisee's employees, such as insurance coverage, taxes, or withholdings. It also reinforces the independent contractor relationship between Bonchon and its franchisees. The franchisee is obligated to file all necessary tax, regulatory, and payroll reports for their employees, further emphasizing their role as the sole employer.

Prospective franchisees should understand that they bear the full responsibility for managing and compensating their employees, and must clearly communicate this to avoid any confusion. This independent contractor relationship is a standard practice in franchising, allowing Bonchon to focus on brand standards and support while franchisees manage their local operations and workforce.