factual

If the assignee or transferee of a Brain Balance franchise is not already a franchisee, what training requirements must they fulfill, and who bears the expense?

Brain_Balance Franchise · 2025 FDD

Answer from 2025 FDD Document

9. ADDITIONAL OBLIGATIONS OF COMPANY

  • 9.01. Prior to the opening of the Franchised Business by FRANCHISEE:
  • (a) COMPANY will advise and counsel FRANCHISEE regarding Center location, in the preparation of an office layout and in the selection of center furnishings and equipment in accordance with the terms of the Operations Manual (as hereinafter defined).
  • (b) COMPANY will provide FRANCHISEE with basic methods, assessment tools and tests, protocols, and procedures for operating the Franchised Business and with customized software for operating the Brain Balance Program® and for capturing client statistical data for inclusion in the database.

  • (c) COMPANY will provide FRANCHISEE with a list of equipment and services required for use at the Center.

  • (d) COMPANY will provide (i) an on-line training program that will require approximately 31 hours of time, depending on the user's background in the areas covered and their familiarity with the substantive concepts; and (ii) three to five (3-5) days at our training location at the training facility COMPANY designates.

In addition, FRANCHISEE will have a maximum of 10 hours of telephone or webinar training before official opening when students start to participate in the program.

FRANCHISEE may, at COMPANY's discretion, also be required to travel with FRANCHISEE's staff to an approved regional Center to complete shadow training for 2-3 days, depending upon regional staff availability (the "Initial Training Program").

Although the cost of training will be borne by COMPANY, FRANCHISEE shall bear the cost of transportation, meals, and lodging, if any, of those who attend the Initial Training Program and salaries of any of FRANCHISEE's employees attending the Initial Training Program.

Source: Item 22 — CONTRACTS (FDD pages 70–72)

What This Means (2025 FDD)

Based on the 2025 Brain Balance Franchise Disclosure Document, if a franchisee transfers ownership to someone who isn't already a Brain Balance franchisee, the FDD does not explicitly detail the exact training requirements for that new owner. However, the document does state that Brain Balance provides an initial training program to the franchisee. This program includes an online training component requiring approximately 31 hours, and three to five days at a designated training facility. There is also a possibility that the franchisee and their staff will be required to travel to a regional center for 2-3 days of shadow training.

While Brain Balance bears the cost of the training itself, the franchisee is responsible for covering transportation, meals, and lodging for themselves and their employees attending the Initial Training Program, as well as the salaries of any employees during the training period.

Since the FDD does not specifically address the training requirements for a new owner in the event of a franchise transfer, it would be prudent for a prospective franchisee to seek clarification from Brain Balance regarding the specific training that would be required for a new owner or transferee, and who would bear the associated costs. This information is crucial for understanding the full financial and operational implications of potentially transferring the franchise in the future.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.