What kind of information may Brueggers Bagels periodically specify that franchisees must collect and maintain?
Brueggers_Bagels Franchise · 2025 FDDAnswer from 2025 FDD Document
The transfer of any ownership represented by this certificate is subject to the terms and conditions of an Agreement with BRUEGGER'S FRANCHISE CORPORATION. Reference is made to the provisions of the Agreement and to the governing documents of the Company.
- 20.3. Ownership Information. You represent and warrant that the ownership information on Exhibit A to this Agreement is correct and complete as of the Agreement Date. You must maintain a current list of all stockholders, general partners, limited partners, members, or other direct or indirect beneficial owners (as applicable) and furnish the list to us upon request.
Source: Item 22 — CONTRACTS (FDD page 61)
What This Means (2025 FDD)
According to Brueggers Bagels' 2025 Franchise Disclosure Document, franchisees must maintain a current list of all stockholders, general partners, limited partners, members, or other direct or indirect beneficial owners, as applicable. Upon request from Brueggers Bagels, the franchisee must furnish this list.
This requirement allows Brueggers Bagels to keep track of the ownership structure of its franchises. This is a fairly standard practice in franchising, as franchisors need to ensure that all owners meet their qualifications and obligations, especially regarding confidentiality and non-competition agreements.
For a prospective Brueggers Bagels franchisee, this means that if the franchise is owned by a business entity, they will need to keep detailed records of all individuals with an ownership stake, no matter how small. They must also be prepared to provide this information to Brueggers Bagels at any time. This obligation continues throughout the term of the Franchise Agreement.