Is a Buff City Soap franchisee required to personally participate in the direction of the operation of their Makery?
Buff_City_Soap Franchise · 2025 FDDAnswer from 2025 FDD Document
The Operator will supervise the General Manager and the operations of the Makery.
The Operator may not be involved in or supervise any other business or retail establishment concept outside of Buff City Soap makeries.
If, during the Term of this Agreement, the Operator is not able to continue to serve in such capacity or no longer qualifies to act as such in accordance with this Section 13(b), Franchisee must promptly notify Franchisor in writing and designate a replacement within 30 days after the Operator ceases to serve, such replacement being subject to the same qualifications described above.
Franchisee must provide for interim management of all Makeries owned by Franchisee that the Operator supervised until such replacement is so designated, such interim supervision to be conducted in accordance with the terms of this Agreement.
Any failure to comply with the requirements of this Section 13(b) will be deemed an Event of Default under this Agreement.
- (c) Other Personnel.
Franchisee will be solely responsible for all employment and personnel decisions involving its Personnel, including but not limited to the hiring, firing, discipline, supervision, direction, scheduling, and compensation of such additional managers and support personnel for the Makery.
Franchisee will cause all Personnel, while working in the Makery, to wear uniforms meeting the Standards as Franchisor may periodically designate.
If Franchisor changes the type of uniform utilized by Franchisee, Franchisee will have 30 days from the date of its receipt of Franchisor's Notice to discontinue use of its existing inventory of uniforms and implement the approved type of uniform.
Franchisee will ensure that each such Personnel receive the Initial Training and any additional training that Franchisor requires.
Franchisor will not be involved in, or responsible for, training, employment, compensation or any other personnel matters and decisions made by Franchisee, as further described in Section 13(d).
Source: Item 15 — OBLIGATION TO PARTICIPATE IN THE ACTUAL OPERATION OF THE FRANCHISE BUSINESS (FDD page 49)
What This Means (2025 FDD)
According to the 2025 Buff City Soap Franchise Agreement, a franchisee is not required to personally participate in the direction of the operation of their Makery. Instead, the franchise agreement stipulates that an 'Operator' will supervise the General Manager and the operations of the Makery.
The Operator cannot be involved in any other business outside of Buff City Soap. If the Operator is unable to continue in their capacity, the franchisee must notify Buff City Soap and designate a qualified replacement within 30 days. During the interim, the franchisee must provide management that aligns with the franchise agreement. Failure to comply with these requirements constitutes an event of default under the agreement.
The franchisee is responsible for all employment and personnel decisions, including hiring, firing, and compensation of personnel. The franchisee must ensure that all personnel wear designated uniforms and receive the required initial and ongoing training. Buff City Soap is not involved in the franchisee's personnel matters.