What ownership interest must the Operating Owner of a Buona franchise have in the entity?
Buona Franchise · 2025 FDDAnswer from 2025 FDD Document
- (c) Franchisee shall designate one owner of the entity having an ownership interest of ten percent (10) or more who will be the Operating Owner for the Franchised Business and will devote fulltime and best efforts to the management of the Franchised Business. The Operating Owner must successfully complete Franchisor's initial training program. Franchisee shall give Franchisor immediate notice of any change in the Operating Owner and must arrange for the new Operating Owner to attend Franchisor's initial training program. The Operating Owner may also be the designated manager providing the direct on-site supervision of the operation of the Franchised Business.
Source: Item 22 — CONTRACTS (FDD page 78)
What This Means (2025 FDD)
According to Buona's 2025 Franchise Disclosure Document, the franchisee must designate one owner of the entity with an ownership interest of ten percent (10%) or more to serve as the Operating Owner for the franchised business. This Operating Owner is required to devote their full-time efforts to managing the Buona franchise.
Furthermore, the Operating Owner must successfully complete Buona's initial training program. The franchisee is obligated to promptly notify Buona of any changes in the designated Operating Owner and ensure that any new Operating Owner attends the initial training program.
The Operating Owner can also be the designated manager who provides direct on-site supervision of the Buona franchise's operations. This ensures that there is an involved owner who is actively managing the business and has a vested interest in its success.