factual

Before opening a Card My Yard business, what role must be designated to supervise the business's operation?

Card_My_Yard Franchise · 2025 FDD

Answer from 2025 FDD Document

[Item 15: OBLIGATION TO PARTICIPATE IN THE ACTUAL OPERATION OF THE FRANCHISE BUSINESS]

Before the Card My Yard business opens for business, you must designate an individual who meets our qualifications to serve as the Card My Yard business' General Manager and supervise the operation of your Card My Yard business. Your Principal Owner may serve as the General Manager of your Card My Yard business, but he or she may not serve as the General Manager for more than one Card My Yard business at the same time. With our written consent, you may elect to designate an individual other than your Principal Owner as General Manager. Even if we permit you to designate a General Manager to supervise your operations under the Franchise Agreement, your Principal Owner remains ultimately responsible for the General Manager's performance. The General Manager must devote his or her full time and best efforts to the supervision of your operations under the Franchise Agreement and may not engage in any other business. Each Card My Yard business must have a different General Manager.

You must notify us promptly if your Principal Owner or any General Manager cannot continue or no longer qualifies to serve as a Principal Owner or General Manager, as applicable. You will have 30 days from the date of the notice (or from any date that we independently determine the Principal Owner or General Manager no longer meets our standards) to take corrective action acceptable to us. During that 30-day period, you must provide for interim management of your operations in compliance with the Franchise Agreement.

At our request, you must have your General Manager and any other personnel who will have access to our training, sign covenants not to compete, and such persons must maintain the confidentiality of information they have access to through their relationship with you. These covenants will be in substantially the form of Exhibit B

to the Franchise Agreement. We have the right, in our sole discretion, to decrease the period of time or geographic scope of the non-competition covenants or eliminate the non-competition covenant altogether for any person who must sign an agreement described in this paragraph.

Source: Item 15 — OBLIGATION TO PARTICIPATE IN THE ACTUAL OPERATION OF THE FRANCHISE BUSINESS (FDD pages 49–50)

What This Means (2025 FDD)

According to Card My Yard's 2025 Franchise Disclosure Document, before opening a Card My Yard business, you must designate a General Manager who meets Card My Yard's qualifications to supervise the business's operation. The Principal Owner may serve as the General Manager, but they cannot simultaneously manage more than one Card My Yard business.

Subject to Card My Yard's written consent, franchisees can designate someone other than the Principal Owner as General Manager. Regardless of whether the Principal Owner or another individual is chosen, the General Manager must dedicate their full time and best efforts to supervising the Card My Yard business and cannot be involved in any other business without written consent from Card My Yard.

It is important to note that even if a General Manager is appointed, the Principal Owner retains ultimate supervisory responsibilities for the Card My Yard business and remains responsible for the General Manager's performance. Each Card My Yard business must have a different General Manager. Franchisees must promptly inform Card My Yard if the Principal Owner or General Manager can no longer fulfill their duties and must take corrective action within 30 days.

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.