Under what conditions might Carls require a franchisee operating three or more restaurants to obtain certification for a Certified Franchisee Training Restaurant?
Carls Franchise · 2024 FDDAnswer from 2024 FDD Document
In addition, if you operate three or more Franchised Restaurants, we may require, in our sole discretion, that (A) you obtain and maintain a certification from us for one or more of your Franchised Restaurants to be an authorized training restaurant (a "Certified Franchisee Training Restaurant") and (B) one or more of your General Managers obtain and maintain a certification from us as a trainer authorized to provide our FMTP to your new trainees (a "Certified Franchisee Management Trainer"). Your Certified Franchisee Management Trainers may provide our FMTP at a Certified Franchisee Training Restaurant in accordance with our System standards for such training. To become a Certified Franchisee Management Trainer, a General Manager must (i) complete our FMTP, (ii) maintain specific food safety programs, (iii) attend any required additional training program as specified by us from time to time, and (iv) meet other qualifications that we may specify from time to time. To be designated as a Certified Training Restaurant, your Franchised Restaurant must (a) meet compliance scores that we specify, (b) fully comply with our then-current System standards, (c) maintain established personnel requirements, in addition to a Certified Franchisee Management Trainer, (d) remain compliant with all health department or other regulatory requirements; and (e) meet any other requirements that we may specify from time to time. We may, in our sole discretion, revoke certification for a Certified Franchisee Training Restaurant or a Certified Franchisee Management Trainer. If we revoke certification, we may require your trainees to attend the FMTP at another location that we designate.
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING (FDD pages 41–54)
What This Means (2024 FDD)
According to Carls's 2024 Franchise Disclosure Document, if a franchisee operates three or more franchised restaurants, Carls may require them to obtain and maintain certification for one or more of their restaurants to be an authorized training restaurant, referred to as a "Certified Franchisee Training Restaurant." Carls also has the discretion to require that one or more of the franchisee's General Managers obtain and maintain certification as a trainer authorized to provide the Franchise Management Training Program (FMTP) to new trainees; these trainers are called "Certified Franchisee Management Trainers."
To become a Certified Franchisee Management Trainer, a General Manager must complete the FMTP, maintain specific food safety programs, attend any required additional training programs specified by Carls, and meet other qualifications that Carls may specify. To have a restaurant designated as a Certified Training Restaurant, the restaurant must meet compliance scores specified by Carls, fully comply with then-current System standards, maintain established personnel requirements in addition to a Certified Franchisee Management Trainer, remain compliant with all health department or other regulatory requirements, and meet any other requirements that Carls may specify.
Carls retains the sole discretion to revoke certification for either a Certified Franchisee Training Restaurant or a Certified Franchisee Management Trainer. If certification is revoked, Carls may require the franchisee's trainees to attend the FMTP at another location designated by Carls. This ensures that training standards are maintained across the Carls system, even if a franchisee's location or trainer no longer meets the required criteria.