factual

Under what circumstances will Carls Jr. provide assistance in opening training for a new franchised restaurant?

Carls_Jr Franchise · 2025 FDD

Answer from 2025 FDD Document

Upon Franchisee's reasonable request, or at CJR's discretion, CJR shall provide assistance in opening training for the first or second new Franchised Restaurant in a new franchisee's portfolio, and in training Franchisee's employees as CJR deems appropriate in light of Franchisee's needs and the availability of CJR personnel. CJR has the right to charge Franchisee all reasonable expenses incurred in support of the restaurant opening, including but not limited to any travel, hotel, meals, employee wages, materials and supplies (as determined by CJR).

Source: Item 22 — CONTRACTS (FDD pages 75–76)

What This Means (2025 FDD)

According to Carls Jr.'s 2025 Franchise Disclosure Document, Carls Jr. may provide assistance in opening training for new franchisees. Specifically, upon a franchisee's reasonable request, or at Carls Jr.'s discretion, Carls Jr. will provide assistance in opening training for the first or second new franchised restaurant in a new franchisee's portfolio. This assistance also includes training the franchisee's employees as Carls Jr. deems appropriate based on the franchisee's needs and the availability of Carls Jr. personnel.

However, Carls Jr. has the right to charge the franchisee for all reasonable expenses incurred while supporting the restaurant opening. These expenses can include travel, hotel, meals, employee wages, materials, and supplies, as determined by Carls Jr.

This arrangement is fairly typical in the franchise industry, where franchisors often provide initial training and support to help new franchisees get their businesses up and running. However, it is important for prospective Carls Jr. franchisees to understand that while the initial training assistance is available, they will be responsible for covering the associated costs, which could potentially impact their initial investment and operating budget.

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.