What is the relationship between Carvel and GoTo Foods regarding franchise sales?
Carvel Franchise · 2025 FDDAnswer from 2025 FDD Document
We have entered into a management agreement with GoTo Foods for it to provide our franchisees with certain support and services that we are obligated to provide under their franchise agreements. GoTo Foods also acts as our franchise sales agent. We have agreed to pay management fees to GoTo Foods for these services. GoTo Foods may delegate certain of these responsibilities to our other affiliates. However, as the franchisor, we will be responsible and accountable to you to make sure that all services we promise to perform under your Franchise Agreement or other agreements you sign with us are performed in compliance with the applicable agreement, regardless of who performs these services on our behalf.
Source: Item 1 — The Franchisor and any Parents, Predecessors, and Affiliates (FDD pages 9–24)
What This Means (2025 FDD)
According to Carvel's 2025 Franchise Disclosure Document, GoTo Foods plays a role in Carvel's franchise sales. Specifically, GoTo Foods acts as Carvel's franchise sales agent. This means that GoTo Foods is authorized to sell Carvel franchises on behalf of Carvel.
As the franchise sales agent, GoTo Foods is responsible for finding and recruiting potential Carvel franchisees. This may involve marketing the Carvel franchise opportunity, screening potential candidates, and guiding them through the franchise sales process.
While GoTo Foods provides franchise sales services, Carvel remains responsible for ensuring that all obligations under the Franchise Agreement are met, regardless of who performs the services. Carvel also pays management fees to GoTo Foods for these services.