Under what conditions must a Carvel franchisee pay a training fee for Required Trainees?
Carvel Franchise · 2025 FDDAnswer from 2025 FDD Document
the initial management training program for Businesses (the "Management Training Program"). All trainees must be over the age of 18 years and must meet any minimum experience requirements that we specify. In addition, we may, in our sole discretion, require your Primary Contact, if they will not be involved in the day-to-day operation of the Franchised Business, to complete a limited version of the Management Training Program to our satisfaction. If any of your Required Trainees have previously attended and successfully completed our Management Training Program and you or they have not defaulted under any other franchise agreement with us, we may, in our sole discretion, determine that such Required Trainee is not required to attend the Management Training Program again or will be required to attend a modified Management Training Program.
- B. Training Fees. Except as otherwise provided in this Section 11.1.B., we will provide the Management Training Program to your Required Trainees at no additional charge to the Required Trainees for the first two Franchised Businesses that you or your affiliates operate. For the third and subsequent Franchised Businesses that you or your affiliates operate, if we require you or you elect to receive the Management Training Program from us or our designee, you must pay us our then-current Management Training Program fee for all of your Required Trainees to attend in a single training session. You must pay us our-then current training fee for each trainee, which is currently $250 per trainee per day and may be increased in any calendar year by no more than the Allowed Adjustment, if (i) you elect to bring additional trainees, other than the Required Trainees, to the Management Training Program, (ii) your Required Trainees are trained in separate sessions, (iii) any of your Required Trainees fail to successfully complete the Management Training Program and re-enroll in the program or are replaced with new trainees that enroll in the program, or (iv) we provide the Management Training Program to your Subsequent Trainees (as defined in Section 11.F. (Subsequent Trainees)).
- C. Attending Training. We will provide, or designate other parties to provide on our behalf, the Management Training Program periodically and permit you to register for an available program. Training programs are subject to space and time availability.
Source: Item 23 — Receipts (FDD pages 100–353)
What This Means (2025 FDD)
According to Carvel's 2025 Franchise Disclosure Document, franchisees typically receive initial training for their required trainees at no additional charge for the first two franchises they operate. However, there are several scenarios where a Carvel franchisee will be required to pay a training fee. For the third and subsequent franchises, the franchisee must pay the then-current Management Training Program fee for all required trainees if they receive the training from Carvel or its designee.
Additionally, fees are applicable under specific circumstances. A franchisee must pay a training fee, currently $250 per trainee per day (subject to an annual increase by the Allowed Adjustment), if they elect to bring additional trainees beyond the required number, if the required trainees are trained in separate sessions, or if any required trainees fail to complete the program and must re-enroll or are replaced with new trainees. This fee also applies when Carvel provides training to Subsequent Trainees, such as managers hired after the franchise opens.
Furthermore, if the opening date of the franchised business changes and the required trainees completed the Management Training Program more than 120 days before the revised opening date, Carvel may require them to attend additional training (up to one week) and charge the then-current daily training fee. Carvel also reserves the right to require employees transferring from another business or managers/employees with identified operational issues to attend and successfully complete the Management Training Program, potentially incurring additional training fees. If Carvel withholds or revokes certification of a franchisee's Certified Training Location, they may require trainees to attend the Management Training Program at another designated location and charge the then-current training fee.