What costs are Chatime franchisees responsible for when receiving additional training due to failure to meet program requirements?
Chatime Franchise · 2025 FDDAnswer from 2025 FDD Document
We may require to you complete additional training or refresher courses. This includes a series of ongoing competency based training, for you, your senior managers, and any guarantors throughout the term of your agreement. Training will be conducted either in person, digitally or a combination of blended learning. All such training will be conducted in English. All such training must be successfully completed to our satisfaction. If you fail to complete the approved training programs in a timely manner and to our satisfaction, we will provide additional training at your cost at a location within your Territory or at such other location we determine. You will pay us reasonable compensation and reimburse us for all associated costs and expenses including, without limitation, costs for compensation, travel, accommodations, and meals, upon your receipt of our invoice. (Clause 3.3 of the Franchise Agreement).
Source: Item 11 — Franchisor's Assistance, Advertising, Computer Systems, and Training (FDD pages 27–35)
What This Means (2025 FDD)
According to Chatime's 2025 Franchise Disclosure Document, if a franchisee fails to complete the approved training programs in a timely manner and to Chatime's satisfaction, Chatime will provide additional training at the franchisee's cost. This training can occur at a location within the franchisee's territory or another location determined by Chatime.
The franchisee is responsible for paying Chatime reasonable compensation and reimbursing Chatime for all associated costs and expenses. These expenses include, but are not limited to, compensation for the trainers, travel costs, accommodations, and meals. These costs will be invoiced to the franchisee, and payment is due upon receipt of the invoice.
This policy applies not only to the initial training but also to ongoing competency-based training required for franchisees, senior managers, and any guarantors throughout the term of the franchise agreement. This highlights the importance of franchisees and their staff meeting the required training benchmarks to avoid incurring additional expenses and potential delays in their store's opening.