factual

What are Chatime's obligations during the operation of a franchised Chatime store?

Chatime Franchise · 2025 FDD

Answer from 2025 FDD Document

The following are our obligations during the operation of your franchised Chatime Store:

  • (1) We will provide you with a required 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. If you fail to meet the approved training programs in a timely manner, 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).
  • (2) We will provide you with additional on-site advice, guidance, and support in connection with the initial operations of your Chatime Store, for a fee. 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. (Clauses 3.3 and 3.4 of the Franchise Agreement).
  • (3) We will provide ongoing training advice and guidance to you concerning the development and operation of your Chatime Store to the extent and in the manner that we deem necessary and appropriate. (Clause 3.3 and 3.4 of the Franchise Agreement).
  • (4) We may develop and conduct international or regional advertising and promotional campaigns at our discretion. (Clause 7.3 of the Franchise Agreement).
  • (5) We will grant you a license to use our intellectual property in your Territory. (Clause 11.1 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, Chatime has several obligations to franchisees during the operation of their franchised stores. These include providing a required series of ongoing competency-based training for the franchisee, their senior managers, and any guarantors throughout the term of the agreement. This training can be conducted in person, digitally, or through a combination of methods, and will be in English. If the franchisee fails to meet the approved training programs in a timely manner, Chatime will provide additional training at the franchisee's cost, either within their territory or at another location determined by Chatime. The franchisee is responsible for reasonable compensation and reimbursement of associated costs, including compensation, travel, accommodations, and meals, upon receipt of an invoice.

Chatime is also obligated to provide additional on-site advice, guidance, and support in connection with the initial operations of the Chatime store, for a fee. The franchisee will pay reasonable compensation and reimburse Chatime for all associated costs and expenses, including compensation, travel, accommodations, and meals, upon receipt of an invoice. Chatime will also provide ongoing training advice and guidance concerning the development and operation of the Chatime store to the extent and in the manner that they deem necessary and appropriate.

Additionally, Chatime may develop and conduct international or regional advertising and promotional campaigns at their discretion. Chatime will also grant the franchisee a license to use their intellectual property in the designated territory. These post-opening obligations are designed to support the franchisee in the ongoing operation and development of their Chatime store, ensuring compliance with brand standards and providing necessary resources for success.

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.