What page number in the Chatime Franchise Agreement discusses Training and Operating Assistance?
Chatime Franchise · 2025 FDDAnswer from 2025 FDD Document
2.8 Collateral Agreements
Franchisee must comply with all terms and conditions of any Collateral Agreement and acknowledges that a breach of any Collateral Agreement constitutes a breach of this Agreement.
3 Training and Operating Assistance
3.1 Initial Training
- (1) Franchisor will provide to Franchisee, Guarantor, and any senior managers nominated by Franchisor (up to a maximum of 4 people), a minimum of two weeks continuous days training in English (Initial Training), by one or more Franchisor representatives. Franchisee shall pay Franchisor an Initial Training Fee for the Initial Training. The Initial Training will be conducted at any place designated by Franchisor. Franchisee must ensure that the Initial Training is commenced by the designated persons no earlier than two months prior to your Chatime Store's Opening and completed by no later than your Chatime Store's Opening.
- (2) If deemed necessary by Franchisor, additional training will be provided by Franchisor either immediately following the Initial Training or otherwise at a place and time determined by Franchisor. Franchisor may charge Franchisee a reasonable fee for such additional training, in addition to the travel, meal and accommodation costs of the trainers, and Franchisee must pay that fee upon receipt of an invoice from Franchisor.
- (3) In relation to the initial training described in clause 3.1(1) or 3.1(2), Franchisee agrees to:
- (a) Ensure that all relevant persons attend the training at such times and places specified by Franchisor and complete their training to Franchisor's satisfaction; and
- (b) Bear the full costs and risk of all trainees' attendance at such training programs (including their compensation, travel, accommodation, meals, employee wages and entitlements, uniforms, workers' compensation insurance and personal expenses).
3.2 Continuing Training
Source: Item 23 — Receipts (FDD pages 58–262)
What This Means (2025 FDD)
According to Chatime's 2025 Franchise Disclosure Document, the Franchise Agreement outlines training and operating assistance in section 3. Specifically, section 3.1 details the initial training program, while section 3.2 addresses continuing training. This section of the agreement is crucial for prospective franchisees as it defines the scope and requirements of the training provided by Chatime.
The initial training, as described in clause 3.1(1), involves a minimum of two weeks of continuous training in English for the franchisee, guarantor, and any senior managers nominated by Chatime, up to a maximum of four people. Chatime determines the location of this training, and the franchisee is responsible for an initial training fee. This training must commence no earlier than two months before the Chatime store's opening and be completed by the opening date. Clause 3.1(2) states that additional training may be provided if deemed necessary by Chatime, either immediately following the initial training or at a later time and place determined by Chatime, for which Chatime may charge a reasonable fee, in addition to travel, meal, and accommodation costs of the trainers.
Furthermore, clause 3.1(3) specifies that the franchisee must ensure all relevant persons attend and complete the training to Chatime's satisfaction. The franchisee also bears the full costs and risks associated with the trainees' attendance, including compensation, travel, accommodation, meals, employee wages and entitlements, uniforms, workers' compensation insurance, and personal expenses. These provisions highlight the significant investment, both in time and money, that a franchisee must make to ensure they and their staff are adequately trained in Chatime's operating procedures.
Understanding these training requirements is essential for anyone considering a Chatime franchise, as it directly impacts the operational readiness and potential success of the franchise. Prospective franchisees should carefully review these sections of the Franchise Agreement to fully understand their obligations and the support they can expect from Chatime.