factual

Is there a limit on who a Chocolate Fish Coffee franchisee can hire as an on-premises supervisor?

Chocolate_Fish_Coffee Franchise · 2024 FDD

Answer from 2024 FDD Document

  • (a) Management. The Business must at all times be under the on-site supervision of the Principal Executive or a general manager who has completed Chocolate Fish Franchising's training program.
  • (d) Qualifications. Chocolate Fish Franchising may set minimum qualifications for categories of employees employed by Franchisee.

Source: Item 15 — OBLIGATION TO PARTICIPATE IN THE ACTUAL OPERATION OF THE FRANCHISE BUSINESS (FDD page 32)

What This Means (2024 FDD)

According to the 2024 Chocolate Fish Coffee FDD, the business must be under the on-site supervision of the Principal Executive or a general manager who has completed Chocolate Fish Coffee's training program. The Principal Executive is the person designated on the Summary Page as primarily responsible for the business, possessing decision-making authority, and holding at least a 10% ownership interest in the franchise. If the Principal Executive cannot fulfill their duties, a new one must be designated, subject to Chocolate Fish Coffee's approval.

Chocolate Fish Coffee may also set minimum qualifications for categories of employees. However, the franchisee is ultimately responsible for all employment-related decisions, including hiring, training, and termination. The franchisee is also responsible for the actions of their personnel.

This means that while Chocolate Fish Coffee mandates that the on-site supervisor (either the Principal Executive or a trained general manager) meets certain criteria, the franchisee has broad discretion in choosing who to hire, provided they meet the brand's minimum qualifications and training requirements. This is a fairly standard arrangement in franchising, where the franchisor sets basic standards while the franchisee manages day-to-day staffing.

Disclaimer: This information is extracted from the 2024 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.