factual

Who is required to attend the Churchs Chicken New Franchisee Orientation Program (NFOP)?

Churchs_Chicken Franchise · 2025 FDD

Answer from 2025 FDD Document

A. New Franchisee Orientation Program. Before Franchisee opens its first franchised Church's Restaurant, Franchisee's Operating Principal (as defined in Section 13.G.) shall attend, and complete to Cajun's satisfaction, the Church's New Franchisee Orientation Program ("NFOP"). The NFOP shall last 2 days and will be conducted at a training facility designated by Cajun. Cajun may extend the length of the NFOP in its sole discretion. Cajun shall bear all administrative expenses for the NFOP, provided that Franchisee shall pay all travel, living and other expenses incurred by Franchisee's Operating Principal and Franchisee's employees while attending the NFOP.

Operating Principal.** Franchisee shall designate and retain an individual to serve as the "Operating Principal." The Operating Principal as of the date of this Agreement is identified in Schedule 2.

Unless waived in writing by Cajun, the Operating Principal shall meet all of the following qualifications:

  • (1) The Operating Principal, at all times, shall have at least a 10% equity ownership interest in Franchisee (unless Franchisee is a publicly-held entity or a wholly-owned subsidiary of a publicly-held entity).

  • (2) The Operating Principal, at all times, shall be a member of the Continuity Group and, at a minimum, have full control over the day-to-day activities, including operations, of the Franchised Restaurant and those other restaurants (that are franchised by Cajun or its affiliates) operated by Franchisee in the same geographic area as the Franchised Restaurant, including control over the standards of operation and financial performance.

  • (3) The Operating Principal shall devote full-time and best efforts to supervising the operation of the Franchised Restaurant and those other restaurants (that are franchised by Cajun or its affiliates) operated by Franchisee in the same geographic area as the Franchised Restaurant and shall not engage in any other business or activity, directly or indirectly, that requires substantial management responsibility.

  • (4) The Operating Principal shall maintain his or her primary residence within a reasonable driving distance of at least one of Franchisee's franchised Church's Restaurants.

  • (5) The Operating Principal shall successfully complete the NFOP (if it has not previously done so) and the MIT Program and any additional training required by Cajun.

  • (6) Cajun shall have approved the Operating Principal and not have later withdrawn that approval.

  • (7) If the Operating Principal no longer qualifies as such, Franchisee shall designate another qualified person to serve as Operating Principal within 30 days after the date the prior Operating Principal ceases to be qualified.

Franchisee's designee to become the Operating Principal must successfully complete the MIT Program and the NFOP.

Source: Item 23 — RECEIPT (FDD pages 68–406)

What This Means (2025 FDD)

According to Churchs Chicken's 2025 Franchise Disclosure Document, the franchisee's Operating Principal is required to attend and complete the New Franchisee Orientation Program (NFOP) before opening their first franchised restaurant. The Operating Principal must meet specific qualifications, including having at least a 10% equity ownership in the franchisee's business, unless the franchisee is a publicly-held entity. They must also be part of the Continuity Group and have full control over the day-to-day operations, standards, and financial performance of the franchised restaurant and other Churchs Chicken restaurants operated by the franchisee in the same area.

The Operating Principal is expected to devote their full-time efforts to supervising the restaurant's operations and must live within a reasonable driving distance of at least one of the franchisee's Churchs Chicken locations. They must successfully complete both the NFOP and the Manager-in-Training (MIT) Program, along with any additional training that Churchs Chicken requires. The franchisor, Cajun, must approve the Operating Principal, and this approval cannot be withdrawn later. If the Operating Principal no longer meets the qualifications, the franchisee has 30 days to designate a qualified replacement, who must also complete the MIT Program and the NFOP.

The NFOP is a 2-day program held at a training facility designated by Cajun. While Cajun bears the administrative expenses for the NFOP, the franchisee is responsible for covering all travel, living, and other expenses incurred by their Operating Principal and employees while attending the program. This ensures that the Operating Principal is adequately prepared to manage the Churchs Chicken franchise according to the franchisor's standards and operational guidelines.

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.