Can someone other than the Managing Owner oversee the Cicis Restaurant's operations?
Cicis Franchise · 2025 FDDAnswer from 2025 FDD Document
- (2) In addition to exercising general supervisory responsibility for your activities under this Agreement, the Managing Owner shall directly oversee your Restaurant's operations, unless you designate another natural person whom we approve to serve as your "Operator".
Your initial Operator, if applicable, is identified on Attachment A.
An Operator may, but need not, be an owner and will be responsible for overseeing your Restaurant's operations.
- (3) Your Managing Owner and/or Operator must be approved by us, as we determine in our sole discretion.
Once approved, your Managing Owner and Operator must, during the entire period they serve in such capacities, continue to meet our qualifications and such other standards as may be set forth in the Manuals or otherwise conveyed to you in writing.
Your Managing Owner and the initial Operator must successfully complete our initial training program (the duration and scope of which may vary, depending upon such person's prior restaurant operating experience) within a reasonable period of time after the execution of this Agreement and prior to the Opening Date.
If your Managing Owner or Operator fails, in our sole judgment, to satisfactorily complete such program, then we will give you an opportunity to designate a new Managing Owner and/or Operator, who must be approved by us.
If such newly designated Managing Owner or Operator fails to complete the initial training program to our satisfaction prior to the scheduled Opening Date, we may terminate this Agreement in accordance with Section 15.A.(2)(e).
- (4) You must vest the Managing Owner and any Operator with sufficient decision-making authority to expedite the determinations and decisions that are essential to effective and efficient operation of your Restaurant.
Your Operator (and your Managing Owner if your Managing Owner is your Operator) must devote his or her full-time best efforts to the supervision of your Restaurant's operation and, with our consent, to the supervision of other Cicis Restaurants owned by you or your affiliate(s) and operated pursuant to franchise agreement(s) with us.
Source: Item 15 — OBLIGATION TO PARTICIPATE IN THE ACTUAL OPERATION OF THE FRANCHISED BUSINESS (FDD pages 43–44)
What This Means (2025 FDD)
According to the 2025 Cicis Franchise Disclosure Document, while the Managing Owner typically oversees the restaurant's operations, an alternative arrangement is possible. A franchisee can designate another individual, referred to as the "Operator", to manage the Cicis restaurant, provided that Cicis approves this individual. The Operator does not necessarily need to be an owner but must be a natural person approved by Cicis.
The designated Operator must successfully complete Cicis's initial training program, similar to the Managing Owner. This training is crucial, and failure to complete it satisfactorily can lead to the franchisee needing to designate a new Operator. If the newly designated Operator also fails to complete the training, Cicis reserves the right to terminate the Franchise Agreement. This highlights the importance Cicis places on having qualified individuals managing their restaurants.
Both the Managing Owner and the Operator must be approved by Cicis and continue to meet the qualifications and standards set forth in the manuals or other written communications. The franchisee must ensure that the Managing Owner and any Operator have sufficient decision-making authority to effectively manage the restaurant. Furthermore, the Operator (or the Managing Owner if they are also the Operator) must dedicate their full-time efforts to supervising the restaurant's operations, and with Cicis's consent, may also supervise other Cicis restaurants owned by the franchisee or their affiliates. This ensures that the restaurant is managed by someone fully committed to the business, maintaining Cicis's standards and operational efficiency.