factual

Who is responsible for covering the costs and expenses related to employee training at a Circle K franchise?

Circle_K Franchise · 2025 FDD

Answer from 2025 FDD Document

Notwithstanding any other provision of this Agreement, Franchisee, at its sole cost and expense, will be responsible for training its employees.

However, during the Training Program, Franchisee is responsible for all salaries, fringe benefits, payroll taxes, travel costs, lodging, food, and other personal expenses incurred by those attending the Training Program on Franchisee's behalf.

If Franchisee hires a new or additional Store Manager, Franchisee is responsible to ensure that such new or additional Store Manager is adequately trained, which includes a complete review of the Business Systems Manuals and which may include successfully completing Franchisor's Training Program, at Franchisee's cost.

Franchisee is also responsible for all travel, lodging, food, and other personal expenses incurred by all new or additional Store Managers attending the Training Program.

All Franchisee Store Managers, including new or additional Store Managers, are required to be certified under the then-current Circle K training requirements by Franchisor within the first 90 days of employment by Franchisee, regardless of the method that Franchisee selects to conduct training.

Franchisor will provide the Training Program to Franchisee or Franchisee's operations manager and one (1) Store Manager at no cost to Franchisee, except that Franchisee will be required to pay Franchisor's then-current fee for any third-party technology training and for the Regional In-Store Training.

Notwithstanding the above, if Franchisee receives a written notice of default that relates, in whole or in part, to Franchisee's failure to meet any operational standards, Franchisor may require, as a condition of curing the default, that Franchisee and/or Franchisee's manager(s) re-attend and successfully complete the training program, at Franchisee's expense.

Franchisor has the right to hold refresher and/or additional training programs for Franchisee and/or its Store Manager at a location or locations selected by Franchisor.

Attendance at such additional training shall be mandatory for Franchisee so long as there is no tuition charged by Franchisor for such programs.

Franchisee will be responsible for travel, lodging, food, and other personal expenses of those who attend on Franchisee's behalf.

Source: Item 22 — CONTRACTS (FDD page 100)

What This Means (2025 FDD)

According to Circle K's 2025 Franchise Disclosure Document, the franchisee is primarily responsible for the costs and expenses associated with training their employees. Specifically, the franchisee is responsible for ensuring their employees receive adequate training. This includes the costs associated with training new or additional store managers, such as travel, lodging, and food. All store managers must be certified under Circle K's training requirements within their first 90 days of employment, regardless of the training method used.

Circle K will provide the initial training program to the franchisee or their operations manager and one store manager at no cost, except for third-party technology training and the Regional In-Store Training, for which the franchisee must pay Circle K's then-current fee. However, the franchisee is responsible for all salaries, fringe benefits, payroll taxes, travel costs, lodging, food, and other personal expenses incurred by those attending the Training Program on the franchisee's behalf. If a franchisee fails to meet operational standards and receives a notice of default, Circle K may require the franchisee and/or their managers to re-attend and successfully complete the training program, at the franchisee's expense, as a condition of curing the default.

Circle K also has the right to hold refresher or additional training programs for the franchisee and/or their store manager. While attendance at these programs is mandatory if there is no tuition charged by Circle K, the franchisee is responsible for the travel, lodging, food, and other personal expenses of those who attend on their behalf. This comprehensive approach to training cost allocation ensures that Circle K franchisees are well-prepared to manage their stores while also bearing the financial responsibility for their employees' training and related expenses.

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.