What is the role of the Operating Partner in the management of a Clean Your Dirty Face Facial Bar?
Clean_Your_Dirty_Face Franchise · 2025 FDDAnswer from 2025 FDD Document
If you are an entity, you must identify an Operating Partner, who must be a natural person with at least a 25% ownership interest and voting power in you. We may require our approval of the Operating Partner. You (or your Operating Partner) are responsible for the management, direction, business development, and control of your CYDF Facial Bar, subject to the terms and conditions of the Franchise Agreement. You (or our Operating Partner) must supervise the management and day-to-day operations of your CYDF Facial Bar on a full-time basis. Your CYDF Facial Bar must always be under the direct on-site supervision of one or more persons who have completed our Training Program.
You (or your Operating Partner) must complete all required training to our satisfaction. In the event that your Operating Partner ceases to own at least its required ownership interest in you, you must recruit a new Operating Partner within 6 days of the change in ownership and submit the identity of the new Operating Partner to us for our review and approval. If you appoint a new Operating Partner after you open your CYDF Facial Bar, the Operating Partner must complete the Training Program within 30 days after the date of appointment. You must keep us informed at all times of the identity of the Operating Partner.
If you are a corporation, limited liability company, or partnership, your direct and indirect owners must personally guarantee your obligations under the Franchise Agreement and agree to be bound personally by every contractual provision, whether containing monetary or nonmonetary obligations, including the covenant not to compete. This "Guaranty and Assumption of Obligations" is attached as Exhibit D to the Franchise Agreement. In addition, if these owners are married, their spouse may have to consent in writing to their signing of the guaranty.
Source: Item 15 — OBLIGATION TO PARTICIPATE IN THE ACTUAL OPERATION OF THE FRANCHISE BUSINESS (FDD page 43)
What This Means (2025 FDD)
According to Clean Your Dirty Face's 2025 Franchise Disclosure Document, if the franchisee is an entity, they must designate an Operating Partner. This Operating Partner must be a natural person holding at least a 25% ownership interest and voting power in the franchisee entity. Clean Your Dirty Face retains the right to approve the selected Operating Partner.
The Operating Partner (or the franchisee, if not an entity) is responsible for the overall management, direction, business development, and control of the Clean Your Dirty Face Facial Bar, adhering to the terms and conditions outlined in the Franchise Agreement. This individual must also supervise the management and day-to-day operations of the Facial Bar on a full-time basis. The Facial Bar must always have direct, on-site supervision by at least one person who has successfully completed Clean Your Dirty Face's Training Program.
Should the Operating Partner's ownership fall below the required 25% threshold, the franchisee must recruit a new Operating Partner within 6 days and submit their identity to Clean Your Dirty Face for approval. Any newly appointed Operating Partner must complete the Training Program within 30 days of their appointment. The franchisee is obligated to keep Clean Your Dirty Face informed of the current Operating Partner's identity at all times.
Furthermore, if the franchisee is a corporation, limited liability company, or partnership, all direct and indirect owners must personally guarantee the franchisee's obligations under the Franchise Agreement. This guarantee extends to every contractual provision, including both monetary and nonmonetary obligations, such as the covenant not to compete. This agreement is formalized in a "Guaranty and Assumption of Obligations," attached as Exhibit D to the Franchise Agreement. If these owners are married, their spouses may also be required to provide written consent to the guaranty.