What ongoing assistance and services does Cornwell Quality Tools provide?

this Disclosure for more details.)

Cornwell maintains a district management force, whose function is to assist you in the operation of your Dealership and to provide experience and direction in establishing and continuing your individual business. Since you are a totally independent businessperson, Cornwell and its managers cannot guarantee the success of your business.

• 1. Start-Up Time. The typical time between the signing of the franchise agreement and your beginning active operation of you dealership by selling tools is four to six weeks. That time period may be affected by delays in obtaining outside financing, obtaining your van or truck, weather conditions, and other demands on your schedule and demands of your District Manager who will provide training.
• 1. Ongoing Assistance and Training. During the operation of the franchise business, Cornwell will:
• (1) provide two weeks free on-site training to the Primary Operator of the Dealership and anyone else who will participate actively in its operation, through a district manager who will work directly with you, giving advice, support and recommendations (this on-site initial two weeks training will take place in the first month in which you operate the franchise); you are required to participate in the initial training. This on-site training will take place during the first month you operate the franchise and will include training in the following areas (Dealer Franchise Agreement, paragraph 8a):

• a. Merchandising
• b. Product Knowledge
• c. Routing
• d. Warranty
• e. Selling Techniques
• f. Collections
• g. Computer System
• h. Record Keeping
• i. Operation of the Business

The amount of training time you will receive in each of these areas will vary depending on your aptitude and previous work and/or business experience.

• (2) provide continuous supervision, assistance and services and a district manager will remain in communication with you providing advice, support, assistance, and coordinating meetings, including dealers and vendors (Dealer Franchise Agreement, paragraph 8a); and
• (3) provide you with a copy of Cornwell's Dealer Operations Guide (Operations Guide) which includes information regarding your day-to-day operation of the franchise.

Cornwell will make available to you combined informal and formal training opportunities depending on your individual requirements and background. You will not be charged for these training opportunities, but you are responsible for paying for any travel or accommodation expenses that you may incur. You are required to participate in the initial two (2) week training offered by the Cornwell District Manager.

Also, optional conferences and seminars are held from time to time, where business and product information is made available. No charge is made by Cornwell to you for participation in such conferences and seminars, but you are expected to pay your own expenses for attending.

Cornwell has divided the various states into what it considers to be suitable territories for dealers. This is based on the estimated number of potential customers for you, together with the size of the territory.

If your customer is the original end-user purchaser of a product manufactured by Cornwell ("Cornwell Hard Line") or of a new Kennedy steel roller cabinet, locker, cart, steel tool chest, or steel canopy for use with a Kennedy cabinet or tool chest ("Kennedy Tool Storage"), then your customer is entitled to a limited lifetime warranty that the product will be free of defects in material or workmanship under normal use and will conform to the description given them by Cornwell or Kennedy.

Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS AND TRAINING (FDD pages 43–51)