Is it mandatory for a Crave franchisee or one of the Principals to act as the General Manager?
Crave Franchise · 2025 FDDAnswer from 2025 FDD Document
You must designate and always retain an individual to serve as the general manager who will be a full-time employee responsible for the daily operation of the Franchised Business (the "General Manager"). The General Manager must have relevant food service experience, must satisfy our educational and business criteria as provided to you in the Manual or other written instructions, must satisfy the applicable training requirements in the Franchise Agreement, and must meet the qualifications, including completing all training and obtaining all certifications required by us to act as a General Manager. We recommend, but do not require, that you or one of the Principals acts as the General Manager. We do not require you to be actively involved in the daily operation of your Franchised Business, but you must still make sure that your Franchised Business is being operated according to the terms of your Franchise Agreement and the Manual. If you are not actively involved in the daily operation of your Franchised Business, then we may communicate with and rely on the decisions made by your General Manager. The General Manager does not have to own an equity interest in you or the franchise. The General Manager must be responsible for
the supervision and management of the Franchised Business and must devote full time and best efforts to this activity. If the General Manager cannot serve in the position or does not meet the requirements, he or she must be replaced within 30 days after the General Manager stops serving or no longer meets the requirements.
Source: Item 15 — OBLIGATION TO PARTICIPATE IN THE ACTUAL OPERATION OF THE FRANCHISE BUSINESS (FDD pages 48–49)
What This Means (2025 FDD)
According to Crave's 2025 Franchise Disclosure Document, while a franchisee must designate a General Manager for the daily operations of the franchised business, it is not mandatory for the franchisee or one of the Principals to fulfill this role. Crave recommends, but does not require, that the franchisee or a Principal act as the General Manager.
The General Manager must be a full-time employee with relevant food service experience who meets Crave's educational and business criteria, satisfies the training requirements outlined in the Franchise Agreement, and obtains all necessary certifications. The General Manager is responsible for supervising and managing the franchised business, dedicating their full time and best efforts to this activity. If the designated General Manager cannot fulfill their duties or no longer meets the requirements, they must be replaced within 30 days.
Crave does not require the franchisee to be actively involved in the daily operations, but the franchisee must ensure the business operates according to the Franchise Agreement and Manual. If the franchisee is not actively involved, Crave may communicate with and rely on the decisions made by the General Manager. The General Manager is not required to have an equity interest in the franchise.