factual

What training requirements in the Franchise Agreement must the General Manager of a Crave franchise satisfy?

Crave Franchise · 2025 FDD

Answer from 2025 FDD Document

s set forth in the Manual as defined herein or otherwise in writing by us;

  • 6.3.2 The General Manager shall devote full time and best efforts to the supervision and management of the Franchised Business;
    • 6.3.3 The General Manager shall be an individual acceptable to us; and
  • 6.3.4 The General Manager shall satisfy the training requirements set forth in Section 6.4. If, during the term of this Agreement, the General Manager is not able to continue to serve in such capacity or no longer qualifies to act as such in accordance with this Section, you shall promptly (not later than seven (7) days after the event) notify us and designate a replacement within thirty (30) days after the General Manager ceases to serve, such replacement being subject to the same qualifications listed above (including completing all training and obtaining all certifications required by us). You shall provide for interim management of the Franchised Business until such replacement is so designated, such interim management to be conducted in accordance with the terms of this Agreement. Any failure to materially comply with the requirements of this Section 6.3 shall be deemed a material event of default under Section 17.1.3(o) hereof.

6.4 Training

You agree that it is necessary to the continued operation of the System and the Franchised Business that your personnel receive such training as we may reasonably require, and accordingly agree as follows:

6.4.1 (a) Not later than thirty (30) days prior to the scheduled opening of the Franchised Business, two (2) trainees shall have completed, to our reasonable satisfaction, our initial training program, including classroom training and training in an operating Franchised Business at such location(s) as may be designated by us. Your trainees must include you or your General Manager. If you

request that we provide our initial training program to any additional trainees, you shall pay our thencurrent, per person training fee for each additional trainee. You shall be responsible for any and all expenses incurred by your trainees in connection with any initial training program, including, without limitation, costs of travel, lodging, meals and applicable wages.

  • (b) We shall determine, in our reasonable discretion, whether you and your General Manager have satisfactorily completed initial training. If the initial training program is (i) not completed within the timeframe required by us, (ii) not satisfactorily completed by the General Manager, or (iii) if we in our reasonable business judgment, based upon the performance of the General Manager, determine that the training program cannot be satisfactorily completed by any such person, you shall designate a replacement to satisfactorily complete such training at your expense, including payment of our then-current training fee. If the replacement General Manager cannot complete the initial training program to our satisfaction, we have the right to terminate this Agreement. Any General Manager subsequently designated by you shall also receive and complete such initial training before you will be permitted to open your Franchised Business.
  • (c) Any manager subsequently designated by you must also receive and complete the initial training program to our satisfaction, even if this requires sending that manager to our headquarters training program, at your expense. We reserve the right to charge a reasonable fee for the initial training we provide to a replacement or successor employee if we have not approved you to provide the training. You must also pay for all expenses you, your managers and other personnel incur for any training program, including costs of travel, lodging, meals and applicable wages. We may approve you to train replacement managers under our training program before permitting you to train your entire staff if this Agreement is for your third or later Franchised Business. You may not train any personnel until we have approved you as a trainer.
  • 6.4.2 In connection with the opening of the Franchised Business, we shall provide you with one (1) of our representatives to provide on-site opening assistance and training for up to two (2) days around your Franchised Business' opening. If you request that our representative provide additional days of on-site assistance, you agree to reimburse all expenses our representative incurs while providing the additional assistance, including, without limitation, our then-current per diem fee and any additional travel, lodging and meals expenses. If this Agreement is for your second (2nd) or later Franchised Business, we reserve the right to reduce the duration ofsuch representative's visit or to not provide pre-opening assistance and training.

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, the General Manager must satisfy the training requirements outlined in Section 6.4 of the Franchise Agreement. Specifically, not later than 30 days prior to the scheduled opening of the Franchised Business, the General Manager must complete Crave's initial training program to the franchisor's reasonable satisfaction. This program includes both classroom training and on-the-job training at an operating Crave location designated by the franchisor.

The franchisor determines whether the General Manager has satisfactorily completed the initial training. If the General Manager does not complete the training within the required timeframe, or if their performance is deemed unsatisfactory, Crave requires the franchisee to designate a replacement who must also satisfactorily complete the training at the franchisee's expense, including the then-current training fee. If the replacement General Manager also fails to complete the training to Crave's satisfaction, Crave reserves the right to terminate the Franchise Agreement.

Any subsequently designated General Manager must also receive and complete the initial training program before the Franchised Business is permitted to open. The franchisee is responsible for all expenses incurred by the General Manager in connection with the initial training program, including travel, lodging, meals, and applicable wages. In addition to the initial training, Crave will provide on-site opening assistance and training for up to two days around the Franchised Business's opening, with additional days available at the franchisee's expense.

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.