What exhibit outlines the Principal Owner's Guaranty for a Creative World School franchise?
Creative_World_School Franchise · 2025 FDDAnswer from 2025 FDD Document
| This Guaranty must be signed by the principal owners (referred to as "you" for purposes | ||
|---|---|---|
| of this Guaranty only) of(the "Business Entity") under the | ||
| Agreement | dated | , 20 (the |
| "Agreement") with CREATIVE WORLD SCHOOLS FRANCHISING COMPANY, INC., with its | ||
| principal place of business at 25110 Bernwood Drive, Suite #104, Bonita Springs, Florida 34135 | ||
| ("us," or "our" or "we"). |
Source: Item 22 — CONTRACTS (FDD page 80)
What This Means (2025 FDD)
The 2025 Creative World School FDD does not explicitly state which exhibit outlines the Principal Owner's Guaranty. However, there is a passage that refers to a guaranty signed by the principal owners of the business entity entering into the agreement with Creative World Schools Franchising Company, Inc. This suggests that a separate guaranty agreement exists and is likely detailed in one of the exhibits.
To determine which exhibit contains the Principal Owner's Guaranty, a prospective franchisee should carefully review all exhibits attached to the Franchise Disclosure Document. It is common practice for franchise agreements to require a personal guaranty from the principal owners, ensuring their commitment to the franchise's obligations. This guaranty typically holds the owners personally liable for the business's debts and obligations under the franchise agreement.
It is essential for potential Creative World School franchisees to identify and thoroughly understand the terms of the Principal Owner's Guaranty before signing the franchise agreement. They should consult with a legal professional to assess the implications of the guaranty and ensure they are fully aware of their personal obligations and liabilities.