What level of involvement is required of the Managing Owner in the development and operation of a Deer Solution franchised business?
Deer_Solution Franchise · 2025 FDDAnswer from 2025 FDD Document
At all times, the Managing Owner must manage the operations of the Franchised Business.
The Managing Owner must possess and maintain an ownership and equity interest in the Franchisee such that said individual owns, holds and controls not less than 25% of the equity and ownership interests in Franchisee.
- (2) If Franchisee is a Corporate Entity, upon the death or permanent disability of Franchisee's Managing Owner, the remaining Owners within a reasonable time, which shall not exceed 30 days from the date of death or permanent disability, must appoint a new Managing Owner that is approved by Franchisor.
The appointed Managing Owner must attend and successfully complete the Training Program within 60 days of the appointment.
If Franchisee's Deer Solution Business is not being managed by a Franchisor approved Managing Owner (as applicable) within 30 days after such death or permanent disability, Franchisor is authorized, but is not required, to immediately appoint a manager to maintain the operations of Franchisee's Deer Solution Business for, and on behalf of, Franchisee at Franchisee's sole costs until an approved Managing Owner is able to assume the management and operation of Franchisee's Deer Solution Business.
Franchisor's appointment of a manager for Franchisee's Deer Solution Business does not relieve Franchisee of its obligations under this Agreement, including this Article 14.D., or constitute a waiver of Franchisor's right to terminate this Agreement pursuant to Article 16, below.
Source: Item 23 — RECEIPTS (FDD pages 55–246)
What This Means (2025 FDD)
According to Deer Solution's 2025 Franchise Disclosure Document, if the franchisee is a corporate entity, the franchised business must be exclusively managed and operated by the franchisee's Managing Owner. The Managing Owner must also possess and maintain at least 25% of the equity and ownership interests in the franchise.
The Managing Owner is expected to manage the operations of the Deer Solution franchise at all times. If the Managing Owner dies or becomes permanently disabled, the remaining owners have 30 days to appoint a new Managing Owner approved by Deer Solution.
In the event that a Managing Owner cannot manage the Deer Solution business due to death or disability, Deer Solution is authorized to appoint a manager to maintain operations at the franchisee's expense until a new Managing Owner is approved. This appointment does not relieve the franchisee of their obligations under the agreement. Deer Solution can charge a reasonable fee for these management services and may cease providing them at any time. The appointed Managing Owner must attend and successfully complete the Training Program within 60 days of the appointment.