Who is responsible for employees' wages to attend initial training for a Deka Lash franchise?
Deka_Lash Franchise · 2024 FDDAnswer from 2024 FDD Document
igned by you.
ITEM 11 FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS AND TRAINING
Except as listed below, we are not required to provide you with any assistance.
Before Opening:
Initial Training. We provide an initial training program, currently four days long either virtual or in person. The Operations Onboarding & First Studio Opening Support Fee, paid at the time of purchase, covers the fees charged by us for the owners listed on the Franchise Agreement (up to two attendees). We charge $1,500 per person for other individuals to attend. You are responsible for your travel, lodging, transportation, meal costs and your employees' wages to attend initial training
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS AND TRAINING (FDD pages 32–40)
What This Means (2024 FDD)
According to Deka Lash's 2024 Franchise Disclosure Document, the franchisee is responsible for covering their employees' wages while they attend the initial training program. This initial training program is four days long and can be virtual or in person. The Operations Onboarding & First Studio Opening Support Fee covers the training fees for up to two owners listed on the Franchise Agreement. However, if additional individuals, such as employees, attend the training, the franchisee must pay $1,500 per person.
In addition to the training fees for additional attendees, the franchisee must also cover the costs of travel, lodging, transportation, and meals for themselves and their employees during the initial training. This means that franchisees need to budget not only for the direct costs of training but also for the indirect costs associated with sending employees to the training.
Franchisees should consider the financial implications of these costs when planning their initial investment and operating budget. It's important to factor in the wages, travel, and lodging expenses for all employees who will attend the training to get a clear picture of the total cost. This policy is fairly standard in the franchise industry, where franchisees typically bear the responsibility for their employees' training-related expenses.