What are 'Virtual Programs' for Engineering For Kids, as defined in this section?
Engineering_For_Kids Franchise · 2025 FDDAnswer from 2025 FDD Document
In no way limiting the terms of Sections 7.1 or 7.2 above, the following terms apply to recorded videos and other programs and materials prepared to be provided to customers of Engineering for Kids Businesses through designated online and "virtual" settings that we prescribe and/or approve in writing (the "Virtual Programs"). We have developed Virtual Programs for use by Engineering for Kids Businesses as a supplemental method of offering Programs during periods when Engineering Kids Businesses are under governmental restrictions that impair their ability to conduct in-person Programs. The Virtual Programs are not intended as a replacement for in-person Programs and you must offer in-person Programs unless legally restricted from doing so or we provide written modification of that requirement. With respect to Virtual Programs, we have the right to (a) require that you offer and conduct Virtual Programs; (b) right to designate some or all Virtual Programs as Core Programs or as optional Programs; and (c) discontinue and disapprove any or all Virtual Programs in the future. Unless otherwise specified, the terms and conditions of this Agreement regarding "Programs," will apply to "Virtual Programs."
Source: Item 23 — RECEIPTS (FDD pages 53–138)
What This Means (2025 FDD)
According to Engineering For Kids' 2025 Franchise Disclosure Document, Virtual Programs are defined as recorded videos and other programs and materials prepared to be provided to customers through designated online and virtual settings that Engineering For Kids prescribes or approves in writing. These programs are intended to supplement in-person programs, especially during times when governmental restrictions limit the ability to conduct in-person activities.
The Engineering For Kids franchise agreement emphasizes that Virtual Programs are not meant to replace in-person programs. Franchisees are expected to offer in-person programs unless legally restricted or given written permission otherwise by Engineering For Kids. This suggests that the core business model relies on physical presence and interaction, with virtual offerings serving as a contingency or additional service.
Engineering For Kids retains significant control over Virtual Programs. They have the right to require franchisees to offer them, designate them as either core or optional programs, and discontinue them at any time. Unless otherwise specified, all terms and conditions in the franchise agreement regarding "Programs" also apply to "Virtual Programs", indicating that these online offerings are subject to the same rules and guidelines as traditional programs.
For a prospective franchisee, this means that while Virtual Programs can provide flexibility and a way to continue operations during unforeseen circumstances, they are subject to the franchisor's oversight and may not be a permanent or primary revenue stream. Franchisees should be prepared to adapt to changes in the virtual program offerings and understand that their main focus should be on developing and maintaining in-person programs.