What written agreement must the manager of an Exit franchise sign?
Exit Franchise · 2025 FDDAnswer from 2025 FDD Document
Your business must be directly supervised "on premises" by a manager who has successfully completed EXIT's training programs. The on-premises manager cannot have an interest or business relationship with any of EXIT's competitors. The manager need not have an ownership interest in your corporate or partnership Franchise. The manager must sign a written agreement to maintain confidentiality of the proprietary information described in ITEM 14 and to conform with the covenants not to compete described in ITEM 17 of this Disclosure Document.
Source: Item 15 — OBLIGATION TO PARTICIPATE IN THE ACTUAL OPERATION OF THE FRANCHISE BUSINESS (FDD page 27)
What This Means (2025 FDD)
According to Exit's 2025 Franchise Disclosure Document, the on-premises manager of an Exit franchise must sign a written agreement. This agreement serves two primary purposes: maintaining the confidentiality of Exit's proprietary information, as detailed in Item 14 of the FDD, and adhering to the covenants not to compete, which are outlined in Item 17 of the FDD.
This requirement ensures that sensitive business information remains protected and that the manager does not engage in activities that could harm Exit's competitive position. The manager's agreement to maintain confidentiality is a standard practice in franchising, designed to safeguard trade secrets, marketing strategies, and other proprietary assets. Similarly, the non-compete covenant prevents the manager from leveraging their knowledge of the Exit system to benefit a competing business, either during their tenure or for a specified period afterward.
For a prospective Exit franchisee, this means that they must ensure their on-premises manager is willing to sign this agreement as a condition of their employment. It also highlights the importance of carefully reviewing Items 14 and 17 of the FDD to fully understand the scope of the proprietary information and the specific terms of the non-compete obligations. This requirement helps Exit maintain consistency and protect its brand standards across all franchise locations.