Does Face Foundrie have the right to approve the Operating Partner?
Face_Foundrie Franchise · 2025 FDDAnswer from 2025 FDD Document
8.03 Management of Facial Bar.
- (a) Franchisee must designate on Exhibit B an "Operating Partner", which individual must be approved by Franchisor and: (a) own and control, or have the right to own and control (subject to terms and conditions reasonably acceptable to Franchisor), not less than a twenty percent (20%) interest in Franchisee's equity and voting rights; (b) have the authority to bind Franchisee regarding all operational decisions with respect to the Facial Bar; and (c) have completed Franchisor's training program to its satisfaction.
The Operating Partner must devote full-time efforts to the Facial Bar, and the Operating Partner may not engage in any other business or activity, directly or indirectly, that requires substantial management responsibility or time commitments or otherwise that may conflict with his or her obligations hereunder without our approval.
Franchisee shall provide Franchisor with a copy of any proposed arrangement, agreement or contract, and all amendments thereto, with the Operating Partner for Franchisor's prior review and approval, and upon approval thereof, executed copies thereof.
Franchisor shall have no responsibility, liability or obligation to any party to any such arrangement, agreement or contract, or any amendments thereto, on account of Franchisor's approval thereof or otherwise, and Franchisee agrees to indemnify and hold Franchisor harmless with respect thereto.
The Facial Bar at all times must be supervised by the Operating Partner who has completed the appropriate training programs to our satisfaction.
- (b) Salon Manager.
At least ninety (90) days prior to the opening of your Facial Bar, you agree to designate and to retain at all times during the term of this Agreement a Salon Manager who meets our qualifications to supervise the operation of your Facial Bar.
Your Salon Manager must devote full time and best efforts to the supervision of your Facial Bar and shall not engage in any other business, including the supervision or management of any additional Face Foundrié Facial Bar(s).
Each Face Foundrié Facial Bar must have a different Salon Manager.
You acknowledge and agree that the appointment of a Salon Manager will not relieve your Operating Partner of his or her supervisory responsibilities for the operation of your Facial Bar.
You and your Operating Partner shall remain fully responsible for your Salon Manager's performance.
Source: Item 22 — CONTRACTS (FDD pages 73–74)
What This Means (2025 FDD)
According to Face Foundrie's 2025 Franchise Disclosure Document, the franchisor retains the right to approve the franchisee's Operating Partner. The Operating Partner is required to own at least 20% of the franchisee's equity and voting rights, have the authority to make operational decisions for the Facial Bar, and complete Face Foundrie's training program.
The FDD specifies that the franchisee must designate an Operating Partner who is approved by Face Foundrie. This individual must own or have the right to own at least 20% interest in the franchisee's equity and voting rights. The Operating Partner is responsible for binding the franchisee on all operational decisions related to the Facial Bar and must complete Face Foundrie's training program to the franchisor's satisfaction.
If the Operating Partner ceases to own the required equity or fails to meet Face Foundrie's requirements, the franchisee must designate a new Operating Partner within 30 days for Face Foundrie's review and approval. The names of the Operating Partner and Salon Manager must be provided to Face Foundrie in writing, along with any information required to determine if these individuals meet the franchisor's qualifications. Franchisees must promptly notify Face Foundrie if an Operating Partner or Salon Manager can no longer fulfill their duties and take corrective action within 30 days.
This approval process ensures that the Operating Partner meets Face Foundrie's standards and is qualified to manage the Facial Bar. It also allows Face Foundrie to maintain consistency and quality across all franchise locations. The Operating Partner's full-time commitment and completion of the training program are essential for the successful operation of the Face Foundrie Facial Bar.