Which section of the Face Foundrie Franchise Agreement discusses owner’s participation, management, and staffing?
Face_Foundrie Franchise · 2025 FDDAnswer from 2025 FDD Document
8. YOUR ORGANIZATION AND MANAGEMENT.
8.01 Organizational Documents. If Franchisee is an Entity as of the date hereof, or if the original Owner(s) of the franchise sign this Agreement in their individual capacities and thereafter elect to Transfer this Agreement (as permitted herein) to an Entity, the Franchisee and each of the Owners represent, warrant and agree that: (a) the Franchisee Entity is duly organized and validly existing under the laws of the state of its organization, and, if a foreign corporation, partnership, limited liability company or other legal entity, it is duly qualified to transact business in the state in which the Facial Bar is located; (b) the Franchisee Entity has the authority to execute and deliver this Agreement and to perform Franchisee's obligations hereunder; (c) true and complete copies of the articles or certificate of incorporation, partnership agreement, bylaws, subscription agreements, buy-sell agreements, voting trust agreements and all other documents relating to the ownership, organization, capitalization, management and control of the Franchisee Entity have been delivered to
Franchisor and all amendments thereto shall be promptly delivered to Franchisor; and (d) the Franchisee Entity's activities are restricted to those necessary solely for the development, ownership and operation of one or more Facial Bars in accordance with this Agreement and in accordance with any other agreements entered into with Franchisor or any of its Affiliates.
8.02 Disclosure of Ownership Interests. Attached hereto as Exhibit B is a description of the legal organization of Franchisee, the names and addresses of each Owner and the percentage of such interest owned by such Owner. Franchisee agrees to notify Franchisor in writing whenever there is any change in the organizational structure or ownership interest of Franchisee as set forth on Exhibit B. Franchisor may require each Owner owning an interest in Franchisee and each Owner's spouse to execute the Personal Guaranty attached hereto as Exhibit C.
8.03 Management of Facial Bar.
Source: Item 9 — FRANCHISEE'S OBLIGATIONS (FDD pages 31–32)
What This Means (2025 FDD)
According to Face Foundrie's 2025 Franchise Disclosure Document, Section 8 of the Franchise Agreement, titled "YOUR ORGANIZATION AND MANAGEMENT," addresses aspects of owner participation, management, and staffing. Specifically, section 8.01 discusses organizational documents, section 8.02 covers disclosure of ownership interests, and section 8.03 generally refers to the management of the Facial Bar.
Section 8.01 outlines the requirements for franchisees who operate as an entity, detailing the necessary legal and organizational documentation that must be provided to Face Foundrie. This includes ensuring the entity is properly organized and authorized to conduct business in the relevant state. Section 8.02 requires franchisees to disclose the legal organization, names, addresses, and ownership percentages of all owners in Exhibit B, and to notify Face Foundrie of any changes to this information. Face Foundrie may also require owners and their spouses to execute a personal guaranty.
While section 8.03 is mentioned as relating to the management of the Facial Bar, the provided excerpt does not include the specific details of this section. A prospective franchisee should review the complete Section 8.03 in the Franchise Agreement to fully understand the obligations and requirements related to the management and staffing of the Face Foundrie Facial Bar.