factual

What is the Gold Star franchisee required to do if they change the identity of the manager?

Gold_Star Franchise · 2025 FDD

Answer from 2025 FDD Document

FRANCHISEE shall designate, and give the COMPANY written notice of the name of the individual that will serve as manager (such manager and any area manager being referred to hereinafter individually as a "Manager" and collectively as the "Managers") of the Store.

The identity of the Manager cannot be changed without prior written notice to the COMPANY of the identity of the replacement Manager, and FRANCHISEE shall be required to promptly comply with the applicable provisions of Section 2 hereof with respect to any training required of such replacement Manager.

Source: Item 23 — Receipts (FDD pages 53–163)

What This Means (2025 FDD)

According to Gold Star's 2025 Franchise Disclosure Document, franchisees must provide prior written notice to Gold Star of the identity of any replacement manager. Furthermore, the franchisee is required to ensure that the replacement manager promptly completes any training required by Gold Star, as outlined in Section 2 of the franchise agreement.

This requirement ensures that all Gold Star locations are managed by individuals who meet Gold Star's standards and are properly trained to operate the business according to the established system. By requiring prior notice and training, Gold Star maintains control over the quality and consistency of its brand.

For a prospective franchisee, this means that changing a manager involves more than just hiring a new person. It requires notifying Gold Star in writing and ensuring the new manager completes the necessary training programs. This could involve additional costs and time, which the franchisee needs to factor into their operational planning. Failing to comply with these requirements could potentially lead to a breach of the franchise agreement.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.