Under what circumstances does Gold Star require the franchisee to pay for attendance at training programs?
Gold_Star Franchise · 2025 FDDAnswer from 2025 FDD Document
nd successfully complete the COMPANY's initial training program, such that at all times FRANCHISEE shall comply with the Trainee requirements set forth in this Section 2.1. Any such initial training for replacements Trainees shall be at FRANCHISEE's expense pursuant to Section 2.2 below.
- 2.2 Initial Training. If FRANCHISEE is only required to have one Trainee pursuant to Section 2.1 above, the COMPANY shall provide the initial training program for one additional person who has been designated as a Manager at such locations as the COMPANY selects. No fee shall be charged by the COMPANY for the initial training of such Trainees. Initial training will be provided to any additional persons only if FRANCHISEE pays the COMPANY, for each additional enrollee, the standard fee then charged by the COMPANY to other Restaurant franchisees for such additional enrollment.
- 2.3 On-Site Training. The COMPANY also shall provide an initial training program at the Retail Location for the initial crew of the Restaurant for such period as the COMPANY deems appropriate in its sole discretion. The initial crew must attend and successfully complete such program to the COMPANY's satisfaction prior to the opening of the Store. No fee shall be charged by the COMPANY for such program.
- 2.4 Additional Training. The COMPANY may at its option make available, or require attendance at, refresher or other additional training programs as it deems appropriate. No fee shall be charged by the COMPANY for any such training program at which attendance of FRANCHISEE or any other representative of FRANCHISEE designated by the COMPANY is mandatory. FRANCHISEE must pay the COMPANY for attendance of any optional attendee at any mandatory program and for attendance of any attendee at any optional training program made available by the COMPANY the standard fee then charged by the COMPANY to other Restaurant franchisees for such programs.
- 2.5 Expenses.
Source: Item 23 — Receipts (FDD pages 53–163)
What This Means (2025 FDD)
According to Gold Star's 2025 Franchise Disclosure Document, franchisees may be required to pay for training in specific situations. The initial training program for a replacement trainee is at the franchisee's expense. While initial training is provided at no cost for one additional manager if only one trainee is required, franchisees must pay a standard fee for each additional person enrolled in initial training beyond this.
Furthermore, while Gold Star does not charge a fee for mandatory refresher or additional training programs, franchisees must pay the standard fee for any optional attendee at a mandatory program or for any attendee at an optional training program. Franchisees are also responsible for all travel, lodging, meals, and other related expenses incurred by themselves, their employees, and representatives during any training program.
In summary, franchisees can expect to incur training costs for replacement trainees, additional enrollees beyond the initially covered manager, and for attendance at optional training programs. It is important for prospective Gold Star franchisees to factor these potential training expenses into their overall investment and operational budget.