What does the Hydrodog franchisor do with the information provided in the Principal Owner's Statement?
Hydrodog Franchise · 2025 FDDAnswer from 2025 FDD Document
ou will bear a legend referring to the restrictions of this Agreement; and you will provide us with copies of these documents for our review.
- (c) the Principal Owners Statement will completely and accurately describe all of your owners and their interests in you. A copy of our current form of Principal Owners Statement is attached to the Franchise Disclosure Document you were furnished;
- (d) you and your owners agree to revise the Principal Owners Statement as may be necessary to reflect any ownership changes and to furnish such other information about your organization or formation as we may request (no ownership changes may be made without our approval);
- (e) each of your owners during the Term will sign and deliver to us our standard form of Principal Owner's Guaranty undertaking to be bound jointly and severally by all provisions of this Agreement and any other agreements between you and us, and any
amendments or modifications thereto. A copy of our current form of Principal Owners Guaranty is attached to the Franchise Disclosure Document;
Source: Item 23 — RECEIPTS (FDD pages 43–166)
What This Means (2025 FDD)
According to Hydrodog's 2025 Franchise Disclosure Document, if a franchisee is a business organization, the Principal Owners Statement must completely and accurately describe all of the owners and their interests in the business. Hydrodog must receive copies of the business's organizational documents for review.
Hydrodog uses the Principal Owners Statement to keep track of who owns the franchise and their respective interests. This is important for maintaining control over the franchise system and ensuring that all owners are aware of and bound by the terms of the Franchise Agreement.
Furthermore, Hydrodog requires that the Principal Owners Statement be revised to reflect any ownership changes, and no ownership changes can be made without Hydrodog's approval. Each owner must also sign a Principal Owner's Guaranty, binding them to the Franchise Agreement. Hydrodog also requires true and correct copies of all documents and contracts governing the rights, obligations, and powers of the owners and agents.