If the Franchisee is an entity, what are the requirements for Principal and Manager training for Kidokinetics?
Kidokinetics Franchise · 2024 FDDAnswer from 2024 FDD Document
6.1. Initial Management Training Program. Franchisee, or if Franchisee is an entity, Franchisee's principals (defined as all holders of an ownership interest, office or directorship in Franchisee and of any entity directly or indirectly controlling Franchisee, and any other person or entity controlling, controlled by or under common control with Franchisee and hereinafter referred to collectively as "Principals") having management responsibility for the Kidokinetics Business and Franchisee's Manager (if different from the Principal) shall attend and complete, to Franchisor's sole and absolute satisfaction, Franchisor's next scheduled initial management training program ("Initial Management Training Program") unless the next scheduled Initial Management Training Program is scheduled within 15 days of the Effective Date of this Agreement in which event Franchisee will attend the next scheduled training program. The Initial Training Program pertains to operation of the Franchised Business. The Initial Management Training Program consists of a course conducted at Franchisor's headquarters, currently in Davie, Florida, or at a location within the vicinity of Franchisor's headquarters. Franchisor reserves the right to designate an alternate location for the Initial Management Training Program. If Franchisee is an entity, it must at all times during the term of this Agreement have a Principal and a Manager who have successfully completed the Initial Management Training Program to Franchisor's sole and complete satisfaction. Franchisee, Franchisee's Principals with management responsibility, and Franchisee's Manager may attend the Initial Management Training Program at no charge prior to opening the Kidokinetics Business ("Initial
- Trainees").
Notwithstanding the foregoing, Franchisee will be required to pay all of the expenses of the Initial Trainees, including, without limitation, costs of travel, lodging, meals and wages.
Source: Item 22 — CONTRACTS (FDD page 59)
What This Means (2024 FDD)
According to Kidokinetics's 2024 Franchise Disclosure Document, if the franchisee is an entity, certain individuals must complete the initial management training program. Specifically, all holders of an ownership interest, office, or directorship in the franchisee entity, as well as in any entity directly or indirectly controlling the franchisee, are considered 'Principals' and must attend the training if they have management responsibility. Additionally, the franchisee's Manager, if different from the Principal, is also required to attend and complete the training to the franchisor's satisfaction.
Kidokinetics requires that the Principal and Manager complete the next scheduled initial management training program unless it is scheduled within 15 days of the agreement's effective date, in which case they will attend the subsequent program. The initial training program focuses on the operation of the franchised business and is conducted at Kidokinetics's headquarters, currently in Davie, Florida, or a nearby location. The franchisor retains the right to change the location of the training program.
Kidokinetics mandates that if the franchisee is an entity, it must always have a Principal and a Manager who have successfully completed the Initial Management Training Program. The franchisee is responsible for covering all expenses associated with the Initial Trainees, including travel, lodging, meals, and wages. This ensures that the business is always operated by individuals who are properly trained and meet Kidokinetics's standards.