If the Kitchen Solvers Developer is a legal entity, what does the term 'Control Group' mean?

According to Kitchen Solvers' 2025 Franchise Disclosure Document, if the Developer is a legal entity, the term "Control Group" refers to all owners of the Developer entity. If the Developer consists of one or more individuals, the Control Group includes all such individuals.

This definition is significant because Kitchen Solvers requires both the Developer and each owner within the Control Group to enter into a personal guaranty agreement. This agreement, detailed in Exhibit B of the franchise agreement, holds these individuals personally liable for the Developer's obligations under the Area Development Agreement. This is a common practice in franchising, as it provides the franchisor with additional security and recourse in case of default or breach of contract by the Developer.

Prospective Kitchen Solvers developers should carefully consider the implications of the personal guaranty. It means that their personal assets could be at risk if the development entity fails to meet its obligations. It is advisable to seek legal and financial counsel to fully understand the scope and potential consequences of this personal guarantee before entering into the Area Development Agreement with Kitchen Solvers.