Is a Designated Manager required to complete the Initial Training Program for Red Wagon Club?
Red_Wagon_Club Franchise · 2024 FDDAnswer from 2024 FDD Document
(currently $1,000 per trainer, per day, plus costs and expenses).
If a Designated Manager is hired during the operation of your RWC Business, the Designated Manager will be required to complete the Initial Training Program to our satisfaction before the Designated Manager may provide services for your RWC Business. You will be responsible for paying us the thencurrent fee to administer the Initial Training Program to any of your future Designated Managers as well as any additional expenses incurred in connection with such training, including any costs associated with your Designated Manager attending such training at our designated training site. This fee may increase without notice to you.
If we determine that your Operating Principal or your Designated Manager, if applicable, are not properly trained to provide to clients the services offered by your RWC Business, we may require such person to cease providing services for your RWC Business and/or to be trained by us at our then-current training fee (currently $1,000 per trainer, per day, plus costs and expenses). In addition, if we determine that your Operating Principal or your Designated Manager require refresher training during the term of your Franchise Agreement, we may require such individuals to retake all or a portion of the Initial Training Program. Additional training will be provided at a time and location of our choice, whether requested by you or us. You will be charged the then-current rate for additional training, plus the cost of transportation, lodging, and other associated expenses. If your Operating Principal or your Designated Manager, if applicable, are unable or unwilling to complete the additional required training to our satisfaction, we may terminate the Franchise Agreement. If you or your Operating Principal or your Designated Manager, if applicable, complete the training programs to our satisfaction and have not expressly informed us at the end of the program that your Operating Principal or your Designated Manager do not feel sufficiently trained in the operation of an RWC Business, then you and they will be deemed to have been trained sufficiently to operate an RWC Business.
We currently offer the Initial Training Program on a regularly scheduled, as-needed basis, but we may periodically modify this schedule at any time. Should you request that we send on-site assistance to your RWC Business at any time during the term of your Franchise Agreement, or should we find it necessary to provide such on-site assistance for any reason, you will be charged then-current training fee, per trainer, plus travel and living expenses and out-of-pocket costs. We may increase this charge at any time.
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS AND TRAINING (FDD pages 24–31)
What This Means (2024 FDD)
According to Red Wagon Club's 2024 Franchise Disclosure Document, if a franchisee hires a Designated Manager, that manager is required to complete the Initial Training Program. This training must be completed to Red Wagon Club's satisfaction before the Designated Manager can provide services for the Red Wagon Club business. The franchisee is responsible for paying the then-current fee to administer the Initial Training Program to any future Designated Managers, as well as any additional expenses incurred in connection with the training, including costs associated with attending the training at Red Wagon Club's designated training site. The fee for this training may increase without notice.
The Initial Training Program is provided to the Operating Principal and Designated Manager, if applicable, at no charge, as it is covered by the Initial Franchise Fee. The Initial Training Program combines digital and in-person training. The digital portion consists of a minimum of 10 weeks of virtual training, including a weekly pre-recorded video, a weekly group coaching call, and a homework assignment. Franchisees will attend the group coaching call with other franchisees from various locations. Red Wagon Club will also provide an individual firm coaching call a minimum of twice per month. The in-person training occurs at Red Wagon Club's office in Pittsburgh, PA, and is estimated to last approximately 3 to 5 days, though Red Wagon Club may conduct the in-person sessions virtually or at another location.
The Operating Principal and Designated Manager, if applicable, must complete the Initial Training Program to Red Wagon Club's satisfaction before opening the Red Wagon Club business for operations, and within 180 days of signing the Franchise Agreement. If they fail to do so, Red Wagon Club may require additional training. If additional training is necessary after completion of the Initial Training Program, Red Wagon Club may provide up to 3 additional days of training at the then-current fee for additional training, which is currently $1,000 per trainer, per day, plus costs and expenses. The franchisee must pay all travel and living expenses that the Operating Principal or Designated Manager incurs during any meetings and/or training courses and programs.