How does the Southern Steer FDD define an 'Owner' of the Franchisee?

According to Southern Steer's 2025 Franchise Disclosure Document, an "Owner" is defined as any person or entity that holds an ownership stake in the franchisee's business. This includes various forms of ownership depending on the franchisee's business structure.

Specifically, if the franchisee is a corporation, an owner is someone who owns shares of capital stock. If the franchisee is a limited liability company (LLC), an owner is a member with membership interests. For partnerships, an owner holds partnership interests, and for limited partnerships, an owner can have limited or general partnership interests. The definition also encompasses any other kind or type of ownership interest in the franchisee entity.

This broad definition is important because the FDD outlines various obligations and restrictions that apply not only to the franchisee entity itself but also to its owners. For example, owners may be required to sign personal guarantees, and transfers of ownership interests may be subject to franchisor approval. Therefore, anyone considering becoming an owner of a Southern Steer franchise should carefully review the FDD to understand their rights and responsibilities.