![]() Payable only if the royalties actually paid by the franchisee in a year of operations for each subterritory is less than the total minimum royalty. While not obligated to do so, the franchisor may, in its discretion, introduce franchisees to third party financing sources that may, if they meet their qualifications, supply financing options for items required as part of the initial investment.ĭepending upon the franchisee’s year of operation, the minimum royalty will range from $1,200, pro-rated as necessary to account for operations for a partial calendar year in the first year of operation, to $4,000 per subterritory per calendar year. The franchisor does not guarantee any debts, leases or other obligations for franchisees. However, the franchisor may, in its sole discretion, allow the franchisee to pay the initial franchise fee with respect to some of the subterritories in equal monthly installments without interest if payments are timely made. If requirements are met, franchisees can renew for three additional five-year terms.įinancial Assistance: The franchisor generally does not offer financing. Term of Agreement and Renewal: The length of the initial franchise term is five years. Franchisees may only sell the goods and services approved by the franchisor. Franchisees must operate the franchised business and perform all services in accordance with the operating guidelines and quality standards the franchisor establishes. The principal operator must devote his or her full time, attention and effort to the franchised business. The minimum share ownership requirement is generally 20% though the franchisor reserves the right to require a different amount in its discretion before the Franchise Agreement is signed. Obligations and Restrictions: The franchisor requires that the franchised business be under the direct supervision at all times of a person who owns at least a minimum beneficial share ownership in the franchised business, as specified in the Franchise Agreement (the “principal operator”). Subject to the franchisor’s rights with respect to national accounts (as described by the franchisor), so long as franchisees are in full compliance with the terms and conditions of their Franchise Agreement, the franchisor will not establish, operate or grant to anyone else a franchise to establish or operate a 1-800-GOT-JUNK? business in the territory. However, the non-exclusivity extends only to the franchisor’s reserved rights with respect to national accounts. The territory will consist of a minimum of eight of these areas, and each one will be considered a “subterritory.” Franchisees will not receive an exclusive territory. Census Bureau (or such other source as the franchisor may indicate to the franchisee). Before signing the Franchise Agreement, the franchisor will determine the protected territory by developing geographic areas with base populations of 62,500 to 75,000 based on the most recently published data from the U.S. Territory Granted: Franchisees will receive a protected territory in which to operate the franchised business. ![]() Franchisees must attend, and must cause their principal operator, employees and representatives to attend, periodic refresher training, service training, management training and other training courses as required by the franchisor, at such times and locations as it may determine. ![]() Within 180 days of the business launch, the franchisor will do a field visit to revisit training in the field at the franchisee’s operation. It will generally take five business days. In-field training shadowing an existing franchise is required before the commencement of the franchised business’ operations. Each day of training will begin at approximately 8:00 AM and will end at 5:00 PM. All training takes place at 1-800-GOT-JUNK?’s principal offices in Vancouver, British Columbia over the course of five business days. The training covers all aspects of the business operating system, consisting of both in-class training and in-field training. Training Overview: The franchisor provides an initial training program for the principal operator and any other director, officer, or shareholder of the entity that the franchisor requires, which both must complete to the franchisor’s satisfaction. The franchisor offers franchises for the operation of retail junk removal businesses under the name “1-800-GOT-JUNK?” The system includes proprietary software, brand development, training, marketing programs and access to the exclusive service of the call center and online booking system, as well as the mark “1-800-GOT-JUNK?” and related marks. Franchise Description: 1-800-GOT-JUNK? LLC is the franchisor.
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