Article 8. OBLIGATIONS OF FRANCHISOR
At this juncture, Freakie Fries and I have just two obligations. That is to form the Association, procure the trademark registration for Freakie Fries, and if not that name, then some other name, similar in scope.
The first phase of Freakie Fries is to acquire ten experienced restaurant professionals as beginning franchisees, who will assist me in getting Freakie Fries just right. They will be forming the Association with me and then all business will be conducted through the Association.
Beyond that, when there are several restaurants, our obligations prior to opening or shortly thereafter of the franchised business will be:
8.1 Territorial and Site Assistance.
We will assist you in obtaining the necessary information and assist you in the selection of your base site within the territory. The final selection is your primary responsibility subject to our approval of your choice
8.2 Confidential Business Operation Manual.
We will loan you one set of the Confidential Operations Manual covering our operational procedures consisting of suggested marketing tool descriptions, market identification and penetration, maintenance and follow up programs, suggested media, accounting procedures, hiring and training, publicity and subscriber services, among others.
8.3 Franchisee Training.
It is our obligation, within 60 days before your opening, to provide you and 1 acceptable designated person approved by us, an initial training period of at least 4 business days which will consist of at least 8 hours per day (including one hour for lunch) at a designated Freakie Fries location.
Upon your opening, we will provide a minimum of 4 business days to a maximum of 15 business days (if we deem additional 8 days are necessary) of on site training at your location. The initial training will cover all aspects of the franchise operation including but not limited to administration, marketing and operation and will include classroom, and some on-site training.
8.4 List of Supplies and Equipment and Negotiations of Supply Agreements.
We will provide you with a detailed list of all necessary equipment, supplies and inventory.
8.5 Informational Updates.
We will provide service and product information updates regarding our industry which we feel are necessary to your operation of your franchise as such information becomes available to us.
8.6 Franchisor Non-Technical Consultations.
We will provide, according to the extent required by us in our sole judgment, a continuing advisory service which shall include consultation on promotional, business or operation’s problems, an analysis of your services, sales, marketing and financial data at times and places and, to the extent designated by us partly based on required reports from each franchisee regarding such areas as advertising performed and results thereof, a description and number of leads, completed services rendered, follow-up services required and type of errors, etc., following the opening of your Freakie Fries Restaurant.
8.7 Advertising Materials.
We will provide you with all existing and available advertising slicks (camera ready art) for copying for all E-mail, Internet, newspaper and direct mail advertising or similar advertising. Costs of copies of such advertising slicks (camera ready) and similar items shall be at your expense and credited to your local advertising fee obligation.
8.8 Newsletter.
We, at our discretion, will provide you with monthly newsletters regarding current industry trends and marketing updates as well as business recognition.