If you own a franchise system and wish to do more and your franchise company is nationwide but relatively small in size; for instance under 200 franchised outlets, you might be able to help your franchisor with expansion. This can provide you with opportunity and could become lucrative for you if you work hard at it. What is a Regional Team Manager? Well it is a term I made up and a strategy we used in my company to expand in some markets. I was on the franchisor side of the fence but it was always wonderful to have strong franchisees who could assist me in the expansion process. Current team members are safer as they already know the system. Below is the Regional Team Manager Agreements we used in our company: The Franchisee of _______________________________ proposes to place franchisees in its exclusive territory, ___________________________________ on behalf of The Company for this service the regional team manager will receive 40% of the collected franchise fee for each new franchisee in their exclusive territory. The Company of _______________________________ will be allowed to represent The Company and The Detail Guys Systems. The Company agrees to give the regional team manager first right of refusal on any new franchising concept that The Company franchises in the future as long as the regional team manager is in good standing with The Company In addition to this Agreement, the regional team manager will be bound by the terms of the The Company Uniform Franchise Offering Circular and the Franchise Agreement that is in place for existing franchisees as well as any future Uniform Franchise Offering Circular and Franchise Agreements that Franchisor registers. Regional team manager agrees to operate in good standing a The Company franchise in their exclusive territory for the life of this Agreement. Regional team manager agrees to protect the Marks, the System of doing business, the proprietary and confidential information including the Confidential Operations Manual and to comply with the provisions of The Company Uniform Franchise Offering Circular and the Franchise Agreement as described under the heading Covenants Not To Compete. Regional team manager shall furnish Franchisor with its articles or certificates of incorporation, organization or formation of such corporation or company, the by laws, other governing documents and any other documents Franchisor may reasonably request and any amendments thereto. Regional team manager shall maintain provisions enforceable under applicable law restricting the issuance and transfer of capital stock, membership interests or securities of the corporation or company and each share certificate shall at all times have onspicuously endorsed upon its face a statement in a form satisfactory to Franchisor that it is held subject to the restrictive provisions of the The Company Uniform Franchise Offering Circular and the Franchise Agreement. Regional team manager understands and acknowledges that this Agreement cannot be sold, assigned, transferred, coveyed, subleased or encumbered in any way without the prior written consent of Franchisor. Regional team manager further understands and acknowledges that this Agreement terminates at the termination, whether voluntary or involuntary, of the regional team managers original The Company Franchise Agreement or upon the relocation of the regional team manager to a residence outside their exclusive territory as stated above. There were other stipulations as well, but that is the jist of it and since every franchise does things a little differently your agreement that you work out with your franchisor, that is if they are interested would indeed be a little different. Perhaps this will give you some ideas to consider so think on this in 2006. |
