Focus on Regional Business
- Joel K
Excerpt from the FSO agreement
(a) The Regional Franchisor must devote its full time and attention to the Regional Business including, not operating or acting as an employee, agent, director, officer or principal of any other business, unless with the prior written consent of the National Franchisor. Consent will only be given if, at the time of the request, the Regional Franchisor:
(i) is compliant with this Agreement and Manuals in every respect;
(ii) has equal or greater growth in the number of Franchisees in its Region, than the average for the Division in any given year; and
(iii) has had no reduction in Franchisee numbers for more than 3 months.
(b) If the Regional Franchisors fails to remain compliant with the conditions in clause 7(a), it will be issued with a notice of breach requiring it to cease operating and/or acting as an employee, agent, director, officer or principal of any other business. Failure to comply within 30 days will result in termination of the Agreement.
(c) Clause 7 (a) and (b) does not apply to the Regional Franchisor operating as a Franchisee in the Region, the operation of a self-managed superannuation fund, or the exempt businesses listed in item 12 of the schedule.