Lesser of 18% per year or highest commercial contract interest rate law allows. If established, the amount the franchisor specifies. The franchisor does not guarantee a franchisee’s note, lease, or other obligation. If franchisees are in good standing, they can renew for one additional 10-year term.įinancial Assistance: The franchisor does not offer direct or indirect financing. Term of Agreement and Renewal: The length of the initial franchise term will begin on the effective date and will continue until the earlier of (a) 10 years from the opening date, or if applicable, upon the expiration of termination of the franchisee’s right to possess the restaurant premises.
#RUSTY TACOS MANUAL#
Franchisees must prepare, package, and serve all menu items according to the franchisor’s recipes, standards, and procedures for preparation, presentation, and service as communicated to franchisees from time to time via the operations manual or other written directives.
Franchisees must offer and sell all menu items that the franchisor requires, and only those menu items that the franchisor has approved, and in the method or manner the franchisor determines, including dine-in, carry-out, and catering. The operating principal must successfully complete the initial training program and must devote full-time efforts to the management and operation of the franchised business. If the franchisee is a business entity, the operating principal must hold at least a 10% equity interest in the business entity. If the franchisee is an individual or general partnership, the operating principal will be the individual franchisee or one of the general partners.
Obligations and Restrictions: The operating principal must engage in the on-premises supervision of the franchised business. Generally, the “protected territory” will be a geographic area which is a circle having the restaurant’s front entrance as its center and a radius of one mile, however, the franchisor reserves the right to change the definition of the protected territory in densely populated urban areas, (New York City or Washington DC, for example), and the protected territory may be as small as an office or retail building.
#RUSTY TACOS FULL#
If franchisees are in full compliance with the Franchise Agreement, during the Franchise Agreement’s term (with limited exceptions), neither the franchisor nor its affiliates will operate, or authorize any other party to operate, an Rusty Taco restaurant within the protected territory specified in the Franchise Agreement. They may face competition from other franchisees, from outlets that the franchisor owns, or from other channels of distribution or competitive brands that the franchisor controls. Franchisees will not receive an exclusive territory. Territory Granted: Franchisees will operate the restaurant from a location that they select and that the franchisor accepts. The franchisor may also periodically offer additional mandatory, optional, refresher, advanced, or other training programs or seminars from time to time, addressing common problems experienced by franchisees or addressing new products, services, or techniques to be utilized by franchisees, and the franchisor may establish reasonable fees for attendance at such events. If this is the franchisee’s (and their affiliates’) first Rusty Taco restaurant, the franchisor will provide 10 days of on-site opening assistance at no charge, but franchisees are responsible for payment of all of their employee wages and for the cost of food used during the assistance period. The initial training is anticipated to last approximately 28-35 days. This training will cover basic aspects of establishing and operating an Rusty Taco restaurant, including all phases of restaurant opening and closing procedures, food preparation and presentation, pricing, customer service issues, employee training and relations, cleaning procedures, cash management, budgeting and bill paying, forms, purchasing, inventory control and disposition, comprehensive marketing, selling skills, job functions, and maintenance of quality standards. The initial training program consists of classes conducted at one of the franchisor’s company-owned restaurants or other designated locations. Training Overview: At least one person and up to three people (one of which must be the operating principal or restaurant manager, if applicable) must attend and complete the initial training program on the general business aspects of operating a Rusty Taco restaurant. Franchisees operate a restaurant that offers freshly prepared food made with quality, fresh ingredients inspired by the flavors of Mexico and Texas, along with an assortment of alcoholic and nonalcoholic beverages under the “Rusty Taco” trade name, trademark, and business system in an atmosphere designed to be a neighborhood gathering place. The franchisor’s parent company is Buffalo Wild Wings, Inc, which is a subsidiary of Inspire Brands, Inc.