Operations

Ongoing Training

3 min read

Definition

Continuing education and skill development the franchisor provides after the initial training.

In This Article

What Is Ongoing Training

Ongoing training is the structured education and skill development a franchisor commits to providing throughout your franchise relationship, beyond the initial pre-opening program. This includes workshops, webinars, certification programs, and field coaching designed to keep you and your staff current on operational standards, product updates, compliance requirements, and system changes.

FDD Disclosure and Item 19

The Franchise Disclosure Document (FDD) requires franchisors to detail all training obligations in Item 19. This section must specify what training is provided, whether it's mandatory or optional, costs charged separately from franchise fees, locations where training occurs, and the duration of each program. If ongoing training is promised verbally but not documented in Item 19, it's not legally binding. During due diligence, compare Item 19 against what current franchisees actually receive. Many buyers discover significant gaps between promised and delivered training after signing.

Connection to Territory Rights and Renewal Terms

Ongoing training directly impacts your competitive position within your territory. Franchisors often use training as leverage during renewal negotiations. If you haven't maintained certification or completed required ongoing training, some franchisors may restrict territory expansion or decline renewal. Review your renewal terms carefully to see if training compliance is a condition. For example, some systems require annual recertification courses costing $2,000 to $5,000 per location to remain in good standing.

Costs and Franchisor Obligations

Clarify whether ongoing training is included in your franchise fee or charged separately. Some systems build training costs into annual royalties (typically 5-7% of gross sales), while others charge per-person or per-session fees ranging from $500 to $2,000. Ask specific questions: Are webinars included or extra? Does the franchisor cover travel and lodging for regional workshops? Are digital resources (manuals, videos, compliance tools) updated regularly? Request a 12-month training calendar from the franchisor and verify current franchisees receive what's listed. A franchisor with weak ongoing training support often indicates broader system problems.

Common Questions

  • Should I ask franchisees about actual training quality? Yes. In discovery calls with existing franchisees, ask how often they attend training, whether it directly improves operations, and if they feel adequately supported between sessions. Ask specifically about training when the system adds new products or changes procedures.
  • What happens if I skip ongoing training? Check your franchise agreement and Item 19. Some systems allow it with no penalty; others may fine you, restrict territory growth, or deny renewal. This becomes critical leverage during renewal negotiations if the franchisor wants to enforce tighter control.
  • How does ongoing training differ from field support? Field support is typically one-on-one troubleshooting when you need help solving immediate operational issues. Ongoing training is proactive, group-based education on system standards and new practices. Both matter, but they serve different purposes.

Red Flags During Evaluation

  • Item 19 is vague or incomplete. Specific dates, locations, and costs should be listed.
  • The franchisor charges for all meaningful training beyond initial onboarding, especially if those costs aren't disclosed upfront.
  • Franchisees report that ongoing training is sporadic or reactive rather than scheduled and consistent.
  • Training is available only at headquarters, requiring expensive travel for multi-unit operators.
  • No digital or remote training options exist, making it difficult to participate if you're opening multiple locations.
  • Initial Training - the pre-opening education program every franchisee must complete before opening
  • Field Support - direct assistance from the franchisor when you face operational challenges

Disclaimer: FranchiseAudit tracks universal regulatory compliance. Franchisor-specific requirements must be added by the operator. We do not access proprietary operations manuals. This is not legal advice.

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