Red Robin International, Inc is the franchisor. The franchisor sells business to operate one or few Red Robin restaurants. Red Robin restaurants is full-service casual dining that offers a variety of customizable burgers in a fun atmosphere catering to guests of all ages.

Currently, the franchisor provides training via two “schools”. First is the School of Management includes the “Management Foundations Training Program” for the Operating Partner, general manager, kitchen manager, and assistant managers and the Managing Principal the “Managing Principal Training Program”.

Second is The School of Team Member Excellence for restaurant staff like servers, bartenders, bussers, hosts, and line cooks has the “Team Member Foundations Training Program” training. The franchisor can change training programs by updating manuals, methods, materials, or training personnel without prior notice to the franchisee.

The success of the training of the Managing Principal, the Operating Partner, the general manager, kitchen manager, and assistant managers will be determined by the franchisor. Before restaurant opening, the franchisor will provide additional New Restaurant Opening Training at the restaurant. This training is at least 7 days long.

Territory Granted: Under the Franchise Agreement, franchisees have the right to operate a Red Robin restaurant only at a specific location approved by the franchisor. The Franchise Agreement grants and defines certain protection rights for the franchisee (the “Protected Area”). Depending upon demographics, population, and commercial development, the size of the Protected Area may vary, but there is no required minimum area.

Generally, the franchisor defines the Protected Area as a circle with a restaurant in the center with a given radius. Generally, the radius depends on the local population and other demographic information. Nevertheless, the boundaries of the Protected Area may be defined by political subdivisions (e.g., cities or counties), streets and highways, zip code boundaries, or other similar designations.

If the franchisees comply with the requirements of the franchise agreement, the franchisor will not establish or grant anyone the right to establish a Red Robin restaurant within the Protected Area, during the term of the Franchise Agreement. 

Obligations and Restrictions: For those franchisees who are legal entities, one of the owners must be identified as the “Managing Principal.” The “Managing Principal” must be approved by the franchisor and be an individual with at least a 10% ownership interest and voting power in the franchise.

The restaurant must always be supervised and operated by the Managing Principal and the Operating Partner. If the franchisor approves, the Managing Principal may act as the Operating Partner. Franchisees are also required to appoint and retain at all times one General Manage and one Kitchen Manager to assist with the operation and management of the restaurant.

Both of them must meet the criteria for the educational and business experience set out in the Operations Manual and must complete all training programs required by the franchisor. In the restaurant, all menu items, food products, beverages, and other products and services appointed by the franchisor. must be offered for sale in the manner and style it requires. Only approved menu items and other products and services expressly authorized in the Operating Manuals or otherwise in writing can be offered for sale.

Term of Agreement and Renewal: The initial term of the franchise is 20 years. The Franchise Agreement is not renewable.

Financial Assistance: The franchisor does not offer direct or indirect financing. The franchisor does not guarantee a franchisee’s promissory notes, mortgages, leases or other obligations.