What is the initial non-refundable territory fee for a C12 Group franchise unit?
C12_Group Franchise · 2025 FDDAnswer from 2025 FDD Document
anchise Fee as set forth below. The Franchise Fee varies based on the target market potential of the designated Territory for the Franchised Business. Franchise Units are $25,000 (with Franchise Unit otherwise already defined from a calculation basis) per 1.0 unit (Territories comprising between 0.9 and 1.1 units count as one (1) unit). Franchisor will determine the number of units that Franchisee's Territory constitutes. If a defined territory for purchase is less than or more than one (1) unit, the Franchise Fee shall be the number of units multiplied by $25,000 but no less than $12,500. For example, a metropolitan market with a defined territory containing an estimated 1.3 units worth of eligible members would result in a $32,500 Franchise Fee. On the other hand, a rural or less densely populated market representing 0.65 units would result in a $16,250 Franchise Fee. A Territory of 0.92 units would still consist of a $25,000 Franchise Fee whereas a market with 0.47 units would consist of
Source: Item 22 — CONTRACTS (FDD page 46)
What This Means (2025 FDD)
According to the 2025 C12 Group Franchise Disclosure Document, the initial non-refundable territory fee is $25,000 per franchise unit. However, the actual franchise fee depends on the target market potential of the territory. C12 Group determines the number of units that a franchisee's territory constitutes. Territories comprising between 0.9 and 1.1 units count as one unit. If a defined territory is less than or more than one unit, the franchise fee will be the number of units multiplied by $25,000, but will not be less than $12,500.
For example, a metropolitan market with a defined territory containing an estimated 1.3 units would result in a $32,500 franchise fee. Conversely, a rural market representing 0.65 units would result in a $16,250 franchise fee. A territory of 0.92 units would still cost $25,000, while a market with 0.47 units would cost $12,500, which is the minimum fee.
In addition to the franchise fee, C12 Group franchisees must also pay a $10,000 prepaid marketing fund fee and a training/technology fee of $12,000 for the franchisee and $10,000 for any additional associate chairs sent to new chair training. The prepaid marketing fund is non-refundable, while the training and technology fee is refundable prior to the start of training. The franchise fee is generally nonrefundable, except as specifically provided for in the agreement.