What is the purpose of the C12 Group Member Registration Fee?
C12_Group Franchise · 2025 FDDAnswer from 2025 FDD Document
price adjustments to remain competitive within the industry and to keep pace with Franchisor's recommended dues schedule.
- b. Member Registration Fees. Franchisee shall pay Franchisor its then-current Member Registration Fee for each new member registered with Franchisee's Franchised Business to cover certain start-up costs and materials. These fees are due with the submission of new member registrations to Franchisor and must be received before a personalized New Member Kit will be sent to Franchisee for such member(s). Franchisee may charge members more than the Member Registration Fee Franchisee pays to Franchisor. The Member Registration Fees Franchisee will pay
Source: Item 22 — CONTRACTS (FDD page 46)
What This Means (2025 FDD)
According to the 2025 C12 Group Franchise Disclosure Document, the Member Registration Fee is paid by the franchisee to C12 Group for each new member registered in the franchisee's business. This fee is intended to cover certain start-up costs and materials associated with onboarding new members. The franchisee must submit the fee along with the new member's registration to C12 Group. Once both are received, C12 Group will send a personalized New Member Kit to the franchisee for distribution to the new member.
The FDD specifies the current Member Registration Fees that the franchisee will pay to C12 Group. These fees are $550 for a CEO Forum member and $330 for a Key Player Forum member. While the franchisee is obligated to pay these amounts to C12 Group, they have the flexibility to charge their members a higher registration fee. This allows the franchisee to potentially generate additional revenue to offset their costs or increase their profit margin.
It's important to note that the franchisee's royalty fees to C12 Group are based on the membership roster and billings, regardless of whether the franchisee actually collects the registration or membership fees from their members. Therefore, the franchisee bears the responsibility for invoicing and collecting these fees from their members, as well as setting their own collection policies and standards. This arrangement places the onus on the franchisee to manage their member accounts effectively to ensure timely payments and maintain a healthy cash flow.