What are the required purchases from C12 Group?
C12_Group Franchise · 2025 FDDAnswer from 2025 FDD Document
SERVICES**
Required Purchases from C12
You are required to purchase New Member Registration Kits from us whenever you have a new member sign up with your C12 Forum. You will pay us flat fees for each CEO Member and Key Player Member, and you will charge that fee (or a greater fee) to such members. Other than New Member Registrations, you are not obligated to purchase or lease from C12 or any specified sources any equipment, services, supplies, fixtures, computer equipment and network peripherals, signs, inventory or real estate during the establishment or operation of your business. Mike Sharrow, David Dunkel, Douglas Grant Edwards, Steven Todd Hayes, and Vincent (Jay) Fechtel, III own interests in C12 and will indirectly derive revenue from required franchisee purchases of New Member Registration Kits. Otherwise, neither C12 nor any individual listed in Item 2 has any ownership interest in any business that is a supplier to C12's franchisees. No requirement is made for specific purchases and leases by the franchisee and as a result no revenue or material consideration is received by C12 or any individual listed in Item 2.
No Restriction on Purchases from Suppliers
You are supplied, at no additional cost to you, a start-up supply of C12 printed and electronic materials upon completion of initial training, as well as access to C12 web resources. Also, you may purchase additional supplies as needed via an exclusive C12 web store pre-loaded with appropriately branded collateral. All C12 monthly meeting materials are to be used in compliance with the Brand Standards established by C12 and are to be printed and supplied by C12 at no additional cost to you, or, at your option, printed locally by you (or your contractor) at your own expense on C12 specified paper (either blank paper or template sheets).
Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 18–20)
What This Means (2025 FDD)
According to C12 Group's 2025 Franchise Disclosure Document, franchisees are required to purchase New Member Registration Kits from C12 Group whenever a new member joins their C12 Forum. Franchisees pay C12 Group a flat fee for each CEO Member and Key Player Member and then charge that fee, or a greater fee, to the members. During the fiscal year ending December 31, 2024, C12 Group received $458,500 from these required franchisee purchases, which represented 5.8% of their total revenue of $7,852,914.
Beyond the New Member Registration Kits, franchisees are not obligated to purchase or lease any other equipment, services, supplies, or real estate from C12 Group or specified sources during the establishment or operation of their business. C12 Group also supplies a start-up supply of printed and electronic materials upon completion of initial training, as well as access to C12 web resources, at no additional cost. Franchisees can purchase additional supplies as needed via an exclusive C12 Group web store.
C12 Group provides monthly meeting materials at no additional cost, either printed or downloadable. Franchisees can also print these materials locally at their own expense using C12 Group specified paper. C12 Group estimates that required purchases and leases will be approximately 80% to 90% of the total expenses incurred in the establishment of the franchise and approximately 30% to 35% of the total expenses incurred in the ongoing operation of the franchise. C12 Group also estimates that at least 90% of all materials and supplies required to facilitate an effective monthly Business Forum meeting and conduct monthly one-on-one consultation sessions with each member will be routinely supplied by C12 Group at no additional cost.