factual

What specific actions demonstrate good faith development pursuits for a C12 Group franchise?

C12_Group Franchise · 2025 FDD

Answer from 2025 FDD Document

and senior business managers employed by companies in your Territory. During the initial launch period, the franchisee will be responsible for demonstrating good faith development pursuits demonstrated by execution of the business plan crafted during New Chair Training or making at least eight new contacts per week until two CEO Forums are operating with more than six members each. C12 reserves the right to impose a cure process in subsequent months in the case of failure to demonstrate good faith development of a Territory.

You may not solicit current or prospective C12 members who live and work outside your own Territory via direct (e.g., face-to-face, telephone, direct mail, telemarketing, email) or indirect means (e.g., via third parties, other channels of distribution such as the Internet or mutual friends). Any solicited or unsolicited inquiries from outside your Territory will necessitate that the candidate be given the opportunity to attend any Business Forum meeting in their home Territory (i.e., their 'local' CEO Forum) as well as your Business Forum before selecting the specific Business Forum they would like to join. If contacted by such a prospect, you must inform them that there is another C12 Business Forum option and provide contact information for the applicable franchisee.

Source: Item 12 — TERRITORY (FDD pages 29–32)

What This Means (2025 FDD)

According to C12 Group's 2025 Franchise Disclosure Document, demonstrating good faith development pursuits during the initial launch period involves specific actions related to the business plan and networking efforts. A franchisee must execute the business plan crafted during the New Chair Training. Alternatively, a franchisee can demonstrate good faith by making at least eight new contacts per week until two CEO Forums are operating with more than six members each.

C12 Group emphasizes the importance of these initial efforts, as failure to demonstrate good faith development of a Territory may lead to a cure process imposed by C12 Group in subsequent months. This highlights the need for franchisees to proactively engage in business development activities from the outset.

Furthermore, C12 Group may terminate the Franchise Agreement or revise the territorial size and exclusivity if, within the first 90 days after executing the Franchise Agreement, the franchisee has not started building a CEO Forum. This is demonstrated by diligence in performing duties such as making an average of eight contacts per week, attending mandatory Semi-Annual Chair Training sessions and the Sales Training Series, launching a direct marketing campaign, having a specific plan for the first C12 introductory event and/or initial CEO Forum in the Territory, and reporting progress on the Business Plan Goals and Action Plan Goals established during Training Week. These requirements ensure that franchisees are actively working to establish and grow their C12 Group business within their exclusive territory.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.