factual

What specific agreement does C12 Group expect franchisees to respect?

C12_Group Franchise · 2025 FDD

Answer from 2025 FDD Document

In accordance with the terms of this Agreement, Franchisor grants Franchisee the right to operate a Franchised Business within the Territory described in the map and list of zip codes attached hereto. Franchisee agrees to comply with Franchisor's rules, regulations, methods, procedures, programs, policies, and standards, as may be modified in Franchisor's sole discretion from time to time, set forth in Franchisor's Operations Manual or as otherwise communicated to Franchisee in writing and to adhere to standards of Christian conduct as established in Scripture. Franchisee shall only offer and sell those services and products that Franchisor has approved of in writing or as provided for in Franchisor's Operations Manual. Franchisor may modify the approved products or services in Franchisor's sole discretion from time to time, and Franchisee must comply with such modifications.

Franchisor may modify the System Standards at any time and in Franchisor's sole discretion, and Franchisee shall take all steps necessary to comply with changes to Franchisor's System Standards.

In accordance with following Franchisor's System Standards, Franchisee shall, without limitation, use the C12 agendas, facilitation standards, materials, segments, forms, logos, websites (both the general C12 website and the specific C12 site for the Territory and any website Franchisee authors for the Territory), and formats, and strictly follow the C12 Brand Standards Guide for paper and colors as directed without any deviation or substitution except as approved ahead of time in writing by Franchisor.

Franchisee shall establish fixed meeting dates and locations (e.g., third Tuesday of each month, from 9 AM to 4 PM, at Lord's Country Club) and standard C12 service delivery approaches (e.g., monthly 60-90- minute One-on-One meetings (Focus60) scheduled with C12 members between the monthly CEO Forum meetings).

Franchisee shall engage with its members, reliably and according to Franchisor's model, and Franchisee shall serve as a facilitator, and not as a teacher or preacher, in engaging Franchisee's peer group members.

Franchisee shall not reproduce the C12 trade name, logo, or copyrighted materials beyond normal, permitted uses in monthly C12 meetings, events, seminars, and marketing efforts, without Franchisor's prior written permission and compliance with the C12 Brand Standards Guide.

Franchisee shall not solicit Franchisee's C12 members for the purpose of selling them other products or services.

Franchisee shall maintain current information on Franchisor's website(s) regarding Franchisee, Franchisee's local group meeting locations and times, local C12 events and news, and provide every C12 member an opportunity to participate in any global C12 web functionality (e.g., search for other members, benchmarking, bulletin board/blog functions, etc.).

Franchisee shall adhere to and comply with Franchisor's basic business model and its various standard processes, due dates, and payments, as they may be revised from time to time in Franchisor's sole discretion.

Franchisee agrees to not own an interest or participate in any business viewed as competitive, injurious, or incompatible with Franchisor and the C12 Franchised Business. Franchisee agrees to engage in the C12 Franchised Business as Franchisee's primary vocation with no other vocational interests that may materially adversely impair Franchisee's ability to perform Franchisee's obligations hereunder.

For two (2) years after the termination of this Agreement for any reason, Franchisee shall not directly or indirectly own an interest in or otherwise be employed by or engaged with a Competitive Business within the Territory, within ten (10) miles of the Territory, within the territory of any other C12 franchise, or within ten (10) miles of the territory of any other C12 franchise. For purposes of this Section, a "Competitive Business" is any business that offers peer mentorship and coaching to Christian business leaders.

Franchisee agrees to not purposely solicit (either directly or indirectly) any prospective C12 member who lives and works in the territory of another C12 franchisee.

Source: Item 22 — CONTRACTS (FDD page 46)

What This Means (2025 FDD)

According to the 2025 C12 Group Franchise Disclosure Document, franchisees must adhere to several agreements and standards. C12 Group expects franchisees to comply with the rules, regulations, methods, procedures, programs, policies, and standards outlined in the Operations Manual or communicated in writing. These standards can be modified at C12 Group's discretion. Franchisees must also adhere to standards of Christian conduct as established in Scripture. Franchisees are only allowed to offer and sell services and products that C12 Group has approved in writing or as provided in the Operations Manual. These approved products or services can be modified at C12 Group's discretion, and franchisees must comply with such modifications.

C12 Group franchisees must use the C12 agendas, facilitation standards, materials, segments, forms, logos, websites, and formats, and strictly follow the C12 Brand Standards Guide for paper and colors as directed without any deviation or substitution unless approved in writing by C12 Group. Franchisees are expected to establish fixed meeting dates and locations and standard C12 service delivery approaches. Franchisees must engage with members reliably and according to C12 Group's model, serving as facilitators rather than teachers or preachers. They are prohibited from reproducing the C12 trade name, logo, or copyrighted materials beyond normal, permitted uses without prior written permission and compliance with the C12 Brand Standards Guide.

Additionally, C12 Group franchisees are not allowed to solicit C12 members for the purpose of selling them other products or services. They must maintain current information on C12 Group's websites regarding the franchisee, local group meeting locations and times, local C12 events and news, and provide every C12 member an opportunity to participate in any global C12 web functionality. Franchisees must adhere to and comply with C12 Group's basic business model and its various standard processes, due dates, and payments, as they may be revised from time to time at C12 Group's discretion.

During the term of the agreement, franchisees cannot own an interest or participate in any business viewed as competitive, injurious, or incompatible with C12 Group and the C12 Franchised Business. Franchisees must engage in the C12 Franchised Business as their primary vocation, without other vocational interests that may materially adversely impair their ability to perform their obligations. For two years after termination of the agreement, franchisees are restricted from engaging with a Competitive Business within the Territory, within ten miles of the Territory, within the territory of any other C12 franchise, or within ten miles of the territory of any other C12 franchise, unless they pay C12 Group the Exit Fee. A "Competitive Business" is defined as any business that offers peer mentorship and coaching to Christian business leaders. Franchisees also agree not to solicit prospective C12 members who live and work in another franchisee's 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.