Can Expense Reduction Analysts require franchisees to attend additional or refresher training courses?
Expense_Reduction_Analysts Franchise · 2025 FDDAnswer from 2025 FDD Document
- (2) Where reasonably requested by You, the Franchisor may provide assistance to resolve specific issues relating to the operation of the ERA Business, as it deems appropriate in its discretion. The Franchisor reserves the right to charge a fee based on its then current standard (hourly) rates for any such assistance provided to You.
- (3) The Franchisor may, as it deems appropriate in its discretion, develop additional and/or refresher training courses, and require You, Your management, and/or Your Practice Model Consultants to attend such courses. The Franchisor may reasonably require You and Your designated attendees approved by the Franchisor to pay its then-current training tuition fee in connection with attending additional and/or refresher training (in addition to Your obligation to pay for any expenses incurred).
- (4) Notwithstanding the foregoing, the Franchisor will not charge a fee if such services are being provided to You remotely or for meetings that You are required to attend at the Franchisor's support centers.
4.3 Appointment of Area Representative
The Franchisor may appoint at its own discretion an Area Representative for the Area and may delegate to that Area Representative some or all of the Franchisor's obligations under this Agreement, including the Franchisor's obligations to train and provide assistance to You.
4.4 Pre-Opening Obligations Acknowledgment
If You believe the Franchisor has failed to satisfy any pre-commencement obligations as provided in this Agreement, You shall notify the Franchisor in writing within sixty (60) days following Commencement Date of the ERA Business specified in Section 4 of the Data Sheet. Absent such notice to the Franchisor, You acknowledge, agree and grant that the Franchisor fully complied with all of its pre-commencement and commencing obligations with regards to the ERA Business set forth in this Agreement.
5. YOUR PAYMENT AND FINANCE RELATED OBLIGATIONS
5.1 Initial Fees
- (1) The Initial Franchise Fee is payable upon signature of this Agreement, as shown in Section 7 of the Data Sheet.
- (2) The Total Franchise Fee is non-refundable upon execution of this Agreement.
5.2 Royalty Fee
(1) In consideration for Your continued rights under this Agreement, You must pay the Royalty Fee to the Franchisor in accordance with the payment terms specified in Section 8 of the Data
Sheet. If and where the Franchisor provides the Centralized Billing Service, the Franchisor will deduct the Royalty Fee payable by You before remitting the balance of your Net Cumulative Receipts to You in accordance with Section 6.1(4).
- (2) Your obligation to pay ongoing a monthly Minimum Royalty Fee begins on the Commencement Date specified in Section 4 of the Data Sheet.
- (3) In the Franchisor's sole discretion, the Minimum Royalty Fee may not be charged if You are unable to carry on the Business for reasons beyond Your control, provided You provide Franchisor with at least thirty (30) days' advance written notice. Any suspension of the Minimum Royalty Fee as described in this Section will be subject to the Franchisor's periodic review and receipt by the Franchisor of Your circumstances, which You must support with appropriate documentation, and does not waive Franchisor's right to demand exact compliance with any of the terms herein.
- (4) You may elect to participate in the ISMP during the Start-Up Phase, which begins on Your Commencement Date and shall continue for up to eighteen (18) months. If You participate in the ISMP, You will invest in an individual marketing program for Your ERA Business approved by the Franchisor.
Source: Item 23 — RECEIPTS (FDD pages 58–215)
What This Means (2025 FDD)
According to Expense Reduction Analysts' 2025 Franchise Disclosure Document, Expense Reduction Analysts can require franchisees, their management, and Practice Model Consultants to attend additional or refresher training courses as deemed appropriate. Franchisees may have to pay the then-current training tuition fee and cover expenses incurred while attending these sessions. However, Expense Reduction Analysts will not charge a fee if the services are provided remotely or for meetings at their support centers.
Expense Reduction Analysts may also develop Additional Training and require franchisees and their Practice Model Consultants to attend such courses. While Expense Reduction Analysts will not require franchisees to pay its applicable Training Fee for required Additional Training or for remote/online services, franchisees are responsible for covering the costs and expenses for themselves and their personnel attending the training, potentially at a designated training facility.
Expense Reduction Analysts can also mandate Remedial Training if a franchisee or their personnel fail to complete the Foundational Training Program or any required Additional Training sufficiently, or if the franchisee fails to operate the business according to the agreement after written notice. Expense Reduction Analysts reserves the right to charge its applicable Training Fee for any Remedial Training provided to the franchisee and/or their personnel, and the franchisee must cover all associated costs and expenses.
Expense Reduction Analysts may also require franchisees and their management personnel to attend Third-Party Training, where the franchisee will be responsible for paying the applicable Training Fee and covering all associated costs and expenses. Furthermore, Expense Reduction Analysts may establish an annual conference for all ERA Businesses, requiring franchisees and their Practice Model Consultants to attend each year, with the franchisee responsible for all related expenses, including a conference fee not exceeding $1,500 per attendee, subject to CPI adjustment. New franchisees attending a conference in their first 12 months will have the fee covered for one person.