factual

Besides completing training, what payments must a Focalpoint Coaching franchisee make before beginning operations?

Focalpoint_Coaching Franchise · 2025 FDD

Answer from 2025 FDD Document

this Agreement or otherwise by means other than automatic debit (e.g., by check) whenever Franchisor deems appropriate, and Franchisee agrees to comply with Franchisor's payment instructions.

4. TRAINING AND ASSISTANCE.

A. INITIAL TRAINING.

If this is Franchisee's first FocalPoint Franchised Business, then before the Franchised Business begins operating, Franchisor will train Franchisee (or, if Franchisee is an Entity, Franchisee's Managing Owner) or Franchisee's manager-level employee who Franchisor approves (the "Business Manager") on the material aspects of operating a FocalPoint Franchised Business. Franchisor will provide the initial training program either online or in-person, in its sole discretion. If the initial training program is provided in-person, it will be at a designated training facility of Franchisor's choice. Franchisee shall notify Franchisor in writing at least thirty (30) days prior to the commencement of the initial training program the name of the individual who will attend the initial training program.

Franchisor will provide initial training for Franchisee (or, if Franchisee is an Entity, Franchisee's Managing Owner) or Franchisee's Business Manager. Additional people beyond this one (1) person may attend initial training if Franchisee pays Franchisor's then current training charge for each additional person. Franchisor reserves the right to refuse to provide training to Franchisee or any of Franchisee's proposed attendees for whom Franchisor has not received the relevant training fee. Franchisee also agrees to pay for all travel and living expenses which Franchisee (or Franchisee's Managing Owner) and all of Franchisee's employees incur and for Franchisee's employees' wages and workers' compensation insurance in traveling to and from the designated training facility, except, if initial training is in-person, Franchisor will pay all supplied food and reasonable lodging expenses of Franchisee (or Franchisee's Managing Owner) and Franchisee's employees only while participating in the initial training program.

Franchisee (or Franchisee's Managing Owner) or Franchisee's Business Manager must satisfactorily complete initial training. If Franchisor determines that Franchisee (or Franchisee's Managing Owner) or Business Manager, if applicable, cannot complete initial training to Franchisor's satisfaction, Franchisor may terminate this Agreement, in which case Franchisor

will keep Ten Thousand Dollars ($10,000) of the initial franchise fee. Franchisor will return the other Thirty-Five Thousand Dollars ($35,000) of the initial franchise fee to Franchisee if Franchisee signs a general release in Franchisor's then-current form of its required general release.

Franchisee (or Franchisee's Managing Owner) may request additional training at the end of the initial training, to be provided at Franchisor's then current per diem charges, if Franchisee (or Franchisee's Managing Owner) does not feel sufficiently trained in the operation of a FocalPoint Franchised Business. Franchisor and Franchisee (or Franchisee's Managing Owner) will jointly determine the duration of this additional training. However, if Franchisee (or Franchisee's Managing Owner) or Franchisee's Business Manager, if applicable, satisfactorily completes Franchisor's initial training program and has not expressly informed Franchisor at the end of the program that Franchisee (or Franchisee's Managing Owner) or Franchisee's Business Manager, if applicable, does not feel sufficiently trained in the operation of a FocalPoint Franchised Business, then Franchisee (or Franchisee's Managing Owner) will be deemed to have been trained sufficiently to operate a FocalPoint Franchised Business.

Franchisee agrees to pay to Franchisor the then current fee (p

Source: Item 22 — Contracts (FDD pages 56–57)

What This Means (2025 FDD)

According to the 2025 Focalpoint Coaching FDD, a franchisee must pay several fees before beginning operations. If the initial training program is provided in person, Focalpoint Coaching will cover the costs of supplied food and reasonable lodging expenses for the franchisee (or the Managing Owner if the franchisee is an entity) and the franchisee's employees while participating in the initial training program. However, the franchisee is responsible for all travel and living expenses incurred while traveling to and from the designated training facility, as well as the wages and workers' compensation insurance for their employees during this travel.

If the franchisee wants additional people beyond the initially covered person to attend the initial training, the franchisee must pay Focalpoint Coaching's then-current training charge for each additional attendee. Focalpoint Coaching retains the right to refuse training to anyone for whom the relevant training fee has not been received.

In the event that Focalpoint Coaching terminates the Franchise Agreement because the franchisee (or Managing Owner) or Business Manager cannot satisfactorily complete the initial training, Focalpoint Coaching will retain $10,000 of the initial franchise fee. The remaining $35,000 will be returned to the franchisee, provided they sign a general release in Focalpoint Coaching's required form. Franchisees may also request additional training at the end of the initial training program at Focalpoint Coaching's then current per diem charges if they do not feel sufficiently trained in the operation of a FocalPoint Franchised Business.

Furthermore, if a franchisee hires or retains an Associate, they must pay Focalpoint Coaching the then-current training fee (plus any applicable taxes) for the Associate's training program within five days of hiring or retaining the Associate. This fee covers the training program provided at a designated Focalpoint Coaching training facility.

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.