What business experience, aptitude, and financial resources must a transferee have to operate a Focalpoint Coaching franchised business?
Focalpoint_Coaching Franchise · 2025 FDDAnswer from 2025 FDD Document
- (1) the transferee has sufficient business experience, aptitude, and financial resources to operate the Franchised Business;
- (2) Franchisee has paid all Royalties, Fund contributions, and other amounts owed to Franchisor, Franchisor's affiliates, and third party vendors; has submitted all required reports and statements; and has not violated any provision of this Agreement or any other agreement with Franchisor during both the sixty (60) day period before Franchisee requested Franchisor's consent to the transfer and the period between Franchisee's request and the effective date of the transfer;
- (3) neither the transferee nor its owners (if the transferee is an Entity) or affiliates have an ownership interest (direct or indirect) in or perform services for a Competitive Business (unless Franchisor provides prior written consent in its sole discretion);
- (4) the transferee (or its managing owner) satisfactorily completes Franchisor's training program at the transferee's expense, and pays to Franchisor the then current training charge, plus any applicable taxes;
- (5) if the Office is in a non-residential location, Franchisee's landlord allows Franchisee to transfer the lease or sublease the premises where the Office is located to the transferee;
- (6) the transferee shall (if the transfer is of this Agreement), or Franchisee shall (if the transfer is of a controlling ownership interest in Franchisee or one of
Source: Item 22 — Contracts (FDD pages 56–57)
What This Means (2025 FDD)
According to Focalpoint Coaching's 2025 Franchise Disclosure Document, a transferee must demonstrate sufficient business experience, aptitude, and financial resources to operate the franchised business. Additionally, the original franchisee must be in good standing with Focalpoint Coaching, having paid all royalties, fund contributions, and other owed amounts. They also must have submitted all required reports and statements, and must not have violated any agreements with Focalpoint Coaching during the 60-day period before requesting the transfer and continuing until the transfer's effective date.
Furthermore, neither the transferee nor their owners or affiliates can have an ownership interest in or perform services for a competitive business unless Focalpoint Coaching provides prior written consent. The transferee (or their managing owner) must also satisfactorily complete Focalpoint Coaching's training program at their own expense and pay the current training charge plus any applicable taxes. If the Focalpoint Coaching office is in a non-residential location, the franchisee's landlord must allow the transfer of the lease or sublease of the premises to the transferee.
Finally, the transferee (if the agreement is transferred) or the franchisee (if a controlling ownership interest is transferred) must sign Focalpoint Coaching's current form of franchise agreement and related documents. These documents may differ materially from the original agreement, including royalty and fund contributions. The execution of the new franchise agreement will terminate the original agreement, except for certain guarantees and obligations, and the term of the new agreement will be seven years.