Are Business Managers and assistant managers of a Focalpoint Coaching franchise required to have an equity interest in the Franchised Business?
Focalpoint_Coaching Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisee must keep Franchisor informed at all times of the identity of any supervisory employee(s) acting as the Business Manager or other assistant manager(s) of the Franchised Business. Franchisee (or Franchisee's Managing Owner) and/or the Business Manager must devote full time and efforts to the management and supervision of the Franchised Business. If Franchisee (or Franchisee's Managing Owner) owns more than one FocalPoint Franchised Business, each FocalPoint Franchised Business must be under the direct supervision of a business manager Franchisor has approved and who has completed Franchisor's training programs. Franchisee (or Franchisee's Managing Owner) is solely responsible for all employment decisions for the Franchised Business, including hiring, firing, remuneration, personnel policies, training, benefits, and maintaining supervision and discipline, regardless of whether Franchisee received advice from Franchisor on any of these subjects.
Source: Item 15 — Obligation to Participate in the Actual Operation of the Franchise Business (FDD page 42)
What This Means (2025 FDD)
According to the 2025 Focalpoint Coaching FDD, Business Managers and assistant managers are not required to have an equity interest in the Franchised Business. However, the Franchisee (or the Managing Owner) and/or the Business Manager must devote full time and efforts to the management and supervision of the Franchised Business.
If a Franchisee (or Managing Owner) owns more than one Focalpoint Coaching franchise, each location must be under the direct supervision of a business manager that Focalpoint Coaching has approved and who has completed their training programs. The franchisee is responsible for all employment decisions, including hiring, firing, remuneration, personnel policies, training, benefits, and maintaining supervision and discipline, regardless of any advice received from Focalpoint Coaching.
Franchisees must keep Focalpoint Coaching informed of the identity of any supervisory employees acting as Business Manager or other assistant managers. This ensures Focalpoint Coaching maintains oversight of who is managing the business and that the managers meet their standards. While equity is not required, active and qualified management is a condition of the franchise agreement.