factual

Can Focalpoint Coaching condition approval of a supplier on requirements relating to prices?

Focalpoint_Coaching Franchise · 2025 FDD

Answer from 2025 FDD Document

Approval of a supplier or distributor may be conditioned on requirements relating to product quality, prices, consistency, reliability, financial capability, labor relations, client relations, frequency of delivery, concentration of purchases, standards of service, including prompt attention to complaints, or other criteria and may be temporary, pending Franchisor's continued evaluation of the supplier or distributor at any time and from time to time.

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

What This Means (2025 FDD)

According to Focalpoint Coaching's 2025 Franchise Disclosure Document, Focalpoint Coaching can indeed condition the approval of a supplier on requirements pertaining to prices. This means that when a franchisee seeks approval for a new supplier, Focalpoint Coaching can mandate certain price levels or structures as a prerequisite for granting that approval.

This condition is part of a broader set of criteria Focalpoint Coaching may use to evaluate and approve suppliers. These criteria also include product quality, consistency, reliability, financial capability, labor relations, client relations, frequency of delivery, concentration of purchases, and standards of service, including prompt attention to complaints. The approval can also be temporary, pending continued evaluation of the supplier.

For a prospective Focalpoint Coaching franchisee, this implies that they may not always be able to choose suppliers solely based on their own preferences. Focalpoint Coaching retains the authority to ensure that suppliers meet certain standards, including pricing, which could impact the franchisee's costs and profitability. It is also important to note that Focalpoint Coaching and its affiliates may profit from dealings with approved suppliers through markups, rebates, or other forms of consideration.

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.