What conditions must be met for Focalpoint Coaching to approve a transfer of the franchise?
Focalpoint_Coaching Franchise · 2025 FDDAnswer from 2025 FDD Document
der that finances Franchisee's acquisition, development, and/or operation of the Franchised Business without having to obtain Franchisor's prior written approval as long as Franchisee gives Franchisor ten (10) days' prior written notice.
C. CONDITIONS FOR APPROVAL OF TRANSFER.
If Franchisee (and Franchisee's owners) is fully complying with this Agreement, then, subject to the other provisions of this Section 12, Franchisor will approve a transfer that meets all of the requirements in this Subsection 12.C.
If Franchisee is an entity, Franchisee's owners may transfer a non-controlling ownership interest in Franchisee or Franchisee's owners (determined as of the date on which the proposed transfer will occur) if: (1) the proposed transferee and its direct and indirect owners (if the transferee is an Entity) are of good character and otherwise meet Franchisor's then applicable standards for FocalPoint Franchised Business franchise owners (including no ownership interest in or performance of services for a Competitive Business, unless Franchisor provides prior written consent in its sole discretion); and (2) Franchisee gives Franchisor prior written notice of the transfer.
For any other proposed transfer (including a transfer of this Agreement, a transfer of a controlling ownership interest in Franchisee or one of Franchisee's owners, or a transfer which is one of a series of transfers (regardless of the time period over which these transfers take place) which in the aggregate transfer this Agreement or a controlling ownership interest in Franchisee or one of Franchisee's owners) all of the following conditions must be met before or concurrently with the effective date of the transfer:
- (1) the transferee has sufficient business experience, aptitude, and financial resources to operate the Franchised Business;
Source: Item 22 — Contracts (FDD pages 56–57)
What This Means (2025 FDD)
According to Focalpoint Coaching's 2025 Franchise Disclosure Document, the franchisor will approve a transfer of the franchise if the franchisee and the franchisee's owners are fully complying with the Franchise Agreement. This is subject to meeting all the requirements outlined in Subsection 12.C of the agreement.
For transfers involving a non-controlling ownership interest in the franchisee entity, the proposed transferee and their owners must be of good character and meet Focalpoint Coaching's standards for franchise owners. This includes not having an ownership interest in or providing services to a competitive business without prior written consent from Focalpoint Coaching. The franchisee must also provide Focalpoint Coaching with prior written notice of the transfer.
For any other proposed transfer, such as a transfer of the agreement itself or a controlling ownership interest, all of the following conditions must be met before the transfer's effective date. Focalpoint Coaching may review all information regarding the Franchised Business that Franchisee gives the transferee, correct any information that Franchisor believes is inaccurate, and give the transferee copies of any reports that Franchisee has given Franchisor or Franchisor has made regarding the Franchised Business.
It is important for prospective Focalpoint Coaching franchisees to understand these transfer conditions, as they dictate the circumstances under which they can sell or transfer their franchise. Failure to meet these conditions could result in the franchisor denying the transfer. Franchisees should carefully review Section 12.C of the Franchise Agreement to fully understand all requirements and restrictions.