exception

Who is eligible to have their initial franchise fee waived for a Focalpoint Coaching franchise?

Focalpoint_Coaching Franchise · 2025 FDD

Answer from 2025 FDD Document

em.

Item 5

INITIAL FEES

You must pay us an initial franchise fee in a lump sum when you sign the Franchise Agreement. Our standard initial franchise fee currently is $45,000, plus any applicable taxes. If you operate a FocalPoint AR Business under an Area Representative Agreement with us, when you sign the Franchise Agreement you also will sign the Area Representative Addendum to the Franchise Agreement (the "AR Addendum"), which will waive your obligation to pay an initial franchise fee under the Franchise Agreement. The current form of AR Addendum is attached as Exhibit I.

Eligible veterans of the United States military forces may pay a reduced initial franchise fee (currently, $40,500, or a 10% reduction of our current standard initial franchise fee of $45,000) under their first Franchise Agreement for a new FocalPoint Franchised Business. To qualify, veterans must provide us adequate documentation of their honorable discharge (by submission of a form 1041, military identification, and/or other materials we deem acceptable) and the qualified veteran must own at least 50% of the franchisee entity.

Initial franchise fees under Franchise Agreements are fully earned when paid and are not refundable under any circumstances, except as provided below. We use the initial franchise fee to help you develop and open your Franchised Business. Except as noted above for Area Representatives, the initial franchise fee is uniform as to all franchisees currently purchasing a franchise for a FocalPoint Franchised Business. If your Franchised Business is located in the territory of an Area Representative, we will pay the Area Representative a portion of the initial franchise fee you pay to us. During 2024, franchisees paid initial franchise fee

Source: Item 5 — Initial Fees (FDD pages 12–14)

What This Means (2025 FDD)

According to Focalpoint Coaching's 2025 Franchise Disclosure Document, there are two specific scenarios where the initial franchise fee may be waived. Firstly, if a franchisee operates a FocalPoint AR Business under an Area Representative Agreement, they will sign an Area Representative Addendum to the Franchise Agreement. This addendum waives the obligation to pay the standard initial franchise fee.

Secondly, eligible veterans of the United States military forces may qualify for a reduced initial franchise fee under their first Franchise Agreement for a new FocalPoint Franchised Business. The reduced fee is currently $40,500, which represents a 10% reduction from the standard initial franchise fee of $45,000. To qualify for this reduction, veterans must provide adequate documentation of their honorable discharge. Acceptable documentation includes a form 1041, military identification, or other materials deemed acceptable by Focalpoint Coaching. Additionally, the qualified veteran must own at least 50% of the franchisee entity.

It is important to note that the initial franchise fees are fully earned when paid and are generally non-refundable, except in specific circumstances not detailed in this excerpt. During 2024, franchisees paid initial franchise fees ranging from $40,500 to $45,000, indicating that some franchisees did qualify for the reduced veteran's fee.

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.