What factors does Focalpoint Coaching consider when setting standards and specifications for goods and services?
Focalpoint_Coaching Franchise · 2025 FDDAnswer from 2025 FDD Document
generally will be at prices exceeding our costs.
To maintain the quality of the goods and services that FocalPoint Franchised Businesses sell and our system's reputation, we may condition your right to buy or lease goods and/or services (besides those described above that you may obtain only from us, our affiliates, and/or other specified exclusive sources) on their meeting our minimum standards and specifications
and/or being acquired from suppliers that we approve. We will issue and modify standards and specifications based on our, FocalPoint International's, and our franchise owners' experience in operating FocalPoint Franchised Businesses. Our standards and specifications may impose minimum requirements for production, performance, reputation, prices, quality, design, and appearance. Our Operations Manual or other communications will identify our standards and specifications. We will notify you and, where appropriate, the suppliers, of our standards and specifications. There might be situations where you can obtain items from any supplier who can satisfy our requirements and, therefore, would be an approved supplier.
If we institute any type of restrictive sourcing program (which, as noted above, we have already done for Proprietary Products and may do so for other items) and you want to use any item or service that we have not yet evaluated or to buy or lease from a supplier that we have not yet approved or designated, you first must send us sufficient information, specifications, and samples so that we can determine whether the item or service complies with System Standards or the supplier meets approved supplier criteria. We may charge you or the supplier a reasonable fee for the evaluation (see Item 6) and will decide within a reasonable time (no more than 30 days). We periodically will establish procedures for your requests and may limit the number of approved items, services, and/or suppliers as we think best.
Supplier approval might depend on product quality, delivery frequency and reliability, service standards, financial capability, customer relations, concentration of purchases with limited suppliers to obtain better prices and service, and/or a supplier's willingness to pay us, FocalPoint International, and/or our system for the right to do business with our system.
Source: Item 8 — Restrictions on Sources of Products and Services (FDD pages 23–26)
What This Means (2025 FDD)
According to Focalpoint Coaching's 2025 Franchise Disclosure Document, the company considers several factors when setting standards and specifications for goods and services. These standards are issued and modified based on the experiences of FocalPoint International, Focalpoint Coaching itself, and its franchise owners in operating Focalpoint Coaching Franchised Businesses. The standards and specifications may impose minimum requirements for production, performance, reputation, prices, quality, design, and appearance.
In addition to these general criteria, Focalpoint Coaching also evaluates potential suppliers based on a range of factors. These include product quality, delivery frequency and reliability, service standards, financial capability, and customer relations. Focalpoint Coaching may also consider the concentration of purchases with limited suppliers to obtain better prices and service, as well as a supplier's willingness to provide payments or other consideration to FocalPoint International, Focalpoint Coaching, or the system as a whole for the right to do business with the franchise system.
Focalpoint Coaching retains significant control over sourcing, as it has the right to limit the suppliers with whom franchisees may deal. While neither Focalpoint Coaching nor its affiliates are currently the only approved suppliers for all products, this remains an option for the company. Furthermore, Focalpoint Coaching, FocalPoint International, or an affiliate can receive payments from suppliers based on their dealings with franchisees, using these funds without restriction. This system allows Focalpoint Coaching to maintain quality and consistency across its franchise network while also potentially generating revenue from supplier relationships.