What form of AR Addendum is attached as an exhibit in the Focalpoint Coaching FDD?
Focalpoint_Coaching Franchise · 2025 FDDAnswer from 2025 FDD Document
5,000, 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.
Source: Item 5 — Initial Fees (FDD pages 12–14)
What This Means (2025 FDD)
According to Focalpoint Coaching's 2025 Franchise Disclosure Document, the current form of the Area Representative Addendum (AR Addendum) is attached as Exhibit I. This addendum is relevant for franchisees who operate a FocalPoint AR Business under an Area Representative Agreement.
Specifically, if a franchisee signs an Area Representative Agreement, they will also sign the AR Addendum to the Franchise Agreement. This AR Addendum waives the franchisee's obligation to pay the initial franchise fee, the Initial Marketing Fee, the Technology Fee, and the Conference Registration Fee under the Franchise Agreement until the Area Representative Agreement terminates or expires.
Prospective franchisees interested in operating a Focalpoint Coaching franchise as an Area Representative should carefully review Exhibit I to understand the specific terms and conditions outlined in the AR Addendum. This will help them understand the obligations and benefits associated with this type of agreement.