factual

Where in the Focalpoint Coaching Franchise Agreement can I find the specific amount franchisees must contribute to the Advertising and Development Fund?

Focalpoint_Coaching Franchise · 2025 FDD

Answer from 2025 FDD Document

Time Period During the Term of this Agreement Royalty Amount (per month) Royalty Amount if Franchisee has One Associate (per month) Royalty Amount if Franchisee has Two Associates (per month) Royalty Amount if Franchisee has Three Associates (per month)
Months 1 through 4 $500 $900 $1,300 $1,700
immediately following
the Effective Date
Months 5 through 8 $1,000 $1,800 $2,600 $3,400
immediately following
the Effective Date
Months 9 through 12 $1,500 $2,700 $3,900 $5,100
immediately following
the Effective Date
Month 13 immediately $1,950 $3,150 $4,350 $5,500
following the Effective
Date and for the
remainder of the term
of this Agreement

I. ADVERTISING AND DEVELOPMENT FUND CONTRIBUTIONS.

Franchisee agrees to contribute to the Fund (as defined in Subsection 9.A below) in the amounts that Franchisor prescribes at any time and from time to time, not to exceed One Hundred and Fifty Dollars ($150) per month, plus an additional One Hundred and Fifty Dollars ($150) per month for each Associate Franchis

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

What This Means (2025 FDD)

According to Focalpoint Coaching's 2025 Franchise Disclosure Document, the specific amount franchisees must contribute to the Advertising and Development Fund is detailed in Subsection I of the Franchise Agreement. Franchisees are required to contribute up to $150 per month to the Fund.

In addition to the base contribution, franchisees must pay an extra $150 per month for each Associate Franchisee they retain or hire. These payments are due on or before the 15th of each month. The funds collected are non-refundable and will be used and administered by Focalpoint Coaching as outlined in Subsection 9.A of the Franchise Agreement.

This contribution structure means a Focalpoint Coaching franchisee's financial obligations to the Advertising and Development Fund can increase as their business grows and they hire more associates. It's important for prospective franchisees to factor in these potential additional costs when forecasting their expenses. The franchisor also retains the right to modify the contribution amounts, up to the specified limit, providing some flexibility but also introducing a degree of uncertainty for franchisees.

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.