Does the Focalpoint Coaching Nondisclosure and Non-Competition Agreement specify any financial thresholds related to the non-competition provisions?

According to the 2025 Focalpoint Coaching Franchise Disclosure Document, the Nondisclosure and Non-Competition Agreement does include a financial threshold related to investment purposes. Specifically, the agreement does not prevent an individual from owning less than 2% of a Competitive Business for investment purposes, provided that the stock or ownership interest is publicly traded on a recognized United States stock exchange, and neither the individual nor the franchisee controls the company.

This exception allows a franchisee to make minor investments in competing businesses without violating the non-competition agreement, as long as the investment remains passive and does not represent a controlling interest. This clause balances the franchisor's need to protect its business interests with the franchisee's ability to diversify their investments.

For a prospective Focalpoint Coaching franchisee, this means they can invest in publicly traded competitors up to the 2% threshold without breaching the agreement. However, they must ensure that their investment remains below this level and that they do not exert any control over the competitor. It is important to note that this exception applies only to publicly traded companies on recognized U.S. stock exchanges; investments in privately held competitors may still be restricted.