Is Focalpoint Coaching required to offer the same Franchise Agreement terms upon renewal?
Focalpoint_Coaching Franchise · 2025 FDDAnswer from 2025 FDD Document
agreements. You should read these provisions in the agreements attached to this Disclosure Document**.
| PROVISION | SECTION IN | SUMMARY |
|---|---|---|
| FRANCHISE OR OTHER AGREEMENT | ||
| a. Length of the | Section 1.D of | 7 years from the Effective Date of the Franchise |
| franchise term | Franchise Agreement | Agreement. |
| b. Renewal or | Section 13 of | If you are in full compliance, you may acquire 1 |
| extension of the | ||
| term | ||
| Franchise | successor franchise term of 7 years. The | |
| Agreement | successor franchise will be on our then current form of Franchise Agreement (which may be materially different). | |
| c. Requirements for | To “renew,” you must be in substantial | |
| franchisee to renew | ||
| or extend | compliance with the Franchise Agreement; give us timely notice; pay us the renewal fee; maintain possession of Office premises or find acceptable substitute premises if the Office is located in a non-residential location; remodel Office according to our then current standards (regardless of cost), if the Office is located in a non-residential location; and sign our then current Franchise Agreement, a release (if law allows), and other documents we use to grant franchises. |
Source: Item 17 — Renewal, Termination, Transfer, and Dispute Resolution (FDD pages 43–48)
What This Means (2025 FDD)
According to Focalpoint Coaching's 2025 Franchise Disclosure Document, the company is not required to offer the same Franchise Agreement terms upon renewal. The initial franchise term is for 7 years, as detailed in Section 1.D of the Franchise Agreement.
Upon renewal, if the franchisee is in full compliance with the agreement, they may acquire one successor franchise term of 7 years. However, Section 13 of the Franchise Agreement states explicitly that the successor franchise will be on Focalpoint Coaching's then-current form of Franchise Agreement. This new agreement "may be materially different" from the original.
To renew the franchise, a franchisee must be in substantial compliance with the Franchise Agreement, provide timely notice, pay the renewal fee, maintain possession of the office premises (or find an acceptable substitute if the office is in a non-residential location), remodel the office to Focalpoint Coaching's then-current standards if applicable, and sign the then-current Franchise Agreement, a release (if law allows), and other required documents. The terms of the renewed agreement may differ significantly from the original, potentially including reduced territory and increased fees, as stated in the FDD. This is a common practice in franchising, as franchisors update their agreements to reflect changes in the market, legal requirements, and their business model.