Under what circumstances are the initial franchise fees refundable for a Focalpoint Coaching franchise?
Focalpoint_Coaching Franchise · 2025 FDDAnswer from 2025 FDD Document
ast 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. If your Franchised Business is located in the territory of an Area Representative, we will pay the Area Representative a portion of the initial franchise fee you pay to us. During 2024, franchisees paid initial franchise fees ranging from $40,500 to $45,000.
You must pay us an initial marketing fee in the amount of $2,950, plus any applicable taxes, (the "Initial Marketing Fee") in a lump sum when you sign the Franchise Agreement. The Initial Marketing Fee contributes to our costs associated with direct marketing for clients for your FocalPoint Franchised Business. 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 AR Addendum which will waive your obligation to pay the Initial Marketing Fee. Except as noted above for Area Representatives, the Initial Marketing Fee is uniform as to all franchisees currently purchasing a franchise for a FocalPoint Franchised Business and is not refundable under any circumstances.
You must pay us an initial training fee in the amount of $16,950, plus any applicable taxes, when you sign the Franchise Agreement. We use the initial training fee to train you (or your managing owner) or your business manager who we approve ("Business Manager"), and for
the cost of an initial supply of business cards and marketing materials. If we determine that you (or your managing owner) or Business Manager (if applicable) cannot complete initial training to our satisfaction, we may terminate the Franchise Agreement and refund the initial franchise fee, less $10,000 for our expenses.
The initial training fee is uniform as to all franchisees currently purchasing a franchise for a FocalPoint Franchised Business and is not refundable under any circumstances.
You must pay us a technology fee in the amount of $3,000, plus any applicable taxes, (the "Technology Fee") in a lump sum when you sign the Franchise Agreement as the first payment of the annual Technology Fee. You must pay us an additional Technology Fee for each Associate you retain or hire. 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 AR Addendum which will waive your obligation to pay the Technology Fee under the Franchise Agreement until such time as your Area Representative Agreement terminates or expires. The Technology Fee contributes to our costs associated with the creation, maintenance and ongoing development of the intranet site and other technology used for the Franchise System. See Item 6 for additional information. Except as noted above for Area Representatives, the Technology Fee is uniform as to all franchisees currently purchasing a franchise for a FocalPoint Franchised Business and is not refundable under any circumstances.
You must pay us a non-refundable regional setup fee in the amount of $3,950, plus any applicable taxes, (the "Regional Setup Fee") in a lump sum when you sign the Franchise Agreement. The Regional Setup Fee is used to support our initial setup procedures based on the Territory specific to your Franchised Business.
You must pay us a conference registration fee (the "Conference Registration Fee") for each person that may attend our annual national and/or regional conferences in a lump sum when you sign the Franchise Agreement as the first payment of the annual Conference Registration Fee. 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 AR Addendum which will waive your obligation to pay the Conference Registration Fee under the Franchise Agreement until such time as your Area Representative Agreement terminates or expires. Currently, the Conference Registration Fee is $2,250, plus any applicable taxes, per person (including any Associates). See Item 6 for additional information. Except as noted above for Area Representatives, the Conference Registration Fee is uniform as to all franchisees currently purchasing a franchise for a FocalPoint Franchised Business and is not refundable under any circumstances.
You must pay us a customer relationship management (CRM) system setup fee in the amount of $1,000, plus any applicable taxes, (the "CRM Setup Fee") in a lump sum when you sign the Franchise Agreement. You must pay us an additional CRM Setup Fee for each Associate you retain or hire. The CRM Setup Fee is used to support our initial setup procedures for the customer relationship management system. See Item 6 for additional information. The CRM Setup Fee is uniform as to all franchisees currently purchasing a franchise for a FocalPoint Franchised Business and is not refundable under any circumstances.
Source: Item 5 — Initial Fees (FDD pages 12–14)
What This Means (2025 FDD)
According to Focalpoint Coaching's 2025 Franchise Disclosure Document, the initial franchise fee of $45,000 is generally non-refundable. However, there is one specific circumstance where a refund may be possible. If Focalpoint Coaching determines that the franchisee (or their managing owner or approved Business Manager) cannot complete the initial training to their satisfaction, Focalpoint Coaching may terminate the Franchise Agreement. In this case, the franchisee may receive a refund of the initial franchise fee, but Focalpoint Coaching will deduct $10,000 to cover their expenses.
It's important to note that this potential refund is tied specifically to the completion of initial training. Other fees, such as the initial training fee, technology fee, regional setup fee, conference registration fee, initial marketing fee, and CRM setup fee, are explicitly stated as non-refundable under any circumstances. This means that even if a franchisee terminates the agreement for other reasons, these fees will not be returned.
Prospective Focalpoint Coaching franchisees should carefully consider the conditions under which a refund of the initial franchise fee is possible. Since the refund is contingent on failing to complete the initial training satisfactorily, franchisees should be prepared to fully engage in and successfully complete the training program. Understanding these refund policies is crucial for making an informed investment decision.