Under what conditions can Focalpoint Coaching increase the monthly fee for the CRM license?
Focalpoint_Coaching Franchise · 2025 FDDAnswer from 2025 FDD Document
on, operation, maintenance, and upgrading of the Computer System. You must also license the CRM system and application service systems from our designated supplier, currently, HubSpot, for management and support services. You must pay us a CRM system set up fee in the amount of $1,000, plus any applicable taxes, when you sign the Franchise Agreement and an ongoing monthly license fee in the amount of $75 per person. You will need to pay the CRM system set up fee and the ongoing monthly license fee for each Associate you hire or retain. We may increase the monthly fee for the CRM license at any time commensurate with cost incr
Source: Item 11 — Franchisor's Assistance, Advertising, Computer Systems, and Training (FDD pages 28–36)
What This Means (2025 FDD)
According to Focalpoint Coaching's 2025 Franchise Disclosure Document, the monthly fee for the CRM license, which is initially $75 per person, may be increased. Focalpoint Coaching can increase this fee at any time if their designated supplier increases their costs.
However, Focalpoint Coaching must provide prior written notice to the franchisee before increasing the monthly CRM license fee. This ensures that franchisees are informed about the change and can adjust their budgets accordingly. The fee applies to each associate the franchisee hires or retains, meaning the total CRM cost can vary depending on staffing levels.
This condition is fairly standard in franchising, as franchisors often rely on third-party vendors for essential services like CRM systems. The need to pass on cost increases from suppliers protects the franchisor's profit margins. However, franchisees should be aware of this potential for fee increases and factor it into their financial planning. It would be prudent for a prospective franchisee to inquire about the historical frequency and magnitude of such CRM fee increases to better assess the potential financial impact on their business.