Under the Focalpoint Coaching Nondisclosure and Non-Competition Agreement, what is the 'Business' referring to?

According to the 2025 Focalpoint Coaching Franchise Disclosure Document, the 'Business' in the Nondisclosure and Non-Competition Agreement refers to the franchised business that Focalpoint Coaching authorizes the franchisee to operate under the Franchise Agreement. This business operates under the "FocalPoint" name and is one of the businesses that Focalpoint Coaching owns, operates, or franchises.

This definition is important because the Nondisclosure and Non-Competition Agreement restricts individuals associated with the Focalpoint Coaching franchise from engaging in activities that could harm the company's interests. This includes involvement in a "Competitive Business," which is defined as any business deriving more than 20% of its revenue from selling business training or consulting services, or granting franchises/licenses for similar businesses.

The agreement specifies that during the term of employment, service, association, or ownership participation, individuals cannot directly or indirectly participate in any Competitive Business. This restriction extends to roles such as proprietor, partner, investor, shareholder, director, officer, employee, principal, agent, advisor, or consultant. However, the agreement does allow for passive ownership of less than 2% of a publicly traded Competitive Business, provided that neither the individual nor the franchisee controls the company.