Does Focus Cfo consider failure to meet Performance Standards as grounds for termination?
Focus_Cfo Franchise · 2025 FDDAnswer from 2025 FDD Document
a default, your interest in the franchise will terminate. | | CFO with cause | | | | g. "Cause" defined - | Section 11.3 | You breach any provision of the Franchise Agreement or any other agreement with Focus CFO or any Focus CFO affiliate and you fail to cure the breach within thirty (30) days. You fail to meet Focus CFO's Performance Standards and such failure continues after receiving thirty (30) days' notice from Focus CFO of such failure to meet the standard, or you accumulate three (3) violations of any individual or combination of the standards, which include: (i) you must comply with Focus CFO's policies as outlined in the Playbook; (ii) you must participate in, or attend, at least 75% of the total required training sessions held by Focus CFO; | | defaults which can be | | | | cured | | | | Provision | Section in Franchise Agreement | Summary | |--------------------------------------------------------------|-----------------------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------| | | | (iii) you must consistently demonstrate, follow, | | | | and abide by, the Company's Core Values as | | | | outlined on Focus CFO's website and in the | | | | Playbook; (iv) you must regularly collaborate | | | | with other Area Presidents and CFOs in your | | | | territory; (v) you must demonstrate an ability to | | | | follow | | | | the | | | | Company's | | | | core | | | | processes | | | | and | | | | procedures related to business development, new | | | | client acquisition, ongoing client support and | | | | client retention; (vi) you must not be negligent in | | | | the performance of the duties as outlined in the | | | | Franchise Agreement or as a result of any Focus | | | | CFO client arrangement; (vii) you must follow | | | | the policies or directives of Focus CFO, any | | | | Focus CFO affiliate or a Focus CFO client, as | | | | such policies or directives are established from | | h. "Cause" defined - defaults which cannot be cured | Section 11.2, 12.1.6 | time to time after written notice by Focus CFO. (i) You become insolvent; (ii) You file a petition in bankruptcy;
Source: Item 17 — Renewal, Termination, Transfer, and Dispute Resolution (FDD pages 27–32)
What This Means (2025 FDD)
According to Focus Cfo's 2025 Franchise Disclosure Document, failure to meet performance standards can be grounds for termination of the franchise agreement. Specifically, Focus Cfo may terminate the agreement if a franchisee fails to meet the company's performance standards and does not correct this failure within 30 days after receiving notice from Focus Cfo.
Furthermore, Focus Cfo can terminate the agreement if a franchisee accumulates three violations of any combination of performance standards. These standards include complying with Focus Cfo's policies in the Playbook, participating in at least 75% of required training sessions, consistently demonstrating the company's core values, regularly collaborating with other Area Presidents and CFOs, following core processes for business development and client support, avoiding negligence in duty performance, and following policies or directives from Focus Cfo or its affiliates.
This means that a Focus Cfo franchisee must consistently meet the performance standards set by the company to avoid potential termination of their franchise agreement. It is important for prospective franchisees to carefully review Attachment E to the Franchise Agreement, as referenced in Section 2.3, to fully understand these performance standards and the potential consequences of not meeting them.