Where can I find the current Compensation Policy for Focus CFO franchisees?
Focus_Cfo Franchise · 2025 FDDAnswer from 2025 FDD Document
Focus CFO. Franchisee does not have the power or authority to bind Focus CFO except as set forth in this Section 7 and provided for in Attachment F.
8. PAYMENTS; INDEPENDENT CONTRACTOR STATUS
- 8.1. Focus CFO shall pay Franchisee as an independent contractor according to the current Compensation Policy. The Compensation Policy is adopted by Focus CFO management. The current Compensation Policy is attached as Attachment B. Focus CFO has the right to modify the Compensation Policy by providing Franchisee with at least thirty (30) days' prior notice. However, Focus CFO cannot adjust each individual percentage rate set forth in the then-current Compensation Policy by more than one individual percentage point per year without Franchisee's prior written consent. See Attachment B for examples.
- 8.2. Franchisee is responsible for all Federal, state and local/city estimated tax payments and self-employment taxes on payments from Focus CFO. Focus CFO will remit to Franchisee compensation at a gross amount with no deduction for taxes. At the end of each year, Franchisee will receive a Form 1099 from Focus CFO.
- 8.3. This Agreement does not create a fiduciary relationship between the parties and nothing in this Agreement is intended to make either party a general or special agent, legal representative, subsidiary, joint venture, partner, employee or servant of the other for any purpose.
- 8.4.
Source: Item 23 — Receipts (FDD pages 37–126)
What This Means (2025 FDD)
According to Focus Cfo's 2025 Franchise Disclosure Document, the current Compensation Policy is included as Attachment B to the Franchise Agreement. Specifically, Item 8.1 states that Focus CFO pays franchisees as independent contractors according to the current Compensation Policy adopted by Focus CFO management.
Attachment B to the Franchise Agreement, titled "Compensation Policy (Effective as of January 1, 2025)," outlines the compensation structure for Area Presidents. The base rate paid to Area Presidents is determined by when clients in their Book of Business sign a PSA (Professional Services Agreement) after the franchise agreement is signed. For example, for clients with signed PSAs dated in months one through thirteen after signing the agreement, the Area President receives a base rate of thirty percent of the CFO Services revenue collected by Focus CFO for the life of those accounts.
Focus CFO retains the right to modify the Compensation Policy, providing franchisees with at least thirty days' prior notice. However, Focus CFO cannot adjust each individual percentage rate set forth in the then-current Compensation Policy by more than one individual percentage point per year without the franchisee's prior written consent. This provides some assurance to the franchisee that their compensation structure will not be drastically altered without their agreement.