factual

For how long after termination is a Focus Cfo franchisee restricted from competing?

Focus_Cfo Franchise · 2025 FDD

Answer from 2025 FDD Document

fy the Performance Standards required by this Agreement and is in compliance with Attachment E to the Franchise Agreement.

  • 13.2. Post-Termination Non-Compete. For a period of two (2) years after expiration or early termination of this Agreement or any successor Franchise Agreement, unless authorized in writing by Focus CFO, Franchisee shall not (i) advertise, promote, offer to provide or provide services which are competitive with Focus CFO's business to a third party within the Home Territory or any Secondary Territory, or (ii) advertise, promote, offer to provide or provide services to any Focus CFO client that Franchisee has previously serviced regardless of location.
  • 13.3. Non-Solicitation. Franchisee acknowledges that all clients and prospective clients of Focus CFO (the "Customers") and all CFOs and Area Presidents, whether or not such Customers or CFOs and Area Presidents are obtained or retained through Franchisee's efforts, shall be the Customers, Franchisees, Licensees and independent contractors of Focus CFO.

Source: Item 23 — Receipts (FDD pages 37–126)

What This Means (2025 FDD)

According to the 2025 Focus Cfo Franchise Disclosure Document, a franchisee faces certain post-termination restrictions. Specifically, for two years after the expiration or early termination of the Franchise Agreement, the franchisee is prohibited from advertising, promoting, offering, or providing services that compete with Focus Cfo's business. This restriction applies within the franchisee's Home Territory or any Secondary Territory.

Additionally, the franchisee cannot solicit or provide services to any Focus Cfo client they previously serviced, regardless of the client's location. This means that even if a former franchisee moves to a new geographic area, they are still barred from serving clients they worked with during their time as a Focus Cfo franchisee.

Furthermore, for a period of two years following the termination of the agreement, a Focus Cfo franchisee is prohibited from employing or engaging any member, employee, independent contractor, franchisee, licensee, officer, director, or agent of Focus Cfo or its affiliates. These non-compete and non-solicitation clauses are designed to protect Focus Cfo's client base, business model, and network of personnel.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.