factual

Does it matter who initiates the discussions with Focus Cfo employees regarding potential employment with the franchisee?

Focus_Cfo Franchise · 2025 FDD

Answer from 2025 FDD Document

  • 13.3.2. solicit, approach, endeavor to entice away or have discussions or other communications (regardless of who initiates such discussions or communications) with any member, employee, independent contractor, franchisee, licensee, officer, director, or agent of the Focus CFO Consolidated Group, for the purpose of causing that individual or company to terminate its relationship with the Focus CFO Consolidated Group to become employed or associated with any person, business or organization that offers services that are the same as or substantially similar to the services or products offered by Focus CFO or any of its affiliates;

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

What This Means (2025 FDD)

According to the 2025 Focus Cfo Franchise Disclosure Document, it is explicitly stated that it does not matter who initiates discussions with Focus Cfo employees regarding potential employment with the franchisee or associated businesses. The franchise agreement prohibits franchisees from soliciting or having discussions with any member, employee, independent contractor, franchisee, licensee, officer, director, or agent of the Focus CFO Consolidated Group. This restriction applies regardless of who starts the conversation. The purpose of this restriction is to prevent franchisees from enticing these individuals or companies to terminate their relationship with Focus CFO and join a business offering similar services.

This non-solicitation clause is in effect during the entire term of the Franchise Agreement and extends for two years following the expiration or termination of the agreement. This means that even after a franchisee leaves the Focus Cfo system, they are still prohibited from recruiting Focus Cfo personnel. This restriction is in place to protect Focus Cfo's existing network and prevent unfair competition from former franchisees who might try to leverage their knowledge and relationships gained within the Focus Cfo system.

For a prospective Focus Cfo franchisee, this means they must be very careful not to engage in any recruitment activities targeting Focus Cfo employees or contractors, even passively. Any violation of this non-solicitation clause could result in legal action from Focus Cfo. It is a common practice in franchising to have non-solicitation agreements to protect the franchisor's network and maintain stability within the system.

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.