Can Focus Cfo modify the Compensation Policy as set forth in the Franchise Agreement?
Focus_Cfo Franchise · 2025 FDDAnswer from 2025 FDD Document
- H. Focus CFO has the right to modify the Compensation Policy as set forth in the Franchise Agreement executed by the Area President, however, Focus CFO cannot adjust each individual percentage rate set forth in the Compensation Policy by more than one individual percentage point per year without Franchisee's prior written consent. For example, in a given year, the tiered rates of the Area President compensation scale can be reduced from 35% to 34%, 30% to 29%, 25% to 24% and 20% to 19%, and the 5% reduction for corporate website leads can be increased to 6%, and the 10% reduction for CSLG's can be increased to 11%.
Source: Item 23 — Receipts (FDD pages 37–126)
What This Means (2025 FDD)
According to Focus Cfo's 2025 Franchise Disclosure Document, Focus CFO has the right to modify the Compensation Policy outlined in the Franchise Agreement. However, Focus CFO cannot adjust each individual percentage rate within the Compensation Policy by more than one individual percentage point per year without the franchisee's prior written consent.
For example, Focus CFO can reduce tiered rates of the Area President compensation scale from 35% to 34%, 30% to 29%, 25% to 24%, and 20% to 19% in a given year. Similarly, the 5% reduction for corporate website leads can be increased to 6%, and the 10% reduction for CSLG's can be increased to 11%.
Additionally, Focus CFO has the right to modify the provisions of the Training Policy, Franchisee Performance Standards, Authority to Bind Focus CFO, and Required IT Services, provided they give 30 days prior written notice. This means that while Focus Cfo retains some flexibility to update these policies, franchisees will be informed of the changes in advance.