Can Focus Cfo require franchisees to purchase services exclusively from them or their affiliates?
Focus_Cfo Franchise · 2025 FDDAnswer from 2025 FDD Document
13-0">Required Purchases and Suppliers
All franchisees must purchase a package of IT services from our approved IT vendor, which is currently C-Forward. The package of IT services includes: an Office 365 license, which includes access to Focus CFO e-mail, Microsoft Office software (Excel, Word, Outlook and PowerPoint), Microsoft Teams video conferencing platform and Microsoft OneDrive file hosting and backup service. The IT package also includes a security monitoring service of the Franchisee's computer and IT support services.
All franchisees must purchase Sandler Sales Training provided by The Ruby Group.
Currently, we have no other required supplies, designated suppliers or approved suppliers for goods, services or real estate relating to your franchised business. The required purchase of IT services and training represents about 1-3% of all purchases to be made in establishing the franchised business and while operating it. We reserve the right to require that any equipment,
products, services and/or supplies used in connection with the operation of the franchised business be purchased exclusively from us or our affiliates or suppliers or distributors we designate.
No designated supplier will make payments to Focus CFO from franchisee purchases.
Source: Item 8 — Restrictions on Sources of Products and Services (FDD pages 14–15)
What This Means (2025 FDD)
According to the 2025 Focus Cfo Franchise Disclosure Document, Focus Cfo franchisees are required to purchase a package of IT services from C-Forward, their approved IT vendor. This package includes an Office 365 license with access to Focus CFO e-mail, Microsoft Office software, Microsoft Teams, and Microsoft OneDrive. It also includes security monitoring and IT support services. Franchisees must also purchase Sandler Sales Training from The Ruby Group. These required purchases represent approximately 1-3% of the total purchases for establishing and operating the franchise. Focus Cfo does not allow franchisees to contract with alternative suppliers for IT services and sales training. Neither Focus CFO nor any officer of Focus CFO owns an interest in C-Forward or The Ruby Group. No designated supplier will make payments to Focus CFO from franchisee purchases.
Focus Cfo retains the right to mandate that franchisees purchase equipment, products, services, and/or supplies exclusively from Focus Cfo, their affiliates, or designated suppliers or distributors. This clause provides Focus Cfo with the flexibility to standardize certain aspects of the business, potentially ensuring quality control and brand consistency across all franchise locations. However, it also means that franchisees may not have the freedom to choose suppliers based on price or other factors, which could impact their profitability.
While Focus Cfo provides business insurance coverage (general liability, crime, and employment practices) for the franchisee's business entity, this coverage does not extend to employees or other support resources. Focus Cfo may provide franchisees with minimum insurance requirements for these support resources, which the franchisee must follow. Franchisees are responsible for ensuring they have appropriate insurance to cover the services performed by all support resources. Focus CFO must be named as an additional insured on the franchisee's insurance policy.