What are the requirements for a Focus Cfo franchisee to transition from an Area President to a CFO?
Focus_Cfo Franchise · 2025 FDDAnswer from 2025 FDD Document
rm authorized CFO Services using the Focus CFO Marks to clients who have signed a Professional Services Agreement with Focus CFO.
- 1.4. If Franchisee expresses an intent to provide CFO Services, Franchisee may either: (i) perform CFO Services on a limited basis as a CFO, as set forth in Attachment B Section 1.E.i., under a separate CFO Licensing Agreement with Focus CFO while maintaining its status as an Area President under this Agreement; or (ii) terminate this Agreement and its right to operate as an Area President and apply with Focus CFO to acquire a non-exclusive license to operate as a CFO under a Focus CFO Licensing Agreement. Under this Section 1.4(ii), Focus CFO will not refund any difference, if applicable, between the Franchise Fee paid by Franchisee under this Agreement and any payment required to obtain a non-exclusive license.
- 1.5. Franchisee may, but is not required to, hire employees and/or outside contractors ("Support Resources") for administrative support without the written consent of Focus CFO. Franchisee shall obtain Focus CFO's prior written approval for the hiring of any Support Resource who is designated by Franchisee as having a "public facing role" that utilizes the Focus CFO Marks. Such approval by Focus CFO is necessary in order to protect the Focus CFO brand. Franchisee shall take full responsibility for all Support Resources Franchisee hires and shall comply with all federal, state and local employment laws and regulations.
Source: Item 23 — Receipts (FDD pages 37–126)
What This Means (2025 FDD)
According to the 2025 Focus Cfo Franchise Disclosure Document, a franchisee who starts as an Area President has two options if they want to provide CFO Services. First, they can perform CFO Services on a limited basis as a CFO under a separate CFO Licensing Agreement with Focus CFO, while still maintaining their status as an Area President. The details of this arrangement are outlined in Attachment B, Section 1.E.i.
Alternatively, the franchisee can terminate their Franchise Agreement as an Area President and then apply to Focus CFO for a non-exclusive license to operate solely as a CFO under a Focus CFO Licensing Agreement. It's important to note that if a franchisee chooses to terminate their Area President agreement and become a CFO licensee, Focus CFO will not refund any difference between the initial franchise fee paid and any payment required to obtain the CFO license.
Additionally, an Area President's compensation will be affected if they transition to performing CFO services. Specifically, an Area President who either voluntarily terminates their Franchise Agreement to become a Licensee for CFO Services or performs more than eight days of billable client work per month as a CFO will not receive the base rate payment on their Book of Business. Instead, they will only be compensated for the CFO services they perform, according to the terms of their Licensing Agreement with Focus CFO. This policy is designed to ensure that Area Presidents primarily focus on generating new clients unless they fully transition into a CFO role under a separate licensing agreement.