Which section of the Focus Cfo Franchise Agreement covers the franchisee's obligation for renewal?
Focus_Cfo Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisee's Franchise Fee will be fully refunded.
- 1.8. Termination of this Agreement shall constitute a termination of the Franchise.
2. TERM AND RIGHT TO RENEW
2.1. This Agreement and the Franchise will have an initial term of ten (10) years from the Effective Date (the "Initial Term"), unless earlier terminated pursuant to Section 11.
2.2. Subject to the provisions of Section 2.3, Franchisee shall have the right to renew the Franchise, on the terms and conditions contained in Focus CFO's then-current Franchise Agreement.
2.3. Franchisee's right to renew the Franchise is conditioned on the following:
- 2.3.1. Prior to the commencement of the renewal term, Franchisee executes general releases (to the extent permitted by applicable law), of any and all claims arising during or out of the Initial Term of this Agreement against Focus CFO and its officers, directors, employees, agents, parent corporations and affiliates;
- 2.3.2. Franchisee has satisfied all Performance Standards as specified in Attachment E to the Franchise Agreement;
2.3.3. Franchisee is not in default of any provision of this Agreement or any other agreement with Focus CFO;
2.3.4. Franchisee shall execute Focus CFO's then-current Franchise Agreement (with modifications to reflect the fact that the agreement relates to the renewal of the Franchise) which may contain terms that are materially different than the terms of this Agreement. Failure to sign such agreement prior to the termination of the current Agreement shall be deemed an election by Franchisee not to renew the Franchise. Subject to the provisions of Section 12, below, Franchisee has the option to Transfer its Book of Business (as defined in Attachment A) to another franchisee at the end of the Initial Term. At its option, Focus CFO may elect to extend the term of this Agreement rather than entering into a new franchise agreement;
2.3.5. Franchisee pays a renewal fee in the amount of Two Thousand Five Hundred Dollars ($2,500). Such renewal fee shall be paid by Franchisee at the time of executing the then-current Franchise Agreement as
Source: Item 9 — Franchisee's Obligations (FDD page 16)
What This Means (2025 FDD)
According to Focus Cfo's 2025 Franchise Disclosure Document, Section 2.3 of the Franchise Agreement outlines the franchisee's obligations for renewal. Specifically, Section 2.2 grants the franchisee the right to renew, contingent upon meeting the conditions detailed in Section 2.3.
The conditions for renewal include executing general releases of claims against Focus Cfo, satisfying performance standards outlined in Attachment E of the Franchise Agreement, and not being in default of any agreement with Focus Cfo. Additionally, franchisees must execute Focus Cfo's then-current Franchise Agreement, which may contain materially different terms, and pay a renewal fee of $2,500. Franchisees must also satisfy any additional training and certification requirements mandated by Focus Cfo.
It is important for prospective Focus Cfo franchisees to carefully review Section 2 and Attachment E of the Franchise Agreement to fully understand the requirements and potential changes in terms upon renewal. Franchisees should also be prepared to cover the $2,500 renewal fee and any costs associated with additional training or certification.