Which sections of the Focus Cfo Franchise Agreement and which items in the Disclosure Document cover the franchisee's obligation for fees?
Focus_Cfo Franchise · 2025 FDDAnswer from 2025 FDD Document
[Item 5: Initial Fees]
ITEM 5
INITIAL FEES
You will be required to pay us a lump sum initial franchise fee in the amount of Thirty-Five Thousand Dollars ($35,000) (the "Franchise Fee"). The Franchise Fee consists of (i) a payment of $17,000 to obtain this Franchise; and (ii) a one-time training fee of $18,000. This Franchise Fee will not be financed by us. You will not be permitted to engage with Focus CFO, use the Focus CFO Marks or perform services for Focus CFO clients until the full Franchise Fee is received by Focus CFO. There have been limited circumstances in the past in which Focus CFO agreed to decrease the Franchise Fee for new Franchisees who enter the System during a period in which Focus CFO focused on significant expansion of its geographic footprint. Although Focus CFO intends to apply the Franchise Fee uniformly, there may be situations where Focus CFO may offer similar discounts.
[Item 23: Receipts]
4. FRANCHISE FEE AND ONGOING FEES
- 4.1. Upon execution of this Agreement, Franchisee shall pay Focus CFO a lump sum initial franchise fee (the "Franchise Fee"). The Franchise Fee consists of (i) a payment of Seventeen Thousand Dollars ($17,000) to obtain this Franchise; and (ii) a one-time initial training fee of Eighteen Thousand Dollars ($18,000). This Franchise Fee is payment for authorizing Franchisee to join the Focus CFO System and receive initial training through Playbook and other required training as set forth in Attachment C of this Agreement. In exchange for the Franchise Fee, Franchisee will receive ongoing direction and support from Focus CFO as set forth in this Agreement and be permitted to utilize the Focus CFO System and the Focus CFO Marks.
- 4.2. The Franchise Fee will not be financed by Focus CFO and cannot be paid in installments, deferred or deducted from future compensation payments. Franchisee will not be permitted to engage with Focus CFO, use the Focus CFO Marks or provide services to Focus CFO clients until the full Franchise Fee is received by Focus CFO.
- 4.3. This Agreement is hereby void if payment of the Franchise Fee in its entirety is not made within three (3) business days of signing the Franchise Agreement by the Franchisee.
Source: Item 9 — Franchisee's Obligations (FDD page 16)
What This Means (2025 FDD)
According to the 2025 Focus Cfo Franchise Disclosure Document, the franchisee's obligation for fees is covered in Item 5, titled "Initial Fees," and Section 4 of the Franchise Agreement, titled "Franchise Fee and Ongoing Fees."
Item 5 states that the franchisee must pay a $35,000 Franchise Fee, which includes a $17,000 payment to obtain the franchise and an $18,000 one-time training fee. This fee is not financed by Focus Cfo, and the franchisee cannot engage with Focus Cfo, use its marks, or perform services for clients until the full fee is received. The document also mentions that Focus Cfo may offer discounts on the Franchise Fee in certain situations, particularly during periods of significant geographic expansion.
Section 4 of the Franchise Agreement reiterates that the franchisee must pay a lump sum initial franchise fee upon execution of the agreement. It specifies that the Franchise Fee consists of a $17,000 payment for the franchise and an $18,000 one-time initial training fee. This section also clarifies that the Franchise Fee cannot be financed, paid in installments, deferred, or deducted from future compensation payments. Failure to pay the Franchise Fee within three business days of signing the Franchise Agreement renders the agreement void.