Is the continuing education fee for Gokhale Method paid to the franchisor?
Gokhale_Method Franchise · 2024 FDDAnswer from 2024 FDD Document
You agree to pay to us our regular fees for continuing training programs and such other fees as we may require in the Teachers Manual or Policy Statements.
These fees include, but are not limited to fees for the Annual Meeting, for teacher webinars, and for membership in Gokhale® Active (Premium).
The Billing Fee Schedule for these fees in effect as of the signing of this Agreement is included in the annexed Exhibit A and is subject to change from time to time in our reasonable discretion upon thirty (30) days' notice.
Source: Item 5 — INITIAL FEES (FDD pages 10–11)
What This Means (2024 FDD)
According to Gokhale Method's 2024 Franchise Disclosure Document, franchisees are required to pay continuing education fees to the franchisor, Gokhale Method Institute, Inc. Item 22 specifies that franchisees must pay regular fees for continuing training programs, including fees for the Annual Meeting ($450 annually), teacher webinars ($240 annually), and membership in Gokhale® Active (Premium) ($140 annually). These fees are subject to change at the franchisor's discretion with thirty days' notice.
Item 5 also indicates that before beginning operations, franchisees must pay a continuing education fee to Gokhale Method, with total payments for goods and services, including the initial $4,000 franchise fee, ranging from $6,081 to $7,932. Furthermore, Item 11 states that additional training and refresher courses are required, including attendance at the Annual Meeting and participation in teacher webinars.
The franchisor may deduct continuing education fees from payments due to the franchisee, as stated in Item 22. This means that Gokhale Method has the right to subtract these fees from any payments owed to the franchisee for activities within a calendar month. This ensures that the franchisor can collect these fees efficiently.
Prospective franchisees should note that while the FDD provides estimates for certain continuing education fees, Gokhale Method reserves the right to add new approved formats or new continuing education requirements in the future, which may incur additional costs. Franchisees should inquire about potential future training requirements and associated costs to fully understand their financial obligations.