According to the Learningrx FDD, what expenses does the initial fee cover?
Learningrx Franchise · 2025 FDDAnswer from 2025 FDD Document
cient funds, plus a fine in accordance with the relevant provisions of the Operations Manual.
- 5.6 Taxes and Debts. Franchisee will promptly pay when due all taxes, fees, debts, expenses, and assessments of the franchised Business, including payroll taxes. Franchisee will not permit a tax sale, seizure, levy, execution, bankruptcy, assignment of assets for or by creditors, or similar action to occur.
- 5.7 Initial Training and Materials Fee. Franchisee must pay an initial Training and Materials Fee ("Initial Training and Materials Fee") of Ten thousand and 00/100 Dollars ($10,000.00) upon the signing of this Agreement as set forth in Attachment I. The Initial Training and Materials Fee is fully earned upon payment and is non-refundable under any circumstances.
- 5.8 Technology Fee. Franchisee must pay Franchisor a Technology Fee ("Technology Fee") ranging from One thousand, eight hundred and 00/100 Dollars ($1,800.00) to Two thousand, four hundred and 00/100 Dollars ($2,400.00) per year (depending on the size of Franchisee's territory). A quarter of this
fee is due on the first (1 st) day of each quarter for the prior quarter of this agreement. Franchisor reserves the right to adjust this fee in Franchisor's sole discretion upon reasonable notice to Franchisee.
5.10 Interim Period Fee. Franchisee must pay Franchisor a fee of Two hundred fifty Dollars ($250.00) per month ("Interim Period Fee") during the first six (6) months of an Interim Period. The Interim Period Fee will be due to Franchisor on the tenth (10th) day of each month during the Interim Period. This fee will increase to Five hundred and 00/100 Dollars ($500.00) per month on the seventh (7th) month and beyond.
6. MARKS
- 6.1 Marks. Franchisee must only use the Marks in the conduct of the Business as specified in this Agreement. Any unauthorized use of the Marks by Franchisee will constitute a breach of this Agreement and an infringement on Franchisor's rights in and to the Marks.
Source: Item 23 — RECEIPT (FDD pages 54–209)
What This Means (2025 FDD)
According to the 2025 Learningrx Franchise Disclosure Document, franchisees must pay an initial Training and Materials Fee of $10,000 upon signing the agreement, as detailed in Attachment I. This fee is considered fully earned upon payment and is non-refundable under any circumstances.
Additionally, Learningrx franchisees must pay a Technology Fee ranging from $1,800 to $2,400 per year, depending on the size of the territory. This fee is payable quarterly, with one quarter of the total amount due on the first day of each quarter for the prior quarter. Learningrx retains the right to adjust this Technology Fee with reasonable notice to the franchisee.
In the event of a transfer of the Learningrx franchise, the transferee must pay a Transfer Fee of $10,000, which covers initial training at Learningrx's office, onsite training, advanced consultation training onsite/grand opening, and legal fees. However, a reduced Transfer Fee of $5,000 applies if the transfer is to another Learningrx franchisee. No Transfer Fee is required if the transfer is to a corporation where the franchisee holds the majority of stock, or to the franchisee's child, parent, sibling, or spouse, provided Learningrx approves the transfer.