When is the Learningrx Area Development Fee due?
Learningrx Franchise · 2025 FDDAnswer from 2025 FDD Document
| Amount | |||||
|---|---|---|---|---|---|
| Micro | Standard | Method of | To Whom Payment is to be | ||
| Type of Expenditure | Franchise | Franchise | Payment | When Due | Made |
| Initial Investment to Open Initial | $148,000 | $220,000 | See Estimated Initial Investment: Single Center chart above in this Item 7 | ||
| Micro or Standard Center | |||||
| Area Development Fee | $10,500 | $15,750 | Lump Sum | Upon execution of Area Developer Agreement | Franchisor |
| TOTALS | $158,500 | $235,750 |
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 19–22)
What This Means (2025 FDD)
According to Learningrx's 2025 Franchise Disclosure Document, the Area Development Fee is due upon execution of the Area Developer Agreement. This fee compensates Learningrx for granting the franchisee the right to open and operate additional centers, provided they meet the obligations outlined in the Area Developer Agreement.
The Area Development Fee is calculated as 35% of the then-current Initial Franchise Fee and Initial Training and Materials Fee, multiplied by the number of additional centers the franchisee is authorized to develop beyond the initial center. For each additional center beyond the initial one, the Area Development Fee increases by $10,500 for a Micro Center or $15,750 for a Standard Center.
For a Micro Franchise, the Area Development Fee is listed as $10,500, while for a Standard Franchise, it is $15,750. These amounts are paid in a lump sum to Learningrx. It is important to note that all fees and payments to Learningrx are generally non-refundable, unless otherwise stated or permitted by Learningrx.