How is the Development Franchise Fee calculated for each additional Learningrx center?

According to Learningrx's 2025 Franchise Disclosure Document, the Development Franchise Fee is calculated when a franchisee signs a franchise agreement for each additional center they plan to open under an Area Development Agreement. The Development Franchise Fee is equal to 35% of Learningrx's then-current Initial Franchise Fee and Initial Training and Materials Fee. This fee is non-refundable.

For a prospective Learningrx franchisee, this means that as they expand their operations by opening additional centers within their designated area, they will incur this Development Franchise Fee for each new location. This is in addition to the Area Development Fee, which is paid upon signing the Area Development Agreement. The Area Development Fee is also calculated as 35% of the then-current Initial Franchise Fee and Initial Training and Materials Fee, multiplied by the number of additional centers granted under the Area Development Agreement, after the initial center.

It's important to note that the Initial Franchise Fee varies depending on the territory size, with a Micro Franchise (less than 100,000 people) costing $30,000 and a Standard Franchise (100,000 to 200,000 people) costing $45,000. The Initial Training and Materials Fee is $10,000. Therefore, the Development Franchise Fee will fluctuate based on which type of franchise is being developed and the fees in place at that time. Franchisees should factor these costs into their expansion plans and consider the financial implications of opening multiple Learningrx centers.