factual

Can Learningrx franchisees purchase student and trainer kits and workbooks from suppliers other than Learningrx?

Learningrx Franchise · 2025 FDD

Answer from 2025 FDD Document

Currently, we are the only approved or designated supplier of Products or access through the digital Training Management System. Each student will need 1 or more kits and/or workbooks or access to those kits and/or workbooks digitally that you must pay for on the student's behalf, depending on the program. You must purchase a trainer kit for each trainer in your Center. As of the date of this Disclosure Document, we price the student and trainer kits and workbooks at a cost that is less than the cost at which a franchisee could produce them, but we reserve the right to change our pricing at any time with advanced notice to you. You are not permitted to purchase these Products from any other supplier.

Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 22–24)

What This Means (2025 FDD)

According to Learningrx's 2025 Franchise Disclosure Document, franchisees are not permitted to purchase student and trainer kits and workbooks from any supplier other than Learningrx. Each student needs one or more kits and/or workbooks (or digital access to them), which the franchisee must purchase on the student's behalf. Additionally, a trainer kit is required for each trainer at the Learningrx center.

As of the date of the 2025 Disclosure Document, Learningrx prices these student and trainer kits and workbooks at a cost that is less than what a franchisee could produce them for themselves. However, Learningrx reserves the right to change their pricing at any time with advanced notice. The FDD states that the cost of these products represents approximately 1.5% of a franchisee's total initial purchases and about 1% of ongoing supplies and materials expenses.

Learningrx does allow franchisees to request approval for other suppliers by submitting a "Supplier Approval Criteria and Request Form." Learningrx will then study the proposed product or service and approve or disapprove the proposed supplier within 30 days. Approval is based on factors such as vendor reputation, product quality, delivery performance, and credit rating. However, Learningrx retains the sole discretion to determine whether the materials meet their standards and specifications. If approval is not received within 30 days, the request is deemed disapproved. Despite this general process, the restriction on purchasing student and trainer kits from other suppliers appears to be absolute.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.