When is the initial franchise fee due for a Learningrx franchise?
Learningrx Franchise · 2025 FDDAnswer from 2025 FDD Document
- Costs & Fees. All fees and costs are non-refundable under all circumstances.
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- Initial Franchise Fees. LearningRx will approve or decline your application within 45 days of our receipt of your completed application and your attendance at Discovery Day. Your Initial Franchise Fee will be due upon signing the Franchise Agreement and is fully earned upon payment. We will not refund the Initial Franchise Fee under any circumstances. If you sign an Area Development Agreement, you must pay an Area Development Fee, which is based on the number of Centers you are authorized to develop. You will pay the Area Development Fee at the time you sign the Area Development Agreement. You will pay the Development Franchise Fee at the time you sign each additional franchise agreement for the additional Centers you open per the Area Development Agreement. You will pay the Satellite Addendum Fee at the
time you sign the Satellite Addendum and is fully earned upon payment. We will not refund the Satellite Addendum Fee under any circumstance. You will pay the Satellite Addendum Fee at the time you sign each additional Satellite Addenda. (See ITEM 5).
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- Travel and Living Expenses while Training. The low estimate of $0 for training expenses is based on the assumption that the attendee is the owner of a Satellite location, which has no requirement to travel to Colorado Springs, Colorado to attend training.
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- Initial Training & Materials Fee.
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 19–22)
What This Means (2025 FDD)
According to Learningrx's 2025 Franchise Disclosure Document, the initial franchise fee is due upon signing the Franchise Agreement. The FDD specifies that this fee is considered fully earned by Learningrx upon payment and is non-refundable under any circumstances. The amount of the initial franchise fee varies depending on the type of franchise. For a satellite location, the initial franchise fee is $5,000. For a Micro Franchise, the initial fee is $30,000, and for a Standard Franchise, it is $45,000. These fees are paid directly to Learningrx.
If a prospective franchisee enters into an Area Development Agreement with Learningrx, they must also pay an Area Development Fee at the time of signing the Area Development Agreement. This fee is based on the number of Learningrx centers the developer is authorized to open. Furthermore, a Development Franchise Fee is due at the time the franchisee signs each additional franchise agreement for additional centers they plan to open under the Area Development Agreement. Similarly, a Satellite Addendum Fee is due when signing a Satellite Addendum.
It is important to note that Learningrx will approve or decline a franchise application within 45 days of receiving the completed application and after the applicant attends Discovery Day. Given that the initial franchise fee is due upon signing the Franchise Agreement, prospective franchisees should ensure they are fully satisfied with the opportunity and have completed their due diligence before this point. Since all fees and costs are non-refundable, franchisees should be certain of their decision before signing the agreement and remitting payment.