How is the Minimum Annual Revenue Quota calculated for a Learningrx franchise?
Learningrx Franchise · 2025 FDDAnswer from 2025 FDD Document
loper Agreement, if any.
- 4.3 Soliciting Outside the Territory. Subject to the requirements of Sections 9.1 and 9.2, Franchisee may not, without the express written permission of Franchisor, place advertising targeted primarily to another territory unless the advertising is done as part of a cooperative effort with the Franchisee in the targeted territory
- 4.4 Minimum Annual Revenue Quota. In order to maintain the Territory, Franchisee must maintain a Minimum Annual Revenue Quota ("Minimum Annual Revenue Quota"), starting six (6) months after opening in the amount of Fifty thousand and 00/100 Dollars ($50,000.00) for every one hundred, thousand (100,000) people (or pro-rated portion of one hundred, thousand (100,000)) in the Territory for the first twelve (12) months, Seventy-Five thousand and 00/100 Dollars ($75,000.00) for every one hundred, thousand (100,000) people (or pro-rated portion of one hundred, thousand (100,000)) in the Territory for the second (2nd) twelve (12) months and One hundred, thousand and 00/100 Dollars ($100,000.00) for every one hundred, thousand (100,000) people (or pro-rated portio
Source: Item 23 — RECEIPT (FDD pages 54–209)
What This Means (2025 FDD)
According to the 2025 Learningrx Franchise Disclosure Document, franchisees must meet a Minimum Annual Revenue Quota to maintain their territory. This quota begins six months after the franchise opens. The calculation is based on the population within the franchisee's territory.
For the first 12 months, the Minimum Annual Revenue Quota is $50,000 for every 100,000 people in the territory. This amount is pro-rated for territories with populations that are not exactly 100,000. For the second 12 months, the quota increases to $75,000 for every 100,000 people. After the initial two years, the Minimum Annual Revenue Quota becomes $100,000 for every 100,000 people in the territory for each subsequent 12-month period.
Failure to meet the Minimum Annual Revenue Quota can have serious consequences for a Learningrx franchisee. According to the FDD, the franchisor has the right to remove the territory's exclusivity, reduce or eliminate the territory, or even terminate the franchise agreement. This is solely at the discretion of Learningrx.