What is the Minimum Annual Revenue Quota for a Learningrx franchisee after the first two years of operation?
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 T
Source: Item 23 — RECEIPT (FDD pages 54–209)
What This Means (2025 FDD)
According to Learningrx's 2025 Franchise Disclosure Document, franchisees must meet a minimum annual revenue quota to maintain their territory. This quota is based on the population within the franchisee's territory. For the first twelve months after opening, the minimum annual revenue quota is $50,000 for every 100,000 people in the territory. This amount increases to $75,000 for every 100,000 people in the territory for the second twelve months.
After the first two years of operation, the minimum annual revenue quota increases to $100,000 for every 100,000 people (or a pro-rated portion thereof) in the territory for any twelve-month period thereafter. For example, if a Learningrx franchisee operates in a territory with a population of 50,000, their minimum annual revenue quota after the first two years would be $50,000.
Failure to meet the minimum annual revenue quota may result in the loss of exclusivity for the territory, reduction or elimination of the territory, or termination of the franchise agreement, at Learningrx's sole discretion. This quota system is designed to ensure that franchisees are actively developing their territory and generating sufficient revenue, which in turn benefits both the franchisee and the Learningrx brand. Prospective franchisees should carefully evaluate the population and demographics of their potential territory to understand the revenue goals they will need to achieve.