What is the total operating lease cost for a Learningrx franchise?
Learningrx Franchise · 2025 FDDAnswer from 2025 FDD Document
he renewal of lease will be chosen. Rent expense was $60,000 and $80,000 for the years ended September 30, 2024 and 2023, respectively. The company uses the incremental borrowing rate to calculate the ROU asset. As of September 30, 2024 and 2023 ROU assets were $218,958 and $220,053, respectively.
| Operating lease cost | $ 60,000 |
|---|
Source: Item 23 — RECEIPT (FDD pages 54–209)
What This Means (2025 FDD)
According to Learningrx's 2025 Franchise Disclosure Document, the operating lease cost is $60,000. The total lease costs are also listed as $60,000. The weighted-average remaining lease term is 4 years, with a weighted average interest rate of 4.57%.
Future lease payments for a Learningrx franchise are detailed in the FDD. For each of the years 2025, 2026, 2027, and 2028, the lease payment is $60,000.
Prospective franchisees should note that they are responsible for locating a site for the Learningrx business and negotiating the lease. Learningrx will provide limited advice and assistance in site selection and lease negotiation, but the final decision rests with the franchisee. The franchisor may reject a proposed location, but consent will not be unreasonably withheld. If the franchisee and franchisor cannot agree on the site selection, the franchisee must select two alternative sites for the franchisor to evaluate.