ChiroWay ChiroWay Chiropractic
ChiroWay Chiropractic offers state-licensed chiropractors or students the chance to operate centers providing affordable salutogenic chiropractic services using their Advanced Muscle Palpation Technique. Known for Direct Care Plans, this franchise operates in the chiropractic health services sector.
ChiroWay ChiroWay Chiropractic franchise FAQ
How much does it cost to open one — the total initial investment?
The total initial investment necessary to begin operation of a Center is between $113,350 and $170,200, which includes $33,000 that must be paid to the franchisor or its affiliates. [p.1]
What is the initial franchise fee?
The initial franchise fee for a ChiroWay franchise is $33,000 [p.10]. This fee is nonrefundable and is due when you sign the Franchise Agreement [p.49].
What are the ongoing royalty and advertising fees?
The ongoing royalty fee is calculated as a percentage of net revenues billed to customers by franchisees [p.122]. Additionally, there is a mandatory minimum payment requirement for advertising contributions; each franchisee must pay $400 per month for the franchisee's share of the company’s national marketing and sales fund [p.51, p.111].
How long is the initial franchise agreement, and can I renew it?
The length of the initial franchise agreement isn't specified in the excerpts. Regarding renewal, you have the right to renew the franchise for two additional five-year terms under the franchisor's then-current terms and conditions, provided you meet certain minimum conditions [p.48].
Can I sell or transfer my franchise, and what does that require?
According to the FDD, you cannot transfer, assign, or dispose of your franchised business, substantially all of its assets, this agreement, any material contract related to the center, or a controlling interest in your franchise without obtaining ChiroWay's prior written consent [p.71]. ChiroWay will not unreasonably withhold their consent to such transfers [p.71].
On what grounds can the franchisor terminate the agreement?
The franchisor may terminate the agreement immediately upon written notice to the franchisee if any of the operating agreements or employment agreements between the franchisee and the doctor are terminated for any reason [p.164]. Additionally, there are no other specific grounds provided in the excerpts for termination by the franchisor.
What financial requirements — net worth and liquid capital — do I need to qualify?
This isn't specified in the excerpts.
Do I get an exclusive or protected territory?
You will receive a Protected Area around your Center location, but it is not an exclusive territory. This area may vary in size depending on factors such as the urban or rural setting and other geographical considerations [p.28]. You must direct advertising and promotional activities within this Protected Area unless you are part of an approved marketing cooperative or have obtained prior written consent from the franchisor [p.33].
What training and ongoing support does the franchisor provide?
The franchisor provides initial online or conference call training for all franchisees [p.23], as well as an initial training program that includes the Advanced Muscle Palpation Technique® for Licensed Chiropractors [p.26]. After opening, they offer supplemental and refresher training programs at Franchisee's expense, which may be provided via webinar or in person [p.56]. The franchisor also reserves the right to require additional training if customer satisfaction standards are not met [p.56]. Managing Owner and Licensed Chiropractors must attend a minimum number of national conferences and regional meetings as determined by the franchisor [p.28, p.56].
How many franchised outlets are there, and how many have closed or been terminated?
This isn't specified in the excerpts. The FDD provides information about potential competition but does not give a specific number of franchised outlets or those that have closed or been terminated.
Does the franchisor share any financial performance or earnings information?
The franchisor may provide actual records of an existing outlet you are considering buying. However, they do not make any representations about a franchisee's future financial performance or past financial performance of company-owned or franchised outlets, and they authorize no such representations by their employees or representatives [p.36].
What am I restricted to selling, and where must I buy supplies?
You are required to maintain an inventory of approved products and equipment as directed by the franchisor. The franchisor can add new services or products that you must offer. You must not use the center to refer business to other non-ChiroWay businesses owned by you without prior written approval. Regarding supplies, you may purchase approved types of construction and decorating materials, fixtures, equipment, furniture, and signs from any supplier the franchisor approves or designates [p.53]. This includes using only those types of materials that meet the franchisor's specifications and standards for appearance, function, and performance [p.17].