About Crestcom InternationalVA Franchise
Crestcom International is a professional development franchise that delivers management, sales, and leadership training to businesses through a blend of live instruction and video based programs.
The company has been franchising area representative opportunities since 2008, backed by Crestcom International Holdings, LLC.
The area representative fee ranges from $225,000 to $450,000.
Crestcom InternationalVA Franchise Cost & Fees
Minimum Investment
$232K
Average Investment
$372K
Maximum Investment
$513K
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $225,000 - $450,000 | One-time payment upon signing |
| Royalty Fee | 19.75% of Gross Revenues of gross sales | Ongoing; paid monthly |
| Marketing/Ad Fund | None | National brand fund |
| Total Investment Range | $231,575 – $512,575 | Includes build-out, inventory, working capital |
The investment range of $232K–$513K reflects variability in build-out costs, store size, lease terms, and market. The combined royalty (19.75% of Gross Revenues) and marketing fee (None) are ongoing costs paid as a percentage of gross sales.
Investment Breakdown (Item 7)
| Item | Low | High |
|---|---|---|
| Initial Area Representative Fee | $225,000 | $450,000 |
| Conversion Fee Payment | $0 | $45,000 |
| Office Lease Costs | $0 | $500 |
| Equipment and Supplies | $575 | $2,000 |
| Vehicle | $0 | $3,000 |
| Insurance | $500 | $1,800 |
| Legal and Accounting | $500 | $1,500 |
| Additional Funds (3 months) | $5,000 | $8,775 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Transfer Fee | The greater of $20,000 or 5% of the total consideration received for the transfer of the Area Representative Agreement |
| Renewal Fee | $16,500 |
| Technology Fee | Currently none, but may be charged in the future |
| Regional Meeting and Annual International Convention Fee | Will vary (not more than $550 per attendee in 2022) |
| Transferee Training Fee | $3,500 |
| New Material and Supplier Approval | Actual expenses of approval |
| Interest | Lesser of 18% per annum or highest rate of interest allowed by law |
| Administrative Fee | $10 per late fee or payment |
| Late Charge | 3% of any amounts you owe us that are not paid when due |
| Additional and Refresher Training | $500/day |
| Costs and Attorneys’ Fees | Will vary under circumstances |
| Indemnification | Will vary under circumstances |
Training Program (Item 11)
| Detail | Information |
|---|---|
| Total Duration | Half day (Area Representative Certification Training) |
| Classroom Training | 4 |
| On-the-Job Training | 0 |
| Training Location | Virtually (via internet, telephone, or similar communications method), or in-person in the Denver, Colorado, U.S.A. metropolitan area or another location selected by us |
| Additional Training | Area Representatives must attend mandatory annual international conventions and up to one additional mandatory meeting each year. Crestcom also conducts videoconference, virtual, and online training programs that Area Representatives must participate in if mandatory. |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | Exclusive |
| Exclusive Territory | Yes |
| Territory Size | A U.S. Territory may be a part of a state, an entire state, or multiple states. The minimum size of a U.S. Territory will be an area that we determine can reasonably be serviced by three CRESTCOM Businesses. |
| Description | Area Representatives receive an exclusive territory, provided they comply with the Area Representative Agreement, including meeting Development Obligations and Minimum Quarterly Production Obligations. However, other franchisees, area representatives, or Crestcom itself may identify and introduce prospective franchisees within the territory. |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Initial Term | 7 years |
| Renewal Term | Up to 3 successor terms of 7 years each |
| Renewal Fee | $16,500 |
| Renewal Conditions | Notice at least 120 days prior to expiration, compliance with agreement, pay successor area representative fee, modify business to comply with current Procedures Manual, execute new Area Representative Agreement (which may have materially different terms), execute a Successor Rider with a general release (subject to state law), and others. |
| Transfer Fee | The greater of $20,000 or 5% of the total consideration received for the transfer of the Area Representative Agreement |
| Transfer Conditions | 30 days prior written notice, transferee introduced by Area Rep, all amounts due paid, transferee completes training, transferee training fee and transfer fee paid, current Area Representative Agreement signed or obligations assumed, Agreement and Consent to Transfer signed, general release signed (subject to state law), Franchise Agreement transferred, agreement to abide by post-termination covenants, and others. |
| Termination for Cause | Crestcom can terminate without opportunity to cure for reasons such as unauthorized disclosure of confidential information, abandonment, insolvency, unsatisfied judgments, criminal conviction, sexual harassment/discrimination, repeated noncompliance (3 notices), unauthorized transfer, unauthorized training, unauthorized solicitation of Authorized Representatives, marketing outside territory, unauthorized material duplication/modification, violation of non-compete, failure to complete training, inadequate guaranties, Patriot Act violation, or breach of related agreements. For other breaches, a 30-day cure period is typically provided. |
| Non-Compete Period | 30 months |
| Non-Compete Details | For 30 months after termination or expiration, Area Representatives and their officers/directors/shareholders/partners/members/Authorized Representatives are prohibited from owning, operating, or performing services for a competing business within any Area Representative Business Territory or interfering with Crestcom's relationships with other parties (subject to state law). |
Operations & Supply (Items 8 & 15)
| Detail | Information |
|---|---|
| Owner-Operator Required | Yes |
| Participation Details | Area Representatives or their Principal Representatives must devote their best, full-time efforts to managing and operating their Area Representative Businesses. If an entity, the Principal Representative must be approved by Crestcom and successfully complete the initial training program for a CRESTCOM Business and the Area Representative Certification Training. |
| Required Suppliers | Area Representatives must purchase or otherwise acquire all items used in their Area Representative Businesses from suppliers designated or approved by us. |
| Supply Restrictions | If you want to utilize any materials or services in your Area Representative Business, or use any new suppliers that have not previously been approved by us, you must first obtain our approval. We may withhold our approval. We do not have written criteria for supplier approval. We may revoke our approval of any supplier previously approved. You are not required to purchase any Materials from us in order to operate your Area Representative Business, although you may elect to acquire our Franchisee Briefing video and other promotional materials. We are currently the only approved supplier of the Franchise Briefing video. |
| Franchisor Revenue from Suppliers | During the fiscal year ending on December 31, 2022, we had revenues of $6,163,213. Of this amount, $82,480 (approximately 1.34 percent of the total revenues) consisted of revenues derived from Materials and other items sold to Franchisees and Area Representatives in the United States. |
Financing (Item 10)
| Detail | Information |
|---|---|
| Financing Available | Yes |
| Description | Crestcom typically finances a portion of the Initial Area Representative Fee, generally up to 50%. The Promissory Note is usually payable in a lump sum within 30 days of the Trigger Date (no later than one year from the Area Representative Agreement date) and typically bears no interest during this year. The note is secured by collateral, including the Area Representative Business rights, or guaranteed by acceptable persons. |
Crestcom InternationalVA Franchise Earnings — Item 19
Average Revenue
$912K
Median Revenue
$625K
Revenue Range
$145K – $4.6M
Sample Size
16 units
Past financial performance does not guarantee future results. Individual results will vary.
Crestcom InternationalVA Litigation & Risk Flags
Clean Litigation RecordCrestcom InternationalVA has no pending litigation actions listed in their FDD. There is also no bankruptcy history disclosed.
Litigation and bankruptcy data is sourced from Items 3 and 4 of the FDD. Always verify current status directly from the most recent FDD.
Crestcom InternationalVA System Growth
Total Units
25
Franchised
25
Company-Owned
0
Crestcom InternationalVA currently operates 25 franchised locations and 0 company-owned units. Unit count data is sourced from Item 20 of the FDD.
Unit History (Item 20)
| Year | Opened | Closed | Total |
|---|---|---|---|
| 2020 | 0 | 3 | 25 |
| 2021 | 1 | 1 | 25 |
| 2022 | 1 | 1 | 25 |
Transfers: 0 | Closures: 1
State Registrations
Registered in 48 states: AL, AK, AZ, AR, CA, CO, CT, DE, DC, GA, FL, HI, ID, IL, IN, IA, KS, KY, LA, ME, MA, MN, MI, MS, MO, MT, NE, NV, NH, NJ, NM, NC, ND, OH, OK, OR, PA, RI, SC, SD, TN, TX, UT, VT, VA, WI, WV, WY
Franchisor Financials (Item 21)
Revenue
$6.2M
Net Income
$212K
Total Assets
$13.0M
Audited by CliftonlarsonAllen LLP for year ending December 31.
Crestcom InternationalVA Franchise — FAQ
The total investment to open a Crestcom InternationalVA franchise ranges from $231,575 to $512,575, per their Franchise Disclosure Document. This includes the initial franchise fee of $225,000 - $450,000. The investment covers build-out, inventory, equipment, signage, working capital, and other startup costs.
Crestcom InternationalVA charges a royalty fee of 19.75% of Gross Revenues of gross sales, plus a None contribution to the marketing/advertising fund. These fees are paid on an ongoing basis.
You can download the Crestcom InternationalVA Franchise Disclosure Document free on this page. The FDD is a public document filed with state franchise registries. Always also request the current FDD directly from Crestcom InternationalVA to ensure you have the most up-to-date version.
According to the Item 19 financial performance representation in their FDD, Crestcom InternationalVA franchise owners report average revenue of $912K and median revenue of $625K. This is based on a sample of 16 units. Past performance does not guarantee future results.
Crestcom InternationalVA has been franchising since 2008. The FDD shows an investment range of $231,575-$512,575, a 19.75% of Gross Revenues royalty, and includes an Item 19 earnings disclosure. There is no pending litigation. Review the full FDD and contact current franchisees listed in Item 20 before making any investment decision.
The franchise fee is $225,000 - $450,000 and the total investment ranges from $231,575 to $512,575 depending on location size and market. Contact the franchisor directly for current net worth and liquid capital requirements, territory availability, and application details.
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Data Source & Disclaimer: This website is for informational purposes only. It is not an offer to sell or buy a franchise. This profile is based on publicly available FDD data sourced from state franchise registry filings. All information is for research purposes only and does not constitute legal, financial, or investment advice. Data may be outdated or contain errors. Always obtain the current FDD directly from Crestcom InternationalVA and consult a qualified franchise attorney before making any investment decision. FranchiseOverview.com is operated by Franchising Compliance, LLC and is not affiliated with Crestcom InternationalVA or any of its subsidiaries. To report an inaccuracy: info@franchiseoverview.com