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Sandler Training Franchise Costs & Fees

Date of Incorporation: 1967
Franchising Since: 1983
Headquarters: Owings Mills, Maryland

Business Description: The franchisor is Sandler Systems, Inc. (SSI). SSI grants franchises providing the right to operate a Sandler Training business devoted to a distinctive style of training persons and organizations in the fields of sales and sales management, which includes management consulting, goal setting and achievement, self-awareness, motivation, personal development, relationship management, leadership development and negotiations as it relates to the fields of sales and sales management; and also methods of teaching these subjects through seminars and workshops.

Franchise Offer: The franchisee will provide sales and sales management training to individual professionals and to businesses.

Financial Assistance: Neither SSI nor any affiliate of SSI, either directly or indirectly, offers any financing arrangements to franchisees. SSI does not receive any direct or indirect payments or other consideration for placing financing, nor does SSI guarantee your obligations to third parties.

Training and Assistance: Initial Training, Part I is generally conducted every two months for eight days. Initial Training, Part II is a two-day session, generally conducted three times a year. Initial Training, Part I is held at SSI's home office or at a hotel conference facility in the Baltimore area. Initial Training, Part II is held at a hotel conference facility in the Baltimore area, or elsewhere in the United States, as determined by SSI. Initial Training sessions are open only to franchisees or, in cases where the Franchisee will not be involved in the day-to-day operation of the business, managers who have signed the Managers Non-Disclosure and Non-Compete Agreement. SSI may train employees in separate sessions designed for employees only, and may conduct these sessions less frequently than Initial Training sessions. SSI will provide advice over the telephone regarding the operation of the franchised business. SSI may conduct periodic conferences to discuss sales techniques, programs, and other topics of interest to franchisees.

Territory: The franchisee will not receive an exclusive territory. SSI may grant franchises to others who will work inside and outside the territory, as well as the geographic area the franchisee designates in which he/she intends to focus the business within the territory. The franchisee may face competition from other franchisees, from outlets that SSI owns, or from other channels of distribution or competitive brands that SSI controls. The franchisee must designate a geographic area, which must be approved by SSI, in which he/she intends to focus the business within the territory granted to the franchisee and he/she must establish a location within this area, which must be approved by SSI, for the primary office and primary training facility location.

Term of Agreement and Renewal: The length of the initial franchise term is 5 years. If requirements are met, there are three renewal terms of 5 years each available.

Obligations and Restrictions: The franchisee (if the franchisee is an entity, then the owners of the entity) must devote full business time and attention to the operation of the franchise, and cause the franchise to be effectively and efficiently operated. The franchisee may not operate any other business without SSI's prior written consent. The franchisee is not permitted to offer, sell or promote any other programs or materials except programs and materials obtained from SSI or its approved vendors.

Estimated Number of Units: 260

Investment Tables:
Initial Investment
Name of Fee Low High
Initial Franchise Fee $73,000 $73,000
Travel and Living Expenses While Training $1,000 $1,900
Real Estate and Improvements Varies
Office Furnishings and Equipment $2,675 $10,750
Office Supplies $250 $450
Miscellaneous Opening Cost $400 $1,000
Insurance $200 $400
Additional Funds (3 Months) $14,000 $21,000
ESTIMATED TOTAL (excluding real estate costs) $91,525 $108,500
Other Fees
Type of Fee Amount
Monthly Service Charge $1,160
Minimum Product Purchase Requirement $8,000 per calendar year, plus shipping charges. There is an additional $100 charge for same-day shipments.
Marketing Fee Currently, $400 per month.
Newsletter Subscription Fee $50 per month.
Transfer Fee $12,500, or 12% of the total sale price, whichever amount is greater.
Transfer of Franchise to Corporation or Other Entity for Convenience of Ownership $500
Late Fee $50 for each $1,000 or portion thereof past due.
Renewal Fee $500
Training Fee $300 per session.
Certification Fees Currently, there is no fee or travel/lodging required.
E-Mail Service Fee $100 per e-mail address, per year.
Sandler Online Fees Currently, the annual per-portal maintenance fee is $500, and the annual license fee for 25 users is $1,600
CRM and Performance Metrics Software Fee Currently, the initial set-up fee is $375, and the user fee charge starts in month 25 and is $100 per month.
Participation in SSI's Internet Web Site Program Fees Currently $720 per year.
Conference Registration Fee Currently, $100 per person, per conference.
Attorneys' Fees and Costs Varies.
Indemnification Varies.

The above information has been taken from the FDD of Sandler Training. Year of FDD: 2015

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