Where is the Authorized Location and Designated Area for the Aira Fitness Business specified in the Franchise Agreement?
Aira_Fitness Franchise · 2025 FDDAnswer from 2025 FDD Document
If we have not approved a site for your Aira Fitness Business at the time you execute the Franchise Agreement, you will select a general geographic area in which you intend to operate your Aira Fitness Business ("Preliminary Designated Area"). Your Preliminary Designated Area will be identified on the Summary Pages of the Franchise Agreement.Within 90 days after the Franchise Agreement is signed, you must acquire a site for the Aira Fitness Businesswithin the Preliminary Designated Area. Once the location of your Aira FitnessBusiness is approved, the location ("Authorized Location") and the applicable Designated Area will be filled in at Attachment A to your Franchise Agreement.
Once you have acquired the site, we will assign a Designated Area ("Designated Area") for your Aira Fitness Business. The Designated Area will be a minimum radius of 1 mile and a maximumradius of 3 miles from the Authorized Location, depending on the nature of the area in which the Aira FitnessBusiness is located, andfurther defined byzip codes,man-made or naturalboundaries, politicalboundaries, ortraffic patterns. The following factors will be considered in defining a Designated Area, in our sole discretion as to the relevance, in addition to population density: cultural demographics, household composition and income, growth trends of population, the density of residential and business entities, and geographic boundaries.
You will not receive an exclusive territory. You may face competition from other franchisees, from outlets that we own, or from other channels of distribution or competitive brands that we control. We are not required to pay you if we exercise any reserved rights within your Designated Area. However, as long as you are in compliance with the Franchise Agreement and meet the minimum membership requirements described below, we will not establish an Aira Fitness Business, nor license or franchise another party the right to establish an Aira Fitness Business within your Designated Area (except Special Sites, as defined below).
We and our affiliates also have the right to develop and operate, and grant others the right to develop and operate, businesses offering fitness services and other businesses under a different trademark within and outside the Designated Area, which may be similar to or competitive with Aira Fitness Businesses.
Certain locations are by their natureuniqueand separate in character from sites generally developed asAira Fitness Businesses ("Special Sites"). These Special Sites are excluded from the Designated Area and we have the right to develop, license or franchise Aira Fitness Businesses at these locations within or outside your Designated Area: (1) military bases; (2) public transportation facilities, including, without limitation, airports,railway stations,limited access highwaytravelplazas andothertransportation terminals; (3) sports facilities, including race tracks; (4) student unions or other similar buildings on college or university campuses; (5) hotels, resorts or similar short-term lodging; (6) apartment or condominiumcomplex; and (7) corporate office buildings or office parks.
Source: Item 12 — **TERRITORY (FDD pages 43–45)
What This Means (2025 FDD)
According to Aira Fitness's 2025 Franchise Disclosure Document, the specific Authorized Location and Designated Area for an Aira Fitness franchise are detailed in Attachment A of the Franchise Agreement, but only after the site has been approved by the company. Initially, a franchisee selects a Preliminary Designated Area, which is noted on the Summary Pages of the Franchise Agreement. Within 90 days of signing the agreement, the franchisee must secure a site within this preliminary area. Once Aira Fitness approves the location, it becomes the Authorized Location, and the Designated Area details are then finalized in Attachment A. This process ensures that the location meets the franchisor's standards before the territory is officially defined.
The Designated Area assigned to an Aira Fitness franchise will range from a 1-mile to a 3-mile radius from the Authorized Location. The exact size and boundaries are determined by Aira Fitness, considering factors like population density, cultural demographics, household income, growth trends, the density of residential and business entities, and geographic boundaries such as zip codes, natural or man-made boundaries, political boundaries, and traffic patterns. This evaluation is at the sole discretion of Aira Fitness, allowing them to tailor the Designated Area to the specific characteristics of the location.
While franchisees do not receive an exclusive territory, Aira Fitness commits not to establish another Aira Fitness Business or franchise within the Designated Area, provided the franchisee complies with the Franchise Agreement and meets minimum membership requirements. However, this protection does not extend to "Special Sites" like military bases, transportation facilities, sports facilities, college campuses, hotels, apartment complexes, and corporate office buildings, where Aira Fitness reserves the right to operate or franchise additional locations. Furthermore, Aira Fitness and its affiliates retain the right to develop and operate other fitness businesses under different trademarks, even if they compete with existing Aira Fitness franchises, both within and outside the Designated Area.