What is the Development Fee for each additional Aira Fitness Center to be developed?
Aira_Fitness Franchise · 2025 FDDAnswer from 2025 FDD Document
ditional franchise agreement, you will pay the then-current initial franchise fee being charged to new franchisees if it is greater than Ten Thousand Dollars ($10,000) for the second or greater than Eight Thousand Dollars ($8,000.00) for the third or other multiple Franchise Agreements above two.
2.2 Upon the execution of this Development Agreement, you shall pay a fee ("Development Fee") in the amount of Six Thousand Dollars ($6,000.00) times the number of additional Aira Fitness Center to be developed after the one for which Developer is signing a Franchise Agreement contemporaneously with this Development Agreement. The Development Fee is consideration for this Development Agreement, is fully earned by Franchisor upon execution of this Development Agreement and is non-refundable, notwithstand
Source: Item 23 — **RECEIPTS (FDD pages 59–254)
What This Means (2025 FDD)
According to Aira Fitness's 2025 Franchise Disclosure Document, a Development Fee of $6,000 is required for each additional Aira Fitness Center to be developed under a Development Agreement. This fee compensates the franchisor for granting the development rights.
The Development Fee is paid upon the execution of the Development Agreement and is considered fully earned by Aira Fitness at that time, making it non-refundable. However, the FDD states that $6,000 of the Development Fee will be credited towards the Initial Franchise Fee for each additional Aira Fitness Center, provided the Franchise Agreement is executed according to the Development Agreement.
For a prospective Aira Fitness franchisee, this means that while the initial outlay for development rights is $6,000 per center, this amount effectively reduces the initial franchise fee when you execute the franchise agreement for each location. This structure is common in multi-unit development deals, incentivizing developers to expand the brand's footprint while offsetting some of the upfront costs.