Can an Aira Fitness franchisee sell services and products identified by the Marks at any location other than the Authorized Location?
Aira_Fitness Franchise · 2025 FDDAnswer from 2025 FDD Document
You do not have the right to sell services and products identified by the Marks at any location other than the Authorized Location or through any other channels or methods of distribution, including the internet (or any other existing or future form of electronic commerce), catalog sales, telemarketing or other direct marketing. You do not have the right to sellservices and products identified by the Marks to any person or entity for resale or further distribution,
Source: Item 16 — **RESTRICTIONS ON WHAT THE FRANCHISEE MAY SELL (FDD pages 47–48)
What This Means (2025 FDD)
According to the 2025 Aira Fitness Franchise Disclosure Document, franchisees are explicitly restricted from selling services and products identified by the Aira Fitness Marks outside of their Authorized Location. This restriction extends to all other channels or methods of distribution, including online sales, catalog sales, telemarketing, and other forms of direct marketing. Additionally, franchisees are prohibited from selling Aira Fitness products or services to any person or entity for resale or further distribution. This means that franchisees must conduct all sales activities directly from their approved physical location.
This policy ensures that Aira Fitness maintains control over its brand and distribution channels. By limiting sales to the Authorized Location, Aira Fitness can better manage quality control and customer experience. It also prevents franchisees from undercutting each other's prices or diluting the brand by selling through unauthorized channels. This restriction is fairly common in the franchise industry, as franchisors seek to maintain uniformity and protect their brand image.
However, Aira Fitness retains the right to use the System and Marks anywhere and in any manner, including offering, selling, or distributing items such as training videos, equipment, and athletic gear associated with the System through any distribution channels or methods, without compensating any franchisee. These distribution channels or methods may include retail stores, mail order, wholesale, or the internet. Aira Fitness also has the right to provide and license third parties to provide ancillary programs developed by or for them or their affiliates at host locations (such as apartments, condominium associations, corporate offices, schools, community Aira Fitness Business and other gyms and exercise facilities), within and outside a franchisee's Designated Area and without compensation to the franchisee.
For a prospective franchisee, this means that their sales efforts must be focused on their local, physical presence. They cannot rely on online sales or other distribution methods to expand their reach. The franchisee should inquire about the franchisor's plans for online sales and other distribution channels, as these could potentially compete with the franchisee's business. Understanding these restrictions is crucial for developing a realistic business plan and assessing the potential profitability of an Aira Fitness franchise.