Does the Aira Fitness Guaranty specify the amount of the Equipment Lease?
Aira_Fitness Franchise · 2025 FDDAnswer from 2025 FDD Document
e.
(g) On the Effective Date, Franchisee shall pay to Franchisor a nonrefundable deposit equal to ("Nonrefundable Deposit Amount"). (h) Total MSRP of all Equipment: ("Total MSRP"). (i) Amount of monthly rent: (equal to 1.5% of Total MSRP). (j) delivery fee equal to: ("Delivery Fee"). On the Effective Date, Franchisee shall pay to Franchisor's Affiliate a nonrefundable
2. Lease.
- (a) Franchisor's Affiliate hereby agrees to lease to Franchisee and Franchisee hereby agrees to lease from Franchisor's Affiliate, subject to the terms of this Fitness Equipment Lease Agreement (the "Fitness Equipment Lease"), the personal property (together with all attachments, replacements, parts, substitutions, additions, repairs, accessions and accessories, incorporated therein and/or affixed, thereto) (the "Equipment") described in any Schedule to Equipment Lease (a "Schedule") subsequently executed by the parties hereto and incorporating the terms of this Equipment Lease by reference therein (the "Lease").
- (b) The Equipment is and shall at all times be and remain the sole and exclusive personal property of Franchisor's Affiliate, and notwithstanding any trade-in or down payment by Franchisee or on its behalf with respect to the Equipment, Franchisee shall have no right, title or interest therein or thereto except as to the use thereof subject to the terms or conditions of this Lease.
- 3. Term and Rent; Purchase Option. Franchisee shall pay as monthly rent for use of the Equipment the amount described in Paragraph 1(h) above on the 1st day of each month following the Commencement Date. If any rental shall be unpaid for more than five (5) days after the
Source: Item 23 — **RECEIPTS (FDD pages 59–254)
What This Means (2025 FDD)
Based on the 2025 Aira Fitness Franchise Disclosure Document, the document does not specify the exact amount of the equipment lease within the excerpts provided. However, it does state that the franchisee will pay monthly rent for the equipment, with the amount described in Paragraph 1(h). If the rent is unpaid for more than five days after the due date, the franchisee will pay a late charge of $100.00 or 18% of the unpaid amount, whichever is greater.
The FDD states that Aira Fitness requires franchisees to modernize their businesses, including replacing all fitness equipment within three years of the agreement's effective date. Franchisees have the option to either purchase or lease the replacement equipment from a designated or approved supplier, which may be Aira Fitness or its affiliate. If leasing, the franchisee must return the old equipment at the end of each three-year period and enter into a new purchase agreement or lease for replacement equipment.
Prospective franchisees should note that the specific terms and conditions of the equipment lease, including the monthly rent amount, are detailed in the Fitness Equipment Lease Agreement and its associated schedules. It is important for potential franchisees to carefully review these documents and understand the financial obligations related to leasing equipment for their Aira Fitness business. Franchisees should also clarify who the designated or approved supplier is and what options they have for equipment.