If not in compliance with the Development Schedule, what is the minimum initial franchise fee for the third or subsequent Aira Fitness franchise agreements?

According to Aira Fitness's 2025 Franchise Disclosure Document, the initial franchise fee for the third or subsequent franchise agreement is dependent on compliance with the Development Schedule. If a developer is in compliance with the Development Schedule when signing any additional franchise agreement, the initial franchise fee is $8,000. However, if the developer is not in compliance with the Development Schedule when signing any additional franchise agreement, the initial franchise fee will be the then-current initial franchise fee being charged to new franchisees if it is greater than $8,000 for the third or other multiple Franchise Agreements above two.

In practical terms, this means that Aira Fitness incentivizes adherence to the Development Schedule by offering a reduced franchise fee for subsequent locations. Failing to meet the milestones outlined in the Development Schedule could result in a significantly higher initial franchise fee for each additional Aira Fitness location beyond the second.

Prospective Aira Fitness franchisees should carefully review the Development Schedule outlined in Exhibit B to the Multi-Unit Development Agreement to fully understand the required timelines for opening new locations. They should also inquire about the then-current initial franchise fee for new franchisees to understand the potential financial implications of non-compliance. This information is crucial for making informed decisions about expansion and managing the overall investment in the Aira Fitness franchise.