What kind of decisions must the Aira Fitness Principal have the authority to make?
Aira_Fitness Franchise · 2025 FDDAnswer from 2025 FDD Document
We expect only business entities, and not individuals, to operate the Franchised Business. You must designate a Principal who must meet our approval. The Principal must maintain a majority ownership in your entity. The Principal must participate in and complete our Initial Training Program and must have authority to make decisions on your behalf and bind you with respect to matters and agreements between you and us. The Principal is expected to stay informed about our organizational plans, initiatives and direction by regular review of communications sent to you electronically or otherwise.
Your Aira Fitness Business must be managed and supervised by a General Manager, who may be the Principal. Your General Manager need not have any equity interest in the franchisee or the business entity thatowns or operatesthe franchise. YourGeneralManagerwillbe responsiblefor allday-to-dayoperational decisions affecting your Franchised Business. YourGeneral Manager must exert his or her full time besteffortsto the development and operation of your FranchisedBusiness and must attend and complete the Initial Training Program and all other training programs that we require from time to time. The General Manager must have the authority to make all day-to-day operations decisions affecting your Franchised Business, and may not engage in any other business activity, directly or indirectly, that requires substantial management responsibility or time commitments or that otherwise interfereswith his or her role as your General Manager.
Source: Item 15 — **OBLIGATION TO PARTICIPATE IN THE ACTUAL OPERATION OF THE FRANCHISE BUSINESS (FDD page 47)
What This Means (2025 FDD)
According to Aira Fitness's 2025 Franchise Disclosure Document, the Principal, who must be an owner of the franchisee entity with a majority ownership interest, must have the authority to make decisions on behalf of the franchisee and bind the franchisee with respect to matters and agreements with Aira Fitness. The Principal is expected to stay informed about Aira Fitness's organizational plans, initiatives, and direction by regularly reviewing communications sent electronically or otherwise.
In practical terms, this means the Principal acts as the primary liaison between the franchisee and Aira Fitness. They are empowered to make legally binding commitments on behalf of the franchise. This could include decisions related to the Franchise Agreement itself, amendments to the agreement, or other contractual obligations that arise during the franchise term.
While the Principal handles these high-level decisions, the day-to-day operations of the Aira Fitness business are managed by a General Manager, who may or may not be the same person as the Principal. The General Manager is responsible for all operational decisions affecting the franchised business and must devote full-time efforts to the development and operation of the Aira Fitness location. The General Manager must also attend and complete the Initial Training Program and all other training programs that Aira Fitness requires from time to time.