How often are the fixed fees adjusted for Aira Fitness?
Aira_Fitness Franchise · 2025 FDDAnswer from 2025 FDD Document
All fixed fees (those not calculated as a percentage of sales) under this Agreement, including the Local Advertising expenditure and Local Marketing Fund or Cooperative contribution, are subject to adjustment based on any increase in the Consumer Price Index (meaning the annual average of the Consumer Price Index for All Urban Consumers, Other goods and services, 1982- 1984=100, published by the Bureau of Labor Statistics of the United States Department of Labor).
If the Bureau of Labor Statistics ceases publishing the Consumer Price Index, then the successor or most nearly comparable index as we select will be used.
Fees will be changed no more than once per year.
The increase will be based on the increase in the Index from January 1 of any year to January 1, 2025 or the previous CPI adjustment.
We will provide you with reasonable notice of such adjustment.
Source: Item 23 — **RECEIPTS (FDD pages 59–254)
What This Means (2025 FDD)
According to Aira Fitness's 2025 Franchise Disclosure Document, fixed fees, which are those not calculated as a percentage of sales, are subject to adjustment based on increases in the Consumer Price Index (CPI). These fees include the Local Advertising expenditure and Local Marketing Fund or Cooperative contribution. The CPI used is the annual average of the Consumer Price Index for All Urban Consumers, Other goods and services, 1982-1984=100, published by the Bureau of Labor Statistics of the United States Department of Labor. If this index is discontinued, Aira Fitness will select a successor or comparable index.
Fee adjustments will occur no more than once per year. The increase will be based on the change in the CPI from January 1 of any year to January 1, 2025, or the date of the previous CPI adjustment. Aira Fitness will provide franchisees with reasonable notice of any such adjustment.
For a prospective Aira Fitness franchisee, this means that certain fixed fees associated with the franchise can increase annually based on inflation. It is important to factor in potential increases to these fixed fees when projecting expenses and potential profitability. Franchisees should pay attention to any notices from Aira Fitness regarding these adjustments to properly budget and plan for these changes.