Under what payment terms does an Aira Fitness franchisee pay the Equipment Purchase Price?
Aira_Fitness Franchise · 2025 FDDAnswer from 2025 FDD Document
From time to time as we require, you must replace items of equipment as may be necessary for your Aira Fitness Business to conform to the standards for similarly situated new Aira Fitness Businesses.
For instance, we require that you replace all fitness equipment within three years of the Effective Date of this Agreement.
If you choose to purchase the fitness equipment, at the end of each three year period, you may offer your old equipment to anyone, but we have the right of first refusal to buy the equipment on the same terms and conditions as any potential buyer.
You must give us seven (7) days' written notice of any potential sale of your old equipment and a reasonable opportunity to match any offer you have that you intend to accept.
We are under no obligation to actually exercise our right of first refusal.
If you choose to lease the fitness equipment, at the end of each three year period, you must return the old equipment to the designated or approved supplier of the fitness equipment or otherwise per the terms of the equipment lease, which designated or approved supplier may be us or our affiliate.
You must then enter into a purchase agreement or lease for replacement equipment with a designated or approved, which may be us or our affiliate.
Source: Item 23 — **RECEIPTS (FDD pages 59–254)
What This Means (2025 FDD)
Based on the 2025 Aira Fitness Franchise Disclosure Document, specific payment terms for equipment purchases are not detailed. However, the document does state that franchisees are required to modernize their Aira Fitness Business, including replacing all fitness equipment within three years of the Effective Date of the Franchise Agreement.
The FDD mentions that if a franchisee chooses to purchase the fitness equipment, Aira Fitness has the right of first refusal to buy the old equipment on the same terms and conditions as any potential buyer. The franchisee must provide Aira Fitness with seven days' written notice of any potential sale of their old equipment, giving Aira Fitness a reasonable opportunity to match any offer. If the franchisee chooses to lease the fitness equipment, at the end of each three-year period, they must return the old equipment to the designated or approved supplier or per the terms of the equipment lease.
To fully understand the payment terms for equipment purchases, a prospective Aira Fitness franchisee should inquire about the approved equipment suppliers, typical costs, financing options, and any available discounts. It would also be prudent to ask about the specific terms and conditions Aira Fitness would offer if exercising their right of first refusal on used equipment, as well as the typical lease terms if leasing is preferred.