Does the Alloy franchise agreement specify who is considered an 'affiliate' of Alloy?

According to Alloy's 2025 Franchise Disclosure Document, the term 'affiliate' is used, but not explicitly defined in detail. However, the document does identify one specific affiliate of Alloy. The document states that Alloy Personal Training Solutions, LLC, is an affiliate that owns the Alloy trademark and licenses the rights to sublicense the trademarks to Alloy for use in connection with operating an Alloy facility.

This is important for prospective franchisees because it clarifies the relationship between Alloy and the owner of its trademarks. It establishes that Alloy has the right to grant franchises using the Alloy trademarks, but it does so through a licensing agreement with its affiliate. This structure is not uncommon in franchising, where a separate entity may hold the intellectual property rights.

While the FDD identifies one affiliate, it does not provide a comprehensive definition of what constitutes an 'affiliate' of Alloy. A prospective franchisee should seek clarification from Alloy regarding the scope of the term 'affiliate' and its potential implications for the franchisee's business. Understanding the full extent of Alloy's affiliate relationships can help a franchisee assess potential conflicts of interest or competitive advantages.