What must an Alloy franchisee do to construct and equip their Franchised Business?
Alloy Franchise · 2025 FDDAnswer from 2025 FDD Document
ITEM 8 RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES*
In order to ensure a uniform image and uniform quality of services and products throughout the Alloy system, you must maintain and comply with our quality standards. Although you are not required to purchase or lease real estate from us or our affiliates, we must accept the location of your Alloy Facility (see Item 11). You must construct and equip your Franchised Business in accordance with our then current approved design, specifications and standards. In addition, it is your responsibility to ensure that your building plans comply with the Americans with Disabilities Act and all other federal, state and local laws.
We reserve the right to designate a primary or single source of supply for certain required items, and we or an affiliate may be that single source. We have required vendors for equipment, our online POS and related technology services and printed marketing and promotional materials. We also reserve the right to require you to use a designated accountant or bookkeeping service if you do not provide required financial reports and statements when they are due, or your financial reports and statements are not accurate. For other items, we have a list of preferred vendors for your consideration, although you may use another vendor provided the vendor's product or service meets our specifications or standards.
You must maintain in sufficient supply (as we may prescribe in the Manual or otherwise in writing), and use at all times, only the products purchased from suppliers designated or approved by us, and any other products, materials, supplies, fixtures, furnishings, equipment, computer systems, signs, and other items as conform with our standards and specifications, and not deviate from those standards and specifications by the use of non-conforming items without our prior written consent. A complete list of our approved products and suppliers will be included in the Manual and is subject to change over time. We will provide you notice in the Manual or otherwise in writing (such as via e-mail) of any changes to the lists of approved products and approved suppliers. You may not enter into any agreement with any health club aggregator, multi-partner membership program or utilize any type of discount, deal, or coupon-type website, without our prior written consent.
Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 25–29)
What This Means (2025 FDD)
According to Alloy's 2025 Franchise Disclosure Document, franchisees must construct and equip their franchised business according to Alloy's approved design, specifications, and standards that are current at the time of construction. While franchisees are not required to purchase or lease real estate from Alloy or its affiliates, Alloy must approve the location of the facility. It is the franchisee's responsibility to ensure that the building plans comply with the Americans with Disabilities Act and all other federal, state, and local laws.
To ensure uniformity and quality within the Alloy system, franchisees must maintain and comply with Alloy's quality standards. Franchisees are required to obtain supplies, materials, fixtures, furnishings, and equipment from suppliers who demonstrate the ability to meet Alloy's standards. Alloy estimates that purchases from approved suppliers or those conforming to their specifications will account for 50% to 60% of the total purchases when establishing the franchised business.
Alloy retains the right to designate primary or single-source suppliers for certain required items, which may include Alloy or an affiliate. They have required vendors for equipment, online POS, related technology services, and printed marketing materials. For other items, Alloy provides a list of preferred vendors, but franchisees can use alternative vendors if their products or services meet Alloy's specifications. Franchisees must use only products purchased from designated or approved suppliers and ensure that all items conform to Alloy's standards and specifications.