What is the franchisee representing regarding their intention to develop Basecamp Fitness studios?
Basecamp_Fitness Franchise · 2025 FDDAnswer from 2025 FDD Document
as well as the competitive market in which it operates, and have sufficient knowledge and experience in the type of business offered hereunder and are capable of evaluating the merits and risks of the franchise investment.
- D. You are entering into this Agreement because you want to develop and operate multiple Basecamp Fitness studios that use the Marks and the System. You recognize that while you will have certain limited rights to transfer your interest in this Agreement, and in the studios you develop, we are entering into this Agreement with you based on your representation that you intend to personally develop all of the studios described in this Agreement, and not with a view to reselling your right to open these studios.
In consideration of the foregoing and the mutual covenants and consideration below, you and we agree as follows:
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- Grant of Development Rights. The following provisions control with respect to the rights granted hereunder:
- A. We grant to you, under the terms and conditions of this Agreement, the right to develop and operate the number of fitness studios identified in the Rider (the "Basecamp Studios"), using the Marks, operating within the nonexclusive area described in the Rider (the "Development Territory").
- B.
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER, AND DISPUTE RESOLUTION (FDD pages 51–55)
What This Means (2025 FDD)
According to Basecamp Fitness's 2025 Franchise Disclosure Document, the franchisee is representing that they are entering the agreement with the intention of personally developing all of the studios described in the agreement and not with the intention of reselling the right to open these studios. Basecamp Fitness is granting the agreement based on this representation.
This means Basecamp Fitness is looking for franchisees who are committed to building and operating multiple locations themselves. They are not looking for investors who simply want to acquire the rights to open studios and then flip those rights to someone else. This ensures that franchisees are invested in the long-term success of their Basecamp Fitness studios and are dedicated to upholding the brand's standards.
Furthermore, the franchisee acknowledges that they have conducted their own independent investigation and analysis of the prospects for establishing Basecamp Fitness studios within the Development Territory. They also approve the Development Schedule as being reasonable, viable, and essential to the potential success of their business. The franchisee recognizes that failure to adhere to the Development Schedule, such as not signing a Franchise Agreement, obtaining site approval, opening a Basecamp Studio, or having the required number of studios open and operating by the specified dates, gives Basecamp Fitness the right to terminate the agreement.