factual

What is Healthy Contributions' role in disbursing Fitness Incentive Program reimbursements and fees to Basecamp Fitness clients?

Basecamp_Fitness Franchise · 2025 FDD

Answer from 2025 FDD Document

Healthy Contributions ("HC") is the payment processor and program administrator for a number of Fitness Incentive Programs offered by multiple, individual Program Providers. By opting to participate in any of the Fitness Incentive Programs administered by HC the Client ("Client") agrees to abide by HC's Terms and Conditions set forth below, and as may be updated or amended from time to time.

Appointment of HC as Payment Processor.

By opting to become a Client in any Fitness Incentive Program the Client agrees that HC will serve as the payment processor for the Fitness Incentive Program.

HC will, among other things, (A) provide an electronic platform for the Client's entry of Fitness Incentive Programs specific data; (B) collect Fitness Incentive Program specific data from the Client (including Program Member usage data) and convey the data and information provided by the Client to the Program Provider; (C) disburse Fitness Incentive Program reimbursements and fees to the Client as directed by the Program Provider.

Client agrees that HC has no independent or derivative liability to the Client for any reimbursements, fees or payments due to Client from any Program Provider under any Fitness Incentive Program and that HC's obligations to Participating Facility are limited to disbursing monies to Client received by HC from the Program Provider as directed by the Program Provider.

Client acknowledges that HC has made no warranty, guarantee or representations to Client concerning the level, if any, of compensation or profit that Client may derive from participating in any Fitness Incentive Program.

HC agrees to provide a 1099 Form to each Client that meets applicable IRS thresholds.

Client's that do not meet applicable IRS thresholds may request a 1099 Form by contacting: compliance@healthycontributions.com.

Source: Item 23 — RECEIPTS (FDD pages 62–248)

What This Means (2025 FDD)

According to Basecamp Fitness's 2025 Franchise Disclosure Document, Healthy Contributions (HC) acts as the payment processor and program administrator for Fitness Incentive Programs. As the payment processor, HC provides an electronic platform for clients to enter program-specific data. HC collects this data, including program member usage, and then conveys it to the Program Provider, which in this case is Basecamp Fitness.

HC's primary role related to payments is to disburse Fitness Incentive Program reimbursements and fees to the client, but only as directed by Basecamp Fitness. The document emphasizes that HC has no independent liability for these payments; its obligation is limited to disbursing funds received from Basecamp Fitness according to Basecamp Fitness's instructions. This means that Basecamp Fitness ultimately controls the reimbursement process, and HC simply executes the payment.

Basecamp Fitness clients acknowledge that HC has not provided any guarantees regarding potential compensation or profit from participating in any Fitness Incentive Program. HC will provide a 1099 form to each client that meets the applicable IRS thresholds. Clients who do not meet the threshold can request a 1099 form by contacting compliance@healthycontributions.com.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.