factual

Does Basecamp Fitness provide a list of approved suppliers?

Basecamp_Fitness Franchise · 2025 FDD

Answer from 2025 FDD Document

r specifications and quality standards. We do not impose any fee for our consideration of an item not previously approved.

We may require you to purchase certain furniture, equipment, inventory, supplies, services and other products used or offered at your studio from vendors we approve, in which case we will provide you with a list of approved suppliers. These will include mandatory vendors (persons from whom you must purchase certain items or services), designated vendors (for items or services that must be purchased from vendors we approve), and preferred vendors (for vendors we have approved, but in categories where we do not require you obtain our approval of the vendor). These suppliers may pay vendor rebates to us and they may include our company and affiliates of ours. We may modify our mandatory, designated, and/or preferred vendor(s) at any time. We may require you to offer additional services or products and some of those products or services may require that you purchase additional equipment or training for your staff.

When we have a designated vendor (other than a mandatory vendor), if you want to purchase from other vendors the items or services for which that vendor has been designated, you must notify us in writing and obtain our approval. If you seek approval of a new supplier (or if the supplier applies directly to us for approval), we will require the supplier pay us a nonrefundable fee of $300 before we will consider approving their application. This fee is intended to defer our cost of reviewing the supplier. (We do not require you to pay any fee.) We may also require the supplier to sign a supplier agreement with us.

In reviewing prospective suppliers, we consider whether the product or service is consistent with our concept and brand; how they and/or their products or services would enhance our brand and make it more attractive to members and other customers or franchisees; how the product or service would improve the studio experience of a member; how the product or service would increase revenue of a franchisee's business; how the product or service would increase the efficiency of a franchisee; if the product or service is already available through other sources, would approval of another vendor enhance competition or dilute our ability to maximize pricing benefits for our franchisees; is the product of a commercial quality with a proven record of durability; does the supplier support our values; and other factors. In addition, we consider demand from franchisees, the need for the vendor based on business trends, and the ability of the vendor to serve franchisees throughout the United States. (The criteria is posted on our website for potential vendors and franchisees.) We will generally notify you and the supplier of our approval or disapproval within 2-12 months of our receipt of all the information and samples we request. If we revoke approval of any supplier or any item offered by a supplier, we will send you written notice of our revocation of an approved supplier or item.

As of the issuance date of this Disclosure Document, we have the following sole suppliers in our System:

    1. We or a third party, depending upon the item, are currently the sole suppliers of certain items logo'd with our Marks, including any branded mobile applications, all retail products for re-sale, workout formats that you must use at your Basecamp Studio and all fitness programming. You must purchase the Build-Out Package from us. Additional items you will need to operate that are included in the Build-Out Package must be purchased from certain third parties who are the sole suppliers for these items. These items include signage, marketing materials, furniture, and fixtures.
    1. ProVision, an affiliate of ours, is currently the sole supplier for certain fitness equipment, technology services, technology, network hardware, and security systems, including iPads, tablet devices, computers, lighting, audio and video systems, software and other related components including a point of sale system and certain cloud based technology included in the Technology & Fitness Equipment Package which you must purchase to operate your Basecamp Studio.
    1. We have a sole supplier of studio management, billing, payment and scheduling software which you must use to operate your Basecamp Studio.

Supplies for your Basecamp Studio must be purchased from designated vendors. We are also currently a designated vendor for business supplies, and marketing materials, and we or our affiliates may be a mandatory, designated and/or preferred vendor for other items in the future.

Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 28–32)

What This Means (2025 FDD)

According to Basecamp Fitness's 2025 Franchise Disclosure Document, Basecamp Fitness may require franchisees to purchase certain items from approved vendors, and will provide a list of approved suppliers in such cases. These suppliers are categorized as mandatory, designated, or preferred. Mandatory vendors are those from whom franchisees must purchase certain items or services. Designated vendors are those that must be used for items or services that require franchisor approval. Preferred vendors are those that Basecamp Fitness has approved, but where franchisees are not required to obtain franchisor approval of the vendor. Basecamp Fitness may modify the list of mandatory, designated and/or preferred vendors at any time.

The FDD also states that as of the issuance date of the disclosure document, Basecamp Fitness has sole suppliers for certain items logo'd with their Marks, including branded mobile applications, retail products for resale, workout formats, and fitness programming. Franchisees must purchase the Build-Out Package from Basecamp Fitness, which includes items like signage, marketing materials, furniture, and fixtures that must be purchased from sole third-party suppliers. ProVision, an affiliate, is the sole supplier for certain fitness equipment, technology services, network hardware, and security systems. Basecamp Fitness also has a sole supplier for studio management, billing, payment, and scheduling software.

If a franchisee wants to purchase items for their Basecamp Studio that have not been previously approved or differ from specifications, they must notify Basecamp Fitness in writing and submit samples and other information for testing. If a franchisee wants to use a vendor other than a designated vendor, they must notify Basecamp Fitness in writing and obtain approval. The supplier may be required to pay a nonrefundable fee of $300 to cover the cost of reviewing the supplier. Basecamp Fitness may also require the supplier to sign a supplier agreement with them.

Basecamp Fitness also negotiates preferred vendor contracts, which usually provide favorable pricing to franchisees. A list of current preferred vendor contracts is available to franchisees after signing the Franchise Agreement. Basecamp Fitness derives revenue from franchisee purchases from mandatory, designated, or preferred suppliers, which may be in the form of percentage rebates up to 15% of franchisee purchases. For the fiscal year ended December 31, 2024, Basecamp Fitness received $102,583 in revenue from the purchase, lease, or sale of required goods or services to franchisees, which was 1.97% of their total revenues of $5,198,013. ProVision received $516,320, and SEB Distribution received $111,139 in revenue from these purchases.

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.