What taxes and fees are included in the Basecamp Fitness rent payment?
Basecamp_Fitness Franchise · 2025 FDDAnswer from 2025 FDD Document
RENT: The Agreement shall commence upon the Rent Commencement Date and shall end upon full performance by Customer in observance of all terms, conditions, and covenants set forth at the Agreement and any extension thereof. Rent shall be paid in advance and in the amount and frequency as provided herein plus any applicable taxes and fees including but not limited to sales tax, use tax, property tax, equipment protection fees, and late charges. The first such rental payment shall be due on the Rent Commencement Date and each subsequent payment will be due on the same day of each subsequent month or other frequency as explicitly provided for. Owner will have the right to apply all sums received from Customer to any amounts due and owed to Owner under the terms of this Agreement or any other Agreement between Owner and Customer. Customer agrees that Customer owes Owner additional pro rata rent calculated as one-thirtieth (1/30h) of the monthly rental amount per day from the earlier of the date of Equipment delivery or the date of advanced funding to Supplier until the Rent Commencement Date and the Agreement begins. Provided no events of default have occurred, Owner will allow Customer to pay off the Agreement early for an amount equal to the sum of all remaining unpaid rental payments, discounted to a net present value at a rate up to five percent (5%), plus the purchase option price.
Source: Item 23 — RECEIPTS (FDD pages 62–248)
What This Means (2025 FDD)
According to Basecamp Fitness's 2025 Franchise Disclosure Document, rent payments include applicable taxes and fees. These include, but are not limited to, sales tax, use tax, property tax, and equipment protection fees. Additionally, late charges may apply.
The agreement commences upon the Rent Commencement Date and ends upon the customer's full performance, adhering to all terms and conditions. Rent is to be paid in advance, with the amount and frequency specified in the agreement. The first payment is due on the Rent Commencement Date, with subsequent payments due on the same day of each following month or as otherwise stated in the agreement.
Basecamp Fitness retains the right to apply any sums received from the customer towards outstanding amounts owed under the agreement or any other agreement between the owner and the customer. Furthermore, the customer may owe additional pro rata rent, calculated daily from the earlier of equipment delivery or advanced funding to the supplier until the Rent Commencement Date.
Provided no default events have occurred, Basecamp Fitness will allow early payoff of the agreement. This amount equals the sum of all remaining unpaid rental payments, discounted to a net present value at a rate of up to five percent, plus the purchase option price. This provides some flexibility for franchisees who wish to settle their rental obligations ahead of schedule.