What is the role of Sequel Holdings in relation to the Beem Light Sauna franchise?
Beem_Light_Sauna Franchise · 2025 FDDAnswer from 2025 FDD Document
nd Certain Affiliates**. We are a wholly-owned subsidiary of Sequel Brands, LLC, a Delaware limited liability company ("Sequel"). Sequel shares our principal business address.
We are affiliated with Sequel Brands Holdings LLC, a Delaware limited liability company ("Sequel Holdings"), which was formed on April 8, 2025. Sequel is the direct parent company to Sequel Holdings. Sequel Holdings guarantees our performance under our franchise agreements. Sequel Holdings shares our principal business address.
Sequel is the direct parent company to three other franchisors, Body20 Franchisor LLC ("Body20 Franchisor"), Pilates Addiction Franchisor LLC ("Pilates Addiction Franchisor") and iFlex Franchisor LLC ("iFlex Franchisor"), each of which share our principal business address.
Since April 2025, Body20 Franchisor has franchised Body20® studios offering electromuscle stimulation-powered full body fitness workouts. Body20 Franchisor's predecessor franchised such studios from March 2018 to April 2025. As of December 31, 2024, there were 62 franchised and no company-owned Body20® studios.
Source: Item 1 — THE FRANCHISOR, AND ANY PARENTS, PREDECESSORS, AND AFFILIATES (FDD pages 9–12)
What This Means (2025 FDD)
According to the 2025 Beem Light Sauna Franchise Disclosure Document, Sequel Holdings plays a specific role in relation to the franchise. Beem Franchisor LLC, the franchisor, is a wholly-owned subsidiary of Sequel Brands, LLC. Sequel Brands Holdings LLC, formed on April 8, 2025, is a direct subsidiary of Sequel Brands, LLC.
Sequel Holdings provides a guarantee for Beem Light Sauna's performance under its franchise agreements. This means that Sequel Holdings is financially responsible if Beem Light Sauna fails to meet its obligations to franchisees. This arrangement offers an added layer of security for franchisees, as they have recourse to Sequel Holdings if Beem Light Sauna does not fulfill its contractual duties.
Apart from Sequel Holdings, none of Beem Light Sauna's other affiliates provide products or services to franchisees. This indicates that Sequel Holdings' primary role is to act as a guarantor, rather than a supplier or service provider. This distinction is important for prospective franchisees to understand, as it clarifies the nature of the relationship between Beem Light Sauna and its affiliated entities.