Under what condition must a Beem Light Sauna franchisee adhere to pricing policies?
Beem_Light_Sauna Franchise · 2025 FDDAnswer from 2025 FDD Document
- Section 5.6)
- 4. Relocation Review. We will evaluate sites to which you propose to relocate your Studio in accordance with our then-current requirements. (Franchise Agreement - Section 4.6)
- 5. Pricing. If we determine that we may lawfully require you to charge certain prices for goods or services, certain minimum prices for goods or services, or certain maximum prices for goods or services, you must adhere to our pricing policies as set forth in the Manuals or
otherwise in writing from time to time. If we set a suggested retail price for a good or service, we may prohibit you from advertising any other prices for such goods or services.
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING (FDD pages 37–47)
What This Means (2025 FDD)
According to the 2025 Beem Light Sauna FDD, franchisees must adhere to the franchisor's pricing policies if Beem Light Sauna determines that it may lawfully require franchisees to charge certain, minimum, or maximum prices for goods or services. These pricing policies will be outlined in the Manuals or otherwise provided in writing.
Beem Light Sauna also retains the right to set a suggested retail price for goods or services and may prohibit franchisees from advertising any other prices for those items. However, franchisees are generally responsible for setting their own prices, except as described above or in relation to promotional programs. Beem Light Sauna may request a franchisee's current price list.
This policy gives Beem Light Sauna some control over pricing, especially in advertising, while generally allowing franchisees to determine their own pricing strategies. Franchisees should be aware of the conditions under which they must adhere to Beem Light Sauna's pricing policies, as this could impact their profitability and competitive strategies.