factual

What is the significance of the 'Trade Dress' in the operation of a Bft studio?

Bft Franchise · 2025 FDD

Answer from 2025 FDD Document

equity: Member contribution 48,542 Advances to Member, net (Note 7) (155,034 ) Retained earnings (accumulated deficit) 145,633 Total member's equity 39,141 Total liabilities and member's equity $ 150,390# BFT® FRANCHISE AGREEMENT

This Franchise Agreement (this "Agreement") is made effective as of the Effective Date by and between BFT FRANCHISE SPV, LLC, a Delaware limited liability company with its principal business address at 17877 Von Karman Ave., Suite 100 Irvine, CA 92614 ("Franchisor"), and the person or entity identified as the "Franchisee" in the signature blocks below ("Franchisee," and together with Franchisor, the "Parties"). The Effective Date is the date Franchisor signs this Agreement as shown beneath its signature hereto.

RECITALS

Franchisor owns, administers and grants franchises for a system of fitness studios that (a) offer and sell specialized instruction and related services ("Approved Services") and merchandise and other products ("Approved Products"), (b) are currently identified by the trademark "BFT" and related designs and use other related trademarks and service marks designated from time to time by Franchisor (the "Marks"), (c) reflect distinctive interior design and display procedures, and color scheme and décor (the "Trade Dress"), and (d) operate using a designated "System" which includes the Marks, Trade Dress and certain of Franchisor's other intellectual property including trade secrets, copyrights, confidential and proprietary information, and designated training and exercise methods and know-how, fitness equipment, furniture and fixtures, marketing, advertising and sales promotions, cost controls, accounting and reporting procedures, and personnel management systems (each, a "BFT Studio" and collectively, the "BFT Studios").

Franchisee has requested that Franchisor grant it a franchise to own and operate a BFT Studio and, to support its request, has provided Franchisor with certain information about its experience, skills and resources (the "Application Materials"). Franchisee has independently investigated the business contemplated by this Agreement and recognizes that the nature of the business may change over time.

Franchisor is willing to grant Franchisee's request on the terms and conditions contained in this Agreement.

Source: Item 23 — RECEIPTS (FDD pages 79–265)

What This Means (2025 FDD)

According to Bft's 2025 Franchise Disclosure Document, the 'Trade Dress' is a crucial element of the Bft franchise system. It encompasses the distinctive interior design, display procedures, color schemes, and décor that define the visual identity of a Bft studio. Bft emphasizes that every detail of the studio's appearance and operation is important for maintaining uniform standards and protecting the brand's reputation.

The Trade Dress ensures that all Bft studios present a consistent image to the public, which helps to build brand recognition and customer loyalty. As a franchisee, you must ensure your studio adheres to Bft's System Standards, including those related to Trade Dress. This includes purchasing equipment, furnishings, fixtures, décor, and signs from approved suppliers and obtaining Bft's written consent before making any alterations or remodels to the studio.

Bft retains the right to evolve the System and the Trade Dress to respond to changing trends and customer demands. As a franchisee, you may be required to modernize or replace components of the Trade Dress periodically to conform to the System Standards for new Bft studios. This could involve significant remodeling and capital expenditures, potentially occurring no more than once every five years. Upon termination or expiration of the franchise agreement, the franchisee must immediately cease using and displaying any elements of the Trade Dress that associate the business with Bft.

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.