What is the length of the initial franchise term for a Big Blue Swim School franchise?
Big_Blue_Swim_School Franchise · 2025 FDDAnswer from 2025 FDD Document
to market based on numerous | | | considerations. | | | Provision | Section in franchise or | Summary | | a. Length of the franchise term | 3.B of Franchise Agreement 3(a) of SaaS Agreement | 10 years from first day on which School opens to the public for business. Term of SaaS Agreement runs concurrently with franchise term. | |---|---|---| | b. Renewal or extension of the term | 18 of Franchise Agreement | If you are in good standing, you may acquire successor franchise for 10 years on our then- current terms. | | Provision | Section in franchise or | Summary | | | other agreement | | |---|---|---| | c. Requirements for franchisee | 18 of Franchise | You (i) timely request and conduct a business | | to renew or extend | Agreement | | | | | review, (ii) formally notify us of your desire to | | | | acquire a successor franchise at least 3 months | | | | before the franchise term ends, (iii) substantially | | | | complied with contractual obligations and | | | | operated School in substantial compliance with | | | | Brand Standards, (iv) continue complying | | | | substantially with contractual obligations between | | | | time you notify us of your desire to acquire a | | | | successor franchise and the end of the franchise | | | | term, (v) retain right to occupy School at its | | | | original site, (vi) remodel/upgrade School, (vii) | | | | sign our then-current form of franchise agreement | | | | and release (if applicable state law allows), and | | | | (viii) pay $5,000 successor franchise fee. Terms | | | | of our new franchise agreement that you sign for | | | | successor franchise may differ materially from | | | | any and all terms contained in your original | | | | expiring Franchise Agreement (including higher | | | | fees), although the Area of Protection will remain | | | | the same during the successor-franchiseterm. | | d.
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER, AND DISPUTE RESOLUTION (FDD pages 61–69)
What This Means (2025 FDD)
According to Big Blue Swim School's 2025 Franchise Disclosure Document, the initial franchise term is 10 years. This term begins on the first day the swim school opens to the public for business. Additionally, the term of the SaaS (Software as a Service) Agreement runs concurrently with the franchise term. This means that both the franchise agreement and the SaaS agreement, which likely covers software and technology used in the business, are linked and expire at the same time.
At the end of the initial 10-year term, a franchisee in good standing has the option to acquire a successor franchise for an additional 10 years. However, this renewal is subject to Big Blue Swim School's then-current terms, which may differ from the original agreement.
To be eligible for a successor franchise, the franchisee must meet several requirements. These include making a timely request and conducting a business review, formally notifying Big Blue Swim School of their intent to acquire a successor franchise at least 3 months before the end of the term, substantially complying with contractual obligations and brand standards, maintaining compliance between the notification and the end of the term, retaining the right to occupy the original site, remodeling or upgrading the school, signing the then-current franchise agreement and release (if allowed by state law), and paying a $5,000 successor franchise fee. The terms of the new franchise agreement may differ significantly from the original, potentially including higher fees, although the Area of Protection will remain the same during the successor franchise term.