According to Body20, what is included in the definition of 'Operating Assets'?
Body20 Franchise · 2025 FDDAnswer from 2025 FDD Document
We have the right to require that all furniture, fixtures, signs, and equipment (collectively, the "Operating Assets") and products, supplies, and services that you purchase for resale or purchase or lease for use in your Studio: (i) meet specifications that we establish from time to time; (ii) be a specific brand, kind, or model; (iii) be purchased or leased only from suppliers or service providers that we have expressly approved;
Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 32–37)
What This Means (2025 FDD)
According to Body20's 2025 Franchise Disclosure Document, Operating Assets are defined as furniture, fixtures, signs, and equipment. Body20 has the right to require that all Operating Assets that you purchase for resale or purchase or lease for use in your studio meet certain specifications.
This means that as a Body20 franchisee, you will likely be required to purchase or lease these items from approved or designated suppliers. This is a common practice in franchising, as it allows the franchisor to maintain brand consistency and quality control across all locations. However, it also means that you may not be able to shop around for the best prices on these items.
It is important to note that Body20 may change these specifications periodically and may designate specific products or services as optional or mandatory. As a franchisee, you must offer all products or services that Body20 designates as mandatory. You should carefully review the list of required Operating Assets and approved suppliers before signing a franchise agreement to ensure that you are comfortable with the costs and restrictions involved.