Who administers the Body20 Brand Fund?
Body20 Franchise · 2025 FDDAnswer from 2025 FDD Document
orm for all franchisees and must be paid in a lump sum.
ITEM 6 OTHER FEES
OTHER FEES (Note 1)
| Type of Fee | Amount | Due Date | Remarks |
|---|---|---|---|
| Royalty Fee (2) | 8% of the Gross Sales of the Studio. | Currently due weekly by the 5th of each month (the "Payment Due Date") | See Note 2 for the definition of Gross Sales. |
| Brand Fund Fee | Currently, 2% of Gross Sales of the Studio. |
Source: Item 6 — OTHER FEES (FDD pages 19–26)
What This Means (2025 FDD)
According to Body20's 2025 Franchise Disclosure Document, Body20 has established and administers the Brand Fund. Franchisees are required to contribute to this fund through a Brand Fund Fee, which is currently 2% of the studio's gross sales.
The Brand Fund Fee is due weekly by the 5th of each month, coinciding with the Payment Due Date. Body20 retains the right to increase this fee up to a maximum of 4% of the studio's gross sales. Gross sales include all revenue derived from operating the studio, encompassing various transaction methods such as cash, credit card, and gift certificates, but excluding returns, credits, and sales taxes.
This means that Body20 franchisees must allocate a portion of their revenue to the Brand Fund, which Body20 manages. Franchisees should be aware that this fee can increase over time, impacting their overall profitability. It is important for prospective franchisees to understand how the Brand Fund is used and what benefits it provides to the franchise system.