What is the current method of payment for the Body20 Brand Fund Fee?
Body20 Franchise · 2025 FDDAnswer from 2025 FDD Document
| Type of Fee | Amount | Due Date | Remarks |
|---|---|---|---|
| Brand Fund Fee | Currently, 2% of Gross Sales of the Studio. | The Payment Due Date | We have established and administer a Brand Fund and require you to contribute the Brand Fund Fee. We may increase the fee up to 4% of the Gross Sales of the Studio. See Note 2 for the definition of Gross Sales. |
NOTES:
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- All of the fees in the table above are imposed by us, payable to us, non-refundable (except for a portion of the Transfer Fee deposit, as described above), and are uniformly imposed. You must use the payment methods we designate. You must furnish us and your bank with any necessary authorizations to make payment by the methods we require.
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- "Gross Sales" means all revenue that you receive or otherwise derive from operating the Studio, whether from cash, check, credit or debit card, gift card or gift certificate, or other credit transactions, and regardless of collection or when you actually provide the products or services in exchange for the revenue. If you receive any proceeds from any business interruption insurance applicable to loss of revenue at the Studio, there shall be added to Gross Sales an amount equal to the imputed Gross Sales that the insurer used to calculate those proceeds. Gross Sales includes promotional allowances or rebates paid to you in connection with your purchase of products or supplies or your referral of customers. Gross Sales does not include (i) any bona fide returns and credits that are actually provided to customers and (ii) any sales or other taxes that you collect from customers and pay directly to the appropriate taxing authority. You may not deduct payment provider fees (i.e., bank or credit card company fees and gift card vendor fees) from your Gross Sales calculation.
Source: Item 6 — OTHER FEES (FDD pages 19–26)
What This Means (2025 FDD)
According to Body20's 2025 Franchise Disclosure Document, franchisees must use the payment methods that Body20 designates. Franchisees must also provide Body20 and their bank with the necessary authorizations to make payments via Body20's required methods.
The Brand Fund Fee is currently 2% of the Studio's Gross Sales. This fee is due on the same date as the Royalty Fee, referred to as the "Payment Due Date." The Payment Due Date is currently the 5th of each month for the previous week's sales. Body20 has established and administers the Brand Fund, requiring franchisees to contribute to it.
Body20 retains the right to increase the Brand Fund Fee up to a maximum of 4% of the Studio's Gross Sales. Gross Sales include all revenue received from operating the Studio, whether in cash, check, credit/debit card, gift card, or other credit transactions, regardless of when the products or services are provided. Gross Sales also include proceeds from business interruption insurance related to revenue loss and promotional allowances or rebates. Exclusions from Gross Sales are limited to bona fide returns/credits to customers and sales/other taxes collected and remitted to the appropriate taxing authority. Franchisees cannot deduct payment provider fees from their Gross Sales calculation.