Can Body20 designate a third party to receive the Technology Fee?
Body20 Franchise · 2025 FDDAnswer from 2025 FDD Document
ty. 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.
- 3.3 Brand Fund Fee. You must contribute weekly an amount that we specify from time to time in our sole discretion, which will not exceed 4% of your Gross Sales (the "Brand Fund Fee") to a fund dedicated to activities we believe would benefit the Brand or the Studios generally (the "Brand Fund").
- 3.4 Technology Fee. Beginning three months prior to the opening of your Studio, you must pay to us, or a third party that we designate, a technology fee for various technology services that we will provide or arrange for third parties to provide, which services are subject to change over time (a **"Technology Fee
Source: Item 23 — RECEIPT (FDD pages 74–251)
What This Means (2025 FDD)
According to Body20's 2025 Franchise Disclosure Document, franchisees are required to pay a technology fee, which covers various technology services provided or arranged by Body20. This fee is payable to Body20 or a third party that Body20 designates. The technology services covered by this fee are subject to change over time.
The Technology Fee's amount is detailed in Appendix A of the FDD. Body20 retains the right to modify the fee, but they must provide franchisees with 30 days' written notice before implementing any changes. The Technology Fee will not exceed the greater of $1,200 per month or 2% of the franchisee's Gross Sales.
This arrangement gives Body20 flexibility in managing its technology services and potentially outsourcing certain functions. For a prospective franchisee, it means they need to be prepared to remit the Technology Fee to either Body20 directly or to a third-party vendor, depending on Body20's decision. It is important to stay informed about any changes to the fee structure or the services covered, as Body20 can modify these with proper notice.