Does the Body20 FDD state that any of Body20's or Sequel Brands' officers own an interest in any unaffiliated suppliers with whom franchisees are required to do business?

According to Body20's 2025 Franchise Disclosure Document, none of Body20's or Sequel Brands' officers own an interest in any unaffiliated suppliers that franchisees are required or recommended to do business with. However, one of Sequel Brands' officers does own an interest in Body20 and its affiliates, which are suppliers that franchisees are required to do business with. This means that there is a potential conflict of interest, as an officer of Sequel Brands benefits from the franchisee's required purchases from Body20.

This arrangement is not uncommon in franchising, where franchisors often require franchisees to purchase goods or services from the franchisor or affiliated entities. This allows the franchisor to maintain quality control and ensure brand consistency. However, it also creates an opportunity for the franchisor to profit from these required purchases. Franchisees should carefully consider the costs and benefits of these required purchases and whether they believe they are receiving fair value.

Prospective Body20 franchisees should be aware of this relationship and consider its potential impact on their business. While the FDD states that officers do not have interests in unaffiliated required suppliers, the connection between Sequel Brands' officer and Body20 itself is important to understand. It would be prudent for potential franchisees to inquire about the pricing and terms of these required purchases to ensure they are competitive and reasonable.