Where can I find the Body20 Payment and Performance Guarantee within the Franchise Agreement?

According to Body20's 2025 Franchise Disclosure Document, the Payment and Performance Guarantee is included as Appendix C to the Franchise Agreement. This guarantee is a critical document that requires the signature of the franchisee's owners and their spouses, ensuring they are bound by the Franchise Agreement's terms. The Payment and Performance Guarantee is also included as Appendix B to the Development Agreement.

The Payment and Performance Guarantee ensures that the franchisor, Body20 Franchisor LLC, is protected by having the franchisee's owners and their spouses personally guarantee the franchisee's obligations. This means that if the franchisee, which may be a business entity, fails to meet its financial or performance obligations under the Franchise Agreement, the franchisor can seek recourse directly from the individuals who signed the guarantee.

Specifically, the guarantors (the franchisee's owners and their spouses) jointly and severally guarantee the full payment and performance of all the franchisee's obligations to Body20. This includes any debts, liabilities, or other commitments, whether they are direct or indirect, absolute or contingent. The guarantee covers obligations existing now or incurred in the future, including any extensions, renewals, or modifications to the Franchise Agreement. The guarantors also agree to cover all expenses, including reasonable attorney's fees, that Body20 incurs while enforcing the guarantee or recovering any guaranteed liabilities.

Prospective Body20 franchisees should carefully review the Payment and Performance Guarantee and consult with legal counsel to fully understand its implications. By signing this guarantee, the franchisee's owners and their spouses are taking on significant personal financial risk, as they are personally liable for the franchisee's obligations to Body20.