Will a Body20 franchisee receive an exclusive territory?
Body20 Franchise · 2025 FDDAnswer from 2025 FDD Document
You will not receive an exclusive territory. You may face competition from other franchisees, outlets that we own, or other channels of distribution or competitive brands that we control.
Except as described below and for Non-Traditional Locations (defined below), we and our affiliates will not open, or license a third party to open, a Studio within your Territory. Except as stated in the preceding sentence, we and our affiliates have the right to conduct any business activities, under any name, in any geographic area, at any location, regardless of the proximity to or effect on your Studio. For example, we and our affiliates have the right to:
Source: Item 12 — TERRITORY (FDD pages 49–53)
What This Means (2025 FDD)
According to Body20's 2025 Franchise Disclosure Document, franchisees will not receive an exclusive territory. While franchisees are granted a 'Territory' once a site is selected and approved, this area provides 'limited territorial protection' and is not exclusive. This means a Body20 franchisee may face competition from other franchisees, outlets owned by Body20, alternative distribution channels, or competitive brands that Body20 controls. The size of the territory can vary based on location and demographics, typically encompassing a population of approximately 50,000 people or a two-mile radius from the studio, whichever is smaller. However, in high-density urban areas with populations exceeding one million, Body20 might not provide any territory or may reduce it to a city block.
Body20 and its affiliates retain the right to conduct business activities under any name and in any geographic area, regardless of proximity to a franchisee's studio, with some exceptions for Non-Traditional Locations. Non-Traditional Locations include venues like big box gyms, cruise ships, military bases, and college campuses. Body20 can establish studios or businesses offering similar services under different names or marks, sell products through alternative channels like e-commerce, and advertise anywhere, including within a franchisee's territory. These activities can occur both inside and outside the franchisee's designated territory.
Even with territorial rights, Body20 will not compensate franchisees for any activities within their territory, even if those activities impact the studio. The franchisee's territorial rights will not be modified as long as they comply with the Franchise Agreement, unless there is a mutual written agreement to change it. This lack of exclusivity and the franchisor's broad rights to operate and license others can create significant competitive pressure for franchisees. Prospective franchisees should carefully consider these factors and evaluate the potential impact on their business before investing in a Body20 franchise.