Are Body20 franchisees charged for sales and other materials produced with Brand Fund monies?

According to Body20's 2025 Franchise Disclosure Document, franchisees may receive sales and other materials produced with Brand Fund monies either without charge or at a reasonable cost. Any proceeds from the sale of these materials will be deposited back into the Brand Fund. This means Body20 franchisees may have access to marketing and sales tools that are subsidized by the Brand Fund, potentially reducing their individual marketing expenses. The Brand Fund is supported by franchisee contributions of up to 4% of Gross Sales (currently set at 2%).

The Brand Fund is used for various marketing and promotional activities that Body20 deems beneficial for the brand and its studios. These activities include advertising campaigns, website maintenance, social media management, and the creation of marketing materials. While franchisees contribute to the Brand Fund, Body20 retains the sole discretion to direct marketing programs and the use of the Brand Fund. This includes decisions on creative concepts, materials, and media used in the programs.

Body20 does not guarantee that franchisees will directly benefit from the Brand Fund in proportion to their contributions. The FDD also specifies that in fiscal year 2024, the Brand Fund expenditures were allocated as follows: 61.46% on production, 18.5% on administrative expenses, and 20.04% on media placement. This allocation provides insight into how the Brand Fund is utilized, with a significant portion dedicated to production-related costs. Franchisees should consider these factors when evaluating the potential benefits and costs associated with the Brand Fund.