If Body20 or its Affiliates operate Studios, what contribution do they make to the Brand Fund?
Body20 Franchise · 2025 FDDAnswer from 2025 FDD Document
If we or our Affiliates operate any Studios, we or our Affiliates will contribute to the Brand Fund a percentage of the receipts of those Studios, on the same basis as required for franchisees.
If we reduce the Brand Fund contribution rate for franchisees, we will reduce the contribution rate for company or Affiliate-owned Studios by the same amount.
Source: Item 23 — RECEIPT (FDD pages 74–251)
What This Means (2025 FDD)
According to the 2025 Body20 Franchise Disclosure Document, if Body20 or its affiliates operate any studios, they will contribute to the Brand Fund a percentage of the receipts of those studios. This contribution will be on the same basis as required for franchisees.
Furthermore, if Body20 reduces the Brand Fund contribution rate for franchisees, they will reduce the contribution rate for company or affiliate-owned studios by the same amount. This ensures that company-owned studios are treated equitably in terms of Brand Fund contributions compared to franchised locations.
For franchisees, the Brand Fund Fee will not exceed 4% of Gross Sales. This contribution is dedicated to activities Body20 believes would benefit the Brand or the Studios generally. This policy ensures that Body20's corporate locations contribute to the Brand Fund on the same percentage basis as its franchisees, aligning the financial interests of the franchisor and franchisees in supporting the brand's marketing and development efforts.