If a Body20 franchisee is an entity, what obligation does the franchisee have regarding an individual owner?

According to the 2025 Body20 Franchise Disclosure Document, if the franchisee is an entity, the owners of the legal and/or beneficial interest in the franchisee must be disclosed to Body20. Specifically, Appendix A to the Franchise Agreement requires the franchisee to list all persons who constitute the owners of a legal and/or beneficial interest in the franchisee entity.

This requirement ensures that Body20 knows who the actual controlling parties are behind the franchisee entity. This is a common practice in franchising, as franchisors want to be certain about who they are partnering with and who is ultimately responsible for the franchise's operations and adherence to the franchise agreement.

For a prospective Body20 franchisee, this means that if you plan to operate your franchise through a corporation, LLC, or other legal entity, you will need to provide Body20 with a list of all individuals who have an ownership stake in that entity. This information is included as part of the Franchisee-Specific Terms in Appendix A to the franchise agreement.