If a Body20 franchisee fails to meet the Pre-Opening Membership Requirement, what is the additional amount they may be required to spend on grand opening advertising and promotion?
Body20 Franchise · 2025 FDDAnswer from 2025 FDD Document
ine training university), or any training required or recommended by our approved third-party equipment suppliers.
- E. Section 7.3(c) (Marketing Spending Requirement) is amended by adding the following to the end of that Section:
Alternatively, we may require you to pay us the Marketing Spending Requirement, which we will use to conduct local advertising and promotional activities for your Studio on your behalf in a manner that we determine in our sole discretion.
**F. Section 7.3(d) (Grand Opening Advertisi
Source: Item 23 — RECEIPT (FDD pages 74–251)
What This Means (2025 FDD)
According to Body20's 2025 Franchise Disclosure Document, if a franchisee fails to meet the Pre-Opening Membership Requirement, Body20 may require them to spend an additional $10,000 for grand opening advertising and promotion for the studio. This is instead of Body20 terminating the agreement.
This additional spending is intended to boost the studio's initial launch and attract more members. Body20 retains control over how these funds are used, stating that they will use the money to conduct local advertising and promotional activities for the studio in a manner they determine.
The FDD also states that Body20 reserves the right to require the franchisee to pay the $15,000 minimum grand opening spend. If required, Body20 will use those funds to conduct grand opening advertising and promotion for the studio in their sole discretion. This implies that the additional $10,000 is on top of the initial $15,000, potentially bringing the total grand opening advertising spend to $25,000 if the franchisee does not meet the pre-opening membership requirements.