If a Body20 franchisee wants to lease Operating Assets from a non-approved supplier, what is the process?
Body20 Franchise · 2025 FDDAnswer from 2025 FDD Document
nd our Affiliates may use all amounts received from suppliers and/or distributors, whether or not based on your or other franchisees' actual or prospective dealings with them, without restriction for any purposes we or our Affiliates deem appropriate. If you derive any revenue based on payments or promotional allowances received from suppliers and/or distributors, you must report to us the details of the arrangement and such revenue shall be included as part of your Gross Sales.
- (d) Approval Process. If you would like to offer products, services, or Sessions or use any supplies, Operating Assets, or services that we have not approved or to purchase or lease from a supplier or service provider that we have not approved, you must submit a written request for approval and provide us with any information that we request. We have the right to inspect the proposed supplier's facilities and test samples of the proposed products and to evaluate the proposed service provider and the proposed service offerings. We may require the proposed supplier or service provider to visit our headquarters, currently in Chicago, Illinois, to evaluate the proposed supplier or service provider in person. You agree to pay us a charge that is equal to the greater of $1,000 or our and our affiliates' actual costs and expenses related to the inspection and/or testing the proposed product or evaluating the proposed service or service provider, including personnel and travel costs, whether or not the item, service, supplier, or service provider is approved. We have the right to grant, deny, or revoke approval of products, services, suppliers, or servic
Source: Item 23 — RECEIPT (FDD pages 74–251)
What This Means (2025 FDD)
According to Body20's 2025 Franchise Disclosure Document, a franchisee must seek approval from Body20 if they want to lease Operating Assets from a supplier that Body20 has not already approved. The franchisee must submit a written request for approval and provide any information that Body20 requests.
Body20 has the right to inspect the proposed supplier's facilities and test samples of the proposed products. Body20 may also require the proposed supplier to visit their headquarters, which are currently in Chicago, Illinois, for an in-person evaluation. The franchisee is responsible for covering the costs associated with this approval process. Body20 will charge the franchisee the greater of $1,000 or Body20's and its affiliates' actual costs and expenses related to the inspection, testing, and evaluation, including personnel and travel costs, regardless of whether the supplier is ultimately approved.
Body20 has the right to grant, deny, or revoke approval of suppliers based solely on their judgment. Body20 will notify the franchisee in writing of their decision as soon as practicable following their evaluation. If the franchisee does not receive approval within 30 days after submitting all required information, the request will be deemed disapproved. It is important to note that Body20 may approve different products, services, and suppliers for different studios.