factual

If Body20 sets a suggested retail price, what are Body20 franchisees prohibited from doing?

Body20 Franchise · 2025 FDD

Answer from 2025 FDD Document

  • 5. Pricing. If we determine that we may lawfully require you to charge certain prices for goods or services, certain minimum prices for goods or services, or certain maximum prices for goods or services, you must adhere to our pricing policies as set forth in the Manuals or otherwise in writing from time to time. If we set a suggested retail price for a good or service, we may prohibit you from advertising any other prices for such goods or services. Except as provided above and in Section 6.10(a) of the Franchise Agreement (Promotional Programs and Reciprocity), you are solely responsible for determining the prices that you charge customers. You must provide us with your current price list upon our request. (Franchise Agreement - Section 6.7)

Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING (FDD pages 38–49)

What This Means (2025 FDD)

According to Body20's 2025 Franchise Disclosure Document, if Body20 sets a suggested retail price for a good or service, franchisees are prohibited from advertising any other prices for such goods or services. However, franchisees are generally responsible for determining the prices they charge customers.

This policy gives Body20 some control over how its brand is perceived in the market by ensuring consistent pricing messages. However, it also allows franchisees flexibility in setting their actual prices, provided they don't advertise prices different from the suggested retail price.

This could impact a franchisee's marketing strategies, as they would need to adhere to Body20's guidelines when advertising prices. Franchisees should clarify with Body20 the extent to which this policy may affect their ability to offer promotions or discounts.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.