For Body20, what is included in the definition of a 'Sales Transaction'?
Body20 Franchise · 2025 FDDAnswer from 2025 FDD Document
Table 2 presents the Average Monthly Sales Transactions of the covered Studio during the Reporting Period. A "Sales Transaction" includes (a) the sale of a new membership to a new member, (b) the sale of a new membership to a member that is a rejoining after a lapse in
their membership, and (c) the sale of a package of Sessions. The "Average Monthly Sales Transactions" for each Covered Studio during the Reporting Period was calculated by (i) aggregating the Sales Transactions for each Covered Studio during the Reporting Period and (ii) dividing that number by 15 (the total number of months in the Reporting Period). The Covered Studios were then sorted in ascending order by Average Monthly Sales Transactions and split into halves.
Source: Item 19 — FINANCIAL PERFORMANCE REPRESENTATIONS (FDD pages 64–69)
What This Means (2025 FDD)
According to Body20's 2025 Franchise Disclosure Document, a 'Sales Transaction' is defined within the context of Table 2, which presents the Average Monthly Sales Transactions for covered studios during the reporting period. The reporting period spans 15 months, from January 1, 2024, to March 31, 2025.
Specifically, a 'Sales Transaction' includes three scenarios: the sale of a new membership to a new member, the sale of a new membership to a member rejoining after a lapse in their membership, and the sale of a package of sessions. The 'Average Monthly Sales Transactions' is calculated by aggregating the Sales Transactions for each covered studio during the reporting period and dividing that number by 15, representing the total months in the reporting period.
This definition is important for prospective Body20 franchisees as it clarifies what constitutes a countable sale for the purposes of financial performance representations. Understanding this definition helps in interpreting the average monthly sales transaction data provided in Table 2 and assessing the potential revenue generation of a Body20 studio. The lowest actual Sales Transactions reported in any month by a Covered Studio was one and the highest actual Sales Transactions reported in any month by a Covered Studio was 96.