factual

Does Body20 require franchisees to purchase the Initial FF&E Package from Body20 or its affiliates?

Body20 Franchise · 2025 FDD

Answer from 2025 FDD Document

at you offer, you must immediately discontinue offering the Session or modify the Session in accordance with our instructions.

Currently, we require you to purchase from us or our affiliates (i) the Initial FF&E Package, (ii) the Presale Kit, (iii) the Initial Retail Inventory Kit, (iv) certain ongoing equipment purchases, and (v) replacement inventory and sales materials and accessories. We reserve the right to designate us or our affiliates as approved or required suppliers of other goods or services in the future.

Currently, we require you to purchase from suppliers or service providers that we have designated or approved (i) certain other equipment and supplies, (ii) interior graphics and exterior signage, (iii) the Technology System, (iv) music licenses, and (v) payment processing services. We may require you to purchase other goods or services from approved or designated supplies or services providers in the future.

When you develop and construct your Studio, we have the right to require you to obtain our prior written approval of any project managers, architects, engineers, or designers that you would like to use before you engage them.

One of Sequel Brands' officers owns an interest in us and our affiliates, and we are a supplier with whom you are required to do business.

Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 32–37)

What This Means (2025 FDD)

According to Body20's 2025 Franchise Disclosure Document, franchisees are required to purchase the Initial FF&E Package from Body20 or its affiliates. This mandate ensures that franchisees adhere to Body20's standards regarding the furniture, fixtures, and equipment used in their studios. Additionally, Body20 maintains the right to designate itself or its affiliates as the approved or required suppliers for other goods and services in the future. This allows Body20 to control the quality and consistency of products and services offered across all franchise locations.

Besides the Initial FF&E Package, Body20 also requires franchisees to purchase the Presale Kit, Initial Retail Inventory Kit, certain ongoing equipment, replacement inventory, sales materials, and accessories from Body20 or its affiliates. This comprehensive purchasing requirement extends to other equipment and supplies, interior graphics, exterior signage, the Technology System, music licenses, and payment processing services, which must be sourced from suppliers or service providers designated or approved by Body20.

Furthermore, Body20 estimates that the cost to purchase and lease all equipment, inventory, and other items and services that franchisees are required to obtain from Body20 or its affiliates, from designated suppliers, or in accordance with Body20's specifications ranges from 75% to 90% of the total cost to establish a Studio and 30% to 45% of the total cost to operate a Studio. This indicates a significant portion of a franchisee's initial and ongoing expenses is tied to these mandatory purchases, which could impact profitability and financial planning. Prospective franchisees should carefully consider these costs and the potential impact on their business operations.

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.