Does Body20 require franchisees to submit a grand opening plan for approval?
Body20 Franchise · 2025 FDDAnswer from 2025 FDD Document
pending Requirement. At our request, you must submit appropriate documentation to verify compliance with the Marketing Spending Requirement. If you fail to spend (or prove that you spent) the Marketing Spending Requirement in any month, then we may, in addition to and without limiting our other rights and remedies, require you to pay us the shortfall as an additional Brand Fund Fee or to pay us the shortfall for us to spend on local marketing for your Studio.
- (d) Grand Opening Advertising. In connection with the opening of the Studio, you must spend a minimum of $15,000 for grand opening advertising and promotion beginning at least 60 days before, and ending 30 days after, the opening of your Studio in accordance with a plan that you must submit to us for our approval. We have the right to modify your grand opening plan, in our sole discretion, and may require you to use a public relations firm to assist with your grand opening. The wages and other payroll-related expenses of your employees shall not be credited
Source: Item 23 — RECEIPT (FDD pages 74–251)
What This Means (2025 FDD)
According to Body20's 2025 Franchise Disclosure Document, franchisees are required to submit a grand opening plan for approval. Specifically, the FDD states that in connection with the opening of the studio, franchisees must spend a minimum of $15,000 for grand opening advertising and promotion. This spending must occur beginning at least 60 days before, and ending 30 days after, the studio's opening. The plan outlining these activities must be submitted to Body20 for their approval.
Body20 retains the right to modify the franchisee's grand opening plan at their sole discretion. They may also require the franchisee to use a public relations firm to assist with the grand opening. It is important to note that the wages and other payroll-related expenses of the franchisee's employees cannot be credited towards the $15,000 spending requirement. Additionally, any amount spent on the grand opening will not be credited toward the general Marketing Spending Requirement.
However, Body20 also reserves the right to require the franchisee to simply pay them the $15,000 minimum grand opening spend. If this occurs, Body20 will then use those funds to conduct grand opening advertising and promotion for the studio on the franchisee's behalf, managing the process in a manner they determine at their sole discretion. This provides Body20 with an alternative approach to managing the grand opening advertising and promotion, should they choose to exercise it.
Prospective franchisees should clarify with Body20 the extent to which they can control the grand opening advertising and promotion, and under what circumstances Body20 would opt to manage the grand opening advertising directly. Understanding these conditions is essential for budgeting and planning the initial launch of the Body20 studio.