What specific items does Body20 currently require franchisees to purchase from them or their affiliates?
Body20 Franchise · 2025 FDDAnswer 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. None of our or Sequel Brands' officers own an interest in any unaffiliated suppliers with whom you are required or recommended to do business.
Insurance. You must obtain before you begin construction and/or development of the Studio and must maintain at all times the types of insurance and the minimum policy limits specified in the Manuals. Currently, we require you to obtain and maintain:
Comprehensive General Liability and Professional Liability Insurance. You must maintain comprehensive general liability and professional liability insurance with the following minimum limits:
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- Each Occurrence: $1,000,000
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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 currently required to purchase several items directly from Body20 or its affiliates. These mandatory purchases include the Initial FF&E Package, the Presale Kit, the Initial Retail Inventory Kit, certain ongoing equipment purchases, and replacement inventory, sales materials, and accessories. This means a significant portion of a franchisee's initial and ongoing expenses will be directed to the franchisor or its related entities.
In addition to direct purchases from Body20 or its affiliates, franchisees must also acquire certain goods and services from suppliers or service providers that Body20 has designated or approved. These include specific other equipment and supplies, interior graphics and exterior signage, the Technology System, music licenses, and payment processing services. Furthermore, Body20 retains the right to approve any project managers, architects, engineers, or designers used during the Studio's development and construction phase.
The FDD also states that one of Sequel Brands' officers owns an interest in Body20 and its affiliates, identifying Body20 as a required supplier. This arrangement means that Body20 franchisees are obligated to conduct business with a supplier in which the franchisor has a vested interest. The cost to purchase and lease all equipment, inventory and other items and services that Body20 requires franchisees to obtain from them or their affiliates, from designated suppliers, or in accordance with their specifications ranges from 75% to 90% of the total cost to purchase and lease equipment, inventory, and other items necessary to establish a Studio and 30% to 45% of the total cost to purchase and lease equipment, inventory, and other items to operate a Studio. Prospective franchisees should carefully consider these required purchases and supplier relationships, as they can impact profitability and operational flexibility.