factual

From whom must a Brain Balance franchisee purchase the program kits for enrolled students?

Brain_Balance Franchise · 2025 FDD

Answer from 2025 FDD Document

You will be required to purchase and provide program kits to your enrolled students. These are distributed by our designated vendor which produces and distributes them on our behalf.

Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 30–34)

What This Means (2025 FDD)

According to Brain Balance's 2025 Franchise Disclosure Document, franchisees are required to purchase program kits for enrolled students from a designated vendor. This vendor is selected by Brain Balance to produce and distribute these kits on their behalf. This requirement ensures consistency in program materials and quality control across all Brain Balance centers.

This designated vendor relationship is part of Brain Balance's strategy to maintain uniformity and standards within its franchise system. Item 8 of the FDD indicates that Brain Balance is the only approved supplier for these goods and services, and they do not approve alternate suppliers. This means franchisees must adhere to the specified vendor for program kits, ensuring that all students receive the same standardized materials.

In 2024, Brain Balance's total revenues were $5,834,704, with approximately $1,681,749 (or 28.8% of revenue) coming from required purchases. The vendor providing the enrollment kits pays Brain Balance between 25% and 52% of the revenue, depending on the type of kit and its contents. This financial arrangement highlights the importance of these vendor relationships to Brain Balance's overall revenue model.

While franchisees are generally required to use designated vendors, Brain Balance does provide a process for requesting approval of alternate suppliers. However, approval is not guaranteed and depends on factors such as the supplier's ability to meet Brain Balance's standards for quality, capacity, financial condition, and business reputation. The decision to approve an alternate supplier is at Brain Balance's sole discretion, and they may consult with the franchisee advisory board before making a final determination.

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.