What is an example of enterprise pricing that C12 Group may offer?
C12_Group Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisor shall have the right to negotiate "enterprise" relationships with national brands and that Franchisee agrees to honor such enterprise pricing offered by Franchisor. Examples of the enterprise pricing and benefits that Franchisor may offer are (1) a 10% discount on first-year dues (as determined by the franchisee list price for local market) for new Members from certain organizations and (2) corporately discounted new membership kits and other benefits sponsored by Franchisor (e.g., access to digital products, discounts to events).
Source: Item 22 — CONTRACTS (FDD page 46)
What This Means (2025 FDD)
According to the 2025 C12 Group Franchise Disclosure Document, C12 Group retains the right to negotiate enterprise relationships with national brands, and franchisees are obligated to honor the enterprise pricing the franchisor offers.
An example of enterprise pricing that C12 Group may offer is a 10% discount on first-year dues, based on the franchisee's list price for the local market, for new members from specific organizations. Additionally, corporately discounted new membership kits and other benefits, such as access to digital products and discounts to events, may be sponsored by C12 Group as part of enterprise pricing agreements.
This means that a C12 Group franchisee may have to offer discounts or other benefits to members who are part of a national account negotiated by the franchisor. While this could reduce the franchisee's revenue from those specific members, it could also attract a larger volume of members through the corporate relationship, potentially offsetting the reduced individual revenue. Franchisees should inquire about how these enterprise relationships are negotiated and managed, and what support C12 Group provides to help franchisees leverage these relationships effectively in their local markets.