Who administers payroll and insurance plans for the Licensed Provider and their employees at a Degree Wellness Studio?

According to Degree Wellness's 2025 Franchise Disclosure Document, the Management Company is responsible for administering payroll, insurance, and fringe benefit plans for the Licensed Provider and their employees. This means the Degree Wellness franchisee, operating as the Licensed Provider, will have these administrative tasks handled by the Management Company.

This arrangement simplifies the operational responsibilities for the Licensed Provider, allowing them to focus more on providing Studio Services. The Management Company's role includes managing payroll, insurance, and benefits, which are critical but time-consuming aspects of running a business.

However, the Licensed Provider should be aware that while the Management Company handles these administrative tasks, the Licensed Provider remains responsible for ensuring compliance with all applicable laws and regulations. Additionally, the Licensed Provider is responsible for the fees associated with these services, as detailed in Section 3.1(e) of the agreement. It is important for the Licensed Provider to understand the scope and limitations of the Management Company's services and to maintain oversight to ensure accurate and timely administration of payroll and benefits.