What is the condition that triggers additional fees related to the Degree Wellness computer system implementation?
Degree_Wellness Franchise · 2025 FDDAnswer from 2025 FDD Document
Agreement or promptly after receiving notice from us about our requirement for your to sign the Service Agreement. [The terms and conditions of any such Service Agreement are hereby incorporated herein by reference (the "Additional Terms and Conditions"). A copy of any such Service Agreement shall be attached to this Agreement as Exhibit 4.]
- c. Your full implementation of our computer system and software requirements, including our designated billing system, is a crucial part of your Studio's start-up and operation, and you and we agree that the Computer System requirements are a top priority. Accordingly, if you do not fully implement our designated Computer System, including required software (called "going live") within acceptable timeframes, you will be required to pay additional fees to us, as follows:
- o If you have not "gone live" within two (2) months after the conclusion of your initial training program, you will be required to pay a fee of $500.00 per month for each month thereafter, due and payable on the first (1st) day of each calendar month in such period with no pro-rations for partial months;
Source: Item 23 — Receipts (FDD pages 66–257)
What This Means (2025 FDD)
According to Degree Wellness's 2025 Franchise Disclosure Document, a franchisee will be required to pay additional fees if they do not fully implement the designated computer system, including the required software, within acceptable timeframes. This is referred to as not "going live" with the system.
If a Degree Wellness franchisee has not "gone live" within two months after the conclusion of their initial training program, they will be required to pay a fee of $500 per month. This fee is due on the first day of each calendar month and is not pro-rated for partial months.
Furthermore, if the franchisee has not "gone live" within six months after the conclusion of the initial training program, the fee increases to $1,000 per month, commencing in the sixth month after training. Degree Wellness emphasizes that these fees are in addition to any other rights or remedies they may have under the franchise agreement.