Who determines the fees charged for supplies and devices provided to patients at a Degree Wellness Studio?
Degree_Wellness Franchise · 2025 FDDAnswer from 2025 FDD Document
equipment, and furnishings necessary for the operation of a Degree Wellness Studio Management Business and the operation of the Studio, and maintaining, repairing, and replacing such fixtures, equipment, and furnishings;
- (c) Developing and implementing a business plan for the Studio and managing the operational workflow of the Studio business, specifically, scheduling patient appointments and responding to patient inquiries, determining fees charged for the provision of supplies and devices to patients, assisting the Licensed Provider in the billing and the collection of fees payable for Licensed Provider's provision of the Studio Services, devices, and supplies to patients pursuant to Section 3.1(c), arranging for participation in discount medical plan organizations, including collection of fees from third-party payors, and maintaining patient records, including the confidentiality thereof, under the direction of Licensed Provider, pursuant to Section 3.1(d) below;
- (d) Providing office management for the Studio, including purchasing supplies (including office, health and wellness supplies), computer and peripherals, practice management software, off-the-shelf software, general secretarial services, answering telephones and responding to emails and facsimiles, and procuring uniforms;
- (e) Hiring, training, scheduling, supervising and managing all administrative and office staff of the Studio Management Business and the Studio, as applicable, and ensuring that the Studio Management Business and Studio business are sufficiently and adequately staffed; provided, however, that Licensed Provider, and not Management Company, shall be solely responsible for assigning and supervising staff for purposes of providing the Studio Services;
Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 63–66)
What This Means (2025 FDD)
According to Degree Wellness's 2025 Franchise Disclosure Document, the Management Company determines the fees charged for the provision of supplies and devices to patients. However, the Licensed Provider has exclusive authority and control over the practice of medicine at the Studio, including all treatments, diagnosis, policies, and ethical determinations which are required to be decided by a licensed provider.
This means that while the Management Company handles the administrative and business aspects of the studio, including setting fees for supplies and devices, the Licensed Provider retains control over medical decisions and the equipment used. The Licensed Provider has the discretion and authority to choose which medical equipment and devices are used in connection with providing the Studio Services. However, the Licensed Provider acknowledges that it has reviewed and approved all fixtures, equipment and devices located at the Premises and agrees that if Licensed Provider chooses to utilize other medical equipment or devices, it shall do so at its own cost, expense and risk.
This division of responsibilities ensures compliance with laws regarding the corporate practice of medicine, where non-licensed entities cannot control medical decisions. The Management Company cannot engage in any activities that constitute the practice of medicine, and any delegation of authority by Licensed Provider to Management Company that would permit or require Management Company to practice medicine or other Studio Services at the Premises is prohibited.
For a prospective franchisee, this means understanding the balance between business management and medical practice within the Degree Wellness model. While the Management Company sets the fees for supplies and devices, the Licensed Provider maintains authority over medical decisions and equipment, ensuring ethical and legal compliance.