With whom must a Degree Wellness franchisee enter into a Management Agreement to operate a Studio Management Business?
Degree_Wellness Franchise · 2025 FDDAnswer from 2025 FDD Document
To operate a Studio Management Business, you must enter into a Franchise Agreement with us and a Management Agreement with a "Licensed Provider" that will own and operate the Studio. A general form of a Management Agreement, to serve as a starting point for satisfying this requirement is attached as Exhibit F-1, but the actual Management Agreement to be used must be approved by us, in our discretion, and must satisfy all requirements and limitations of applicable laws, rules, and regulations of the state in which the Studio Management Business will be located. Attached as Exhibits F-2 and F-3, are forms of agreement required if you utilize our preferred licensed provider. A "Licensed Provider" will be one or more licensed individuals, or a professional corporation or similar entity, such as a professional limited liability company, that is duly authorized to provide health care services under local and state laws. Pursuant to the Management Agreement a Licensed Provider will provide a good faith exam. The initial good faith exam will establish the patient/physician relationship and create a plan of care as it relates to the IV therapy. Then the IV is administered by a registered nurse that is supervised by the physician. The individual franchisees will provide nursing staff to the professional corporation through a staffing agreement where the physician provides supervision to the nursing staff and the franchisee handles all payroll services for the nurse. Also, pursuant to the Management Agreement franchise will provide payroll services, accounting and tax filing services, and other administrative services as the professional corporation directs. The professional corporation will collect all funds for medical services.
Source: Item 1 — The Franchisor and any Parents, Predecessors, and Affiliates (FDD pages 9–12)
What This Means (2025 FDD)
According to Degree Wellness's 2025 Franchise Disclosure Document, to operate a Studio Management Business, a franchisee must enter into a Management Agreement with a "Licensed Provider." This Licensed Provider will own and operate the Degree Wellness studio. Degree Wellness specifies that the actual Management Agreement used must be approved by them and comply with all applicable laws. The franchisor also provides general and preferred forms of the agreement as exhibits in the FDD.
A "Licensed Provider" is defined by Degree Wellness as one or more licensed individuals, or a professional corporation or similar entity, such as a professional limited liability company, that is duly authorized to provide health care services under local and state laws. The Licensed Provider will conduct a good faith exam to establish a patient/physician relationship and create a plan of care related to IV therapy. A registered nurse, supervised by a physician, will administer the IV. The franchisee will provide nursing staff to the professional corporation through a staffing agreement, where the physician supervises the nursing staff, and the franchisee handles payroll services for the nurse.
Furthermore, the Degree Wellness franchisee will provide payroll, accounting, tax filing, and other administrative services as directed by the professional corporation. The professional corporation will be responsible for collecting all funds for medical services. This arrangement ensures that the medical aspects of the Degree Wellness studio are managed by licensed healthcare professionals, while the franchisee handles the administrative and business operations.