factual

Under what circumstances does Degree Wellness require approval of the lease terms for my Studio?

Degree_Wellness Franchise · 2025 FDD

Answer from 2025 FDD Document

    1. If we require, approve the terms of the lease for the premises of your Studio (Franchise Agreement – Section 3.1). You must lease the premises for the Studio within 180 days after signing the Franchise Agreement. We may terminate your Franchise Agreement if you do not sign your lease by this deadline. Generally, we do not own premises that are leased to Studios. Your lease must include the provisions required by the Franchise Agreement, or you must obtain our express written approval as to any variations or exclusions of such provisions in your lease.

Source: Item 11 — Franchisor's Assistance, Advertising, Computer Systems, and Training (FDD pages 32–42)

What This Means (2025 FDD)

According to Degree Wellness's 2025 Franchise Disclosure Document, Degree Wellness may require approval of the lease terms for your studio. Franchisees must lease the premises for the Studio within 180 days after signing the Franchise Agreement. If the lease does not include the provisions required by the Franchise Agreement, you must obtain Degree Wellness's express written approval for any variations or exclusions of such provisions in your lease. Degree Wellness may terminate the Franchise Agreement if you do not sign your lease by this deadline.

Degree Wellness must approve the proposed studio site, which must meet criteria for demographics; traffic patterns; parking; ingress and egress; character of neighborhood; competition from, proximity to, and nature of other businesses; size; appearance; and other physical and commercial characteristics. The studio must be a minimum of 1,800 square feet in size and is typically located in high-traffic strip malls. The franchisee must seek and select a mutually agreeable site within the Site Selection Area within 120 days after signing the Franchise Agreement. Degree Wellness will inform you of their approval or disapproval of your proposed site within 15 days of your proposal of the Studio site. If you fail to identify a mutually agreeable site by the established deadline, then Degree Wellness may terminate your Franchise Agreement and the initial Franchise Fee may be forfeited.

These stipulations are fairly standard in the franchise industry, as franchisors want to ensure that the location and lease terms are favorable for the franchisee's success and protect the brand's image. Prospective franchisees should carefully review the Franchise Agreement and discuss any concerns with Degree Wellness before signing.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.