Is a Dermani Medspa franchisee required to use Dermani Medspa's designated real estate broker?
Dermani_Medspa Franchise · 2025 FDDAnswer from 2025 FDD Document
You must use our designated real estate broker to either be your real estate broker, or, if you elect to use your own real estate broker, then you must use our real estate broker to oversee your site selection process. If you use your own real estate broker, then you must still pay our designated broker their thencurrent fee in connection with providing their oversight services. Likewise, you must use our designated construction contractor to either be your contractor, or, if you elect to use your own contractor, then you must use our contractor to oversee your buildout. If you use your own contractor, then you must still pay our designated contractor their then-current fee in connection with providing their oversight services. We reserve the right to approve your real estate broker and construction contractor.
Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 26–28)
What This Means (2025 FDD)
According to Dermani Medspa's 2025 Franchise Disclosure Document, franchisees are required to involve Dermani Medspa's designated real estate broker in the site selection process. Franchisees have the option to either use Dermani Medspa's designated real estate broker directly or use their own real estate broker. However, even if a franchisee chooses to use their own broker, Dermani Medspa's designated broker must oversee the site selection process.
This oversight comes with a cost. The franchisee is responsible for paying Dermani Medspa's designated broker their current fee for providing these oversight services, regardless of whether they use the designated broker directly or opt for their own. Dermani Medspa also retains the right to approve a franchisee's choice of real estate broker.
This policy ensures that all Dermani Medspa locations meet the franchisor's standards for site selection, which they believe is crucial for maintaining brand consistency and success. While franchisees have some flexibility in choosing their own broker, they must factor in the additional cost of the oversight fee and the potential for Dermani Medspa to disapprove their chosen broker. This requirement is similar to the construction contractor requirement, where using your own contractor still necessitates oversight and fees from Dermani Medspa's designated contractor.