Besides site selection guidelines, what other assistance might Fitstop provide?
Fitstop Franchise · 2024 FDDAnswer from 2024 FDD Document
[Item 11: FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING]
ITEM 11: FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING
A. Pre-Opening Assistance
Except as disclosed below, we need not provide any assistance to you.
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- We will designate your Designated Territory in the Franchise Agreement prior to execution, unless the parties agree otherwise in a separate agreement (Franchise Agreement, Section 2);
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- We will provide any site selection guidelines and assistance in connection with selecting the Premises, to the extent the same has been reduced to writing in the Manuals or otherwise. We will also review, and subsequently approve/reject, any site you propose as a potential Premises as detailed more fully below in this Item. (Franchise Agreement, Section 9);
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- We will provide on-site assistance and training at your Premises (the "On-Site Assistance"), as detailed more fully in this Item below. (Franchise Agreement, Section 4);
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- We will provide you with a list of our Approved Products, Approved Services, Required Items and Approved Suppliers (to the extent we have designated the same), either as part of the Manuals or otherwise in writing. (Franchise Agreement, Section 11);
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- We will review and approve your signage, the proposed layout and design of your Premises (which must be prepared by our Approved Supplier unless we agree otherwise in writing), as well the equipment, furniture and fixtures used in connection with your Franchised Business, as we deem appropriate and advisable in our discretion. (Franchise Agreement, Sections 9, 10 and 11); and
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- We will provide our Initial Training Program to you and up to two (2) additional of your initial management (or principal) team, as disclosed more fully below under the next heading of this Item.
B. Initial Training Program (Franchise Agreement, Sections 4, 11 and 16)
We will provide our initial training program comprised of: (i) certain "Classroom Training" that you and any individual you wish to serve as a Designated Manager (as defined in this Disclosure Document) will have remote access to and must view and/or otherwise complete online via video instruction or other learning management system we designate to (a) monitor/track participation and progress, and/or (b) test competency levels, if and as we determine appropriate (collectively, the "Remote Training"); (ii) training
that we will provide to you and up to two (2) additional individuals at our corporate training location (or headquarters), currently located in California (which we refer to as our "Corporate Training"); and (iii) onsite training, assistance and support that you, your management, you, your initial management team and our Franchised Business personnel that will be involved in the initial operations (the "Initial Trainee Team") must participate and complete to our satisfaction (the "Initial On-Site Training"), which we may expect to provide at or around the time of Franchised Business has its contemplated soft opening.
Use of Remote Training for Certain Instruction.
Certain portions of the Classroom Training hours (as detailed in the Chart below) may involve instruction provided by video or other digital technology while at our designated corporate training location.
Pre-Conditions to Us Providing Corporate Training or On-Site Initial Training.
We may condition your ability to attend our Corporate Training and/or us providing you with any Initial On-Site Training on you: (i) expending the required amounts on the marketing and pre- opening sales activities we designate or otherwise approve in connection with your initial marketing plan, your lead generation efforts and the Initial Training Team's participation in the Initial On-Site Training that will be provided at your Premises; (ii) undertaking all steps to establish and provide us with access to your EFT Account consistent with your Franchise Agreement, including providing Franchisor and/or its designee with a signed and completed copy of the authorization form attached to your Franchise Agreement as an Exhibit, as well as any other authorizations and approvals necessary for us or our designee to access such EFT Account; (iii) demonstrating that you have obtained all required insurance coverages as set forth in this Agreement and our Manual; and (iv) providing us with completed and signed copies of all agreements and contracts that are attached as Exhibits to your Franchise Agreement, to the extent such documents have not been signed or need to be updated or completed at that time (collectively, the "On-Site Training Pre-Conditions").
pre-opening requirements under your Franchise Agreement have been satisfied. We expect to provide Initial On-Site Assistance around the time of your contemplated soft opening or in the week preceding the same.
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- Instructional materials, including components of the Manuals, remote training modules/content (online), job aids and checklists will be provided to you and used as necessary as you proceed through the Initial Training Program. The initial training program is subject to change without notice to reflect updates in the materials, methods and Manuals, as well as changes in personnel. The subjects taught and the time periods allocated for each subject may vary based on the experience of the people being trained.
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- We will not typically provide any Initial On-Site Training until you demonstrate to us that you have secured a Certificate of Occupancy with respect to your Premises and have otherwise undertaken all steps and actions necessary to otherwise open your Franchised Business to the public. We typically require that you and your management and initial staff of Authorized Instructors (the "Initial Training Team") complete Initial On-Site Training when it is being provided around the opening of your Franchised Business. Failure to complete all required initial training to our satisfaction may result in default and, if not cured, termination of the Franchise Agreement.
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- We also may maintain one or more social media sites (e.g., www.instagram.com, www.facebook.com, or such other social media sites). You may not establish or maintain any social media sites utilizing any usernames, or otherwise associated with the Proprietary Marks, without our advance written consent. We may designate from time to time regional or territory-specific usernames/handles to be maintained by you. You must adhere to the social media policies established from time to time by us and you will require all your employees to adhere to said policies.
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- We will establish, administer and maintain a brand development Fund for the benefit of the System, as we deem appropriate in our sole discretion and set forth more fully below in this Item.
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- We may conduct, as we deem advisable in our sole discretion, inspections of the premises and audits of the Franchised Business and your operations generally to ensure compliance with our System standards and specifications as well as to consult in the development and growth of your Franchised Business. We may also prepare written reports outlining any recommended or required changes or improvements in the operations of your Franchised Business, as we deem appropriate in our sole discretion, and detail any deficiencies that become evident as a result of any inspection or audit. If any inspection reveals any deficiencies, you will be responsible for our costs in conducting such an inspection.
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- We may supplement, revise or otherwise modify the Manuals, as we deem necessary or prudent in our sole discretion, which may, among other things, provide new operations concepts and ideas. We may provide you with these updates through various mediums, including mail, e-mail and our Systemwide intranet.
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- If we deem appropriate, establish and maintain a Mystery Shopper Program and/or other Quality Assurance Program, as we deem appropriate at our discretion.
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING (FDD pages 24–35)
What This Means (2024 FDD)
According to Fitstop's 2024 Franchise Disclosure Document, Fitstop offers several forms of assistance to franchisees beyond site selection. Prior to opening, Fitstop will designate the franchisee's territory in the Franchise Agreement. Fitstop also provides on-site assistance and training at the franchisee's premises. Additionally, Fitstop will provide a list of approved products, services, required items, and suppliers. They will also review and approve the franchisee's signage, the proposed layout and design of the premises, and the equipment, furniture, and fixtures used in connection with the franchised business.
The initial training program includes remote classroom training, corporate training at their headquarters in California, and initial on-site training. Franchisees may need to meet certain pre-conditions before receiving corporate or on-site training, such as expending required amounts on marketing and pre-opening sales activities, establishing an EFT account, obtaining required insurance coverages, and providing completed copies of agreements and contracts. Instructional materials, including manuals, remote training modules, job aids, and checklists, will be provided.
After opening, Fitstop may maintain social media sites, establish a brand development fund, conduct inspections and audits to ensure compliance with system standards, prepare written reports outlining recommended changes or improvements, supplement or revise the manuals, and establish a mystery shopper program or other quality assurance program.
These support systems are designed to help franchisees launch and maintain their Fitstop businesses according to the brand's standards and operational guidelines. Franchisees should be aware of the conditions attached to receiving certain assistance, such as the pre-opening requirements for on-site training.