Can Fitstop change the Approved Suppliers for the Local Marketing Requirement (LMR)?

According to Fitstop's 2024 Franchise Disclosure Document, Fitstop has the ability to modify the list of Approved Suppliers for the Local Marketing Requirement (LMR). Fitstop may require that all or a portion of the franchisee's LMR, which is a minimum of 1% of the Gross Revenue generated by the Franchised Business during the preceding calendar month, be spent on services or collateral acquired from their current Approved Suppliers.

This means that Fitstop franchisees are obligated to allocate a portion of their revenue towards local marketing efforts, and Fitstop can mandate that these funds be directed towards specific suppliers they have approved. This gives Fitstop control over where franchisees spend their marketing dollars and ensures consistency in branding and marketing efforts across the franchise system.

For a prospective franchisee, this implies that they may not have complete autonomy in choosing marketing vendors and must work within the framework of Fitstop's approved supplier network. While this may limit flexibility, it also ensures that marketing materials and services meet Fitstop's standards and potentially benefit from negotiated rates or partnerships established by the franchisor. Franchisees should stay informed about any changes to the approved supplier list and factor this requirement into their budgeting and marketing strategies.