What is the dependency for Fitstop to provide Initial On-Site Training?
Fitstop Franchise · 2024 FDDAnswer from 2024 FDD Document
r 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").
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- Any individual that you determine to engage and appoint as the individual that will handle the day-to-day operations and management of your Franchised Business (which we refer to as a Designated Manager or General Manager in this Disclosure Document) must participate in and complete all components of the initial training program that we designate, and we may require that you ensure at least two (2) such individuals (including you or, if Franchisee is a business entity, the Franchise Operator) complete all Initial Training Program components prior to opening your initial Franchised Business.
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- You must ensure that any individual personnel you wish to appoint and serve as an Authorized Instructor at the outset of your Franchised Business operations (a) participates in and successfully completes our proprietary Instructor Training program (currently provided remotely), and (b) attends all portions of the Initial On-Site Training we provide to you and your Franchised Business personnel at or around the time of your contemplated opening.
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- You are also solely responsible for all costs and expenses you (and your personnel) incur in connection with completing the appropriate Remote Training, Corporate Training and Initial On- Site Training, including personnel and other trainee wages.
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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, several conditions must be met before Fitstop provides Initial On-Site Training. Fitstop may condition the provision of Initial On-Site Training on the franchisee: (1) expending the required amounts on marketing and pre-opening sales activities, (2) taking all steps to establish and provide access to an EFT Account, (3) demonstrating that all required insurance coverages have been obtained, and (4) providing completed and signed copies of all agreements and contracts attached as exhibits to the Franchise Agreement. These conditions are referred to as the "On-Site Training Pre-Conditions."
Fitstop also typically requires that the franchisee demonstrates that they have secured a Certificate of Occupancy for their premises and have taken all necessary steps to open the Franchised Business to the public. The franchisee, their management, and initial staff of Authorized Instructors (the "Initial Training Team") must complete Initial On-Site Training when it is provided around the opening of the Franchised Business. Failure to complete all required initial training to Fitstop's satisfaction may result in default and potential termination of the Franchise Agreement.
Fitstop expects to provide Initial On-Site Assistance around the time of the franchisee's contemplated soft opening or in the week preceding it. Additionally, Initial On-Site Initial Training is provided on an as-needed basis to each franchisee and its initial Authorized Instructor team after the franchisee has completed the Corporate Training and otherwise demonstrated that all other pre-opening requirements under the Franchise Agreement have been satisfied.
In practical terms, a prospective Fitstop franchisee must be prepared to meet all of these pre-conditions to receive the Initial On-Site Training, which is crucial for the successful launch and operation of their franchise. This includes financial investments in marketing, setting up necessary accounts, securing proper insurance, and fulfilling all contractual obligations. Failing to meet these conditions can delay the training and potentially lead to serious consequences, including termination of the franchise agreement.