What is a Fitstop franchisee required to establish and maintain for the Franchise?
Fitstop Franchise · 2024 FDDAnswer from 2024 FDD Document
- 6.8 Telephone and Communications Systems. You must, if requested in writing by us at any time during the Term, at your cost: (1) install and use in the Franchise telephone and other communications systems (including point of sale hardware and software) specified by us for the operation of the Franchise; (2) change or upgrade any telephone and communications systems used in the Franchise which we consider obsolete or superseded, including installation of new telephone and communication systems specified by us; and (3) ensure that all telephone and communications systems are secure from unauthorized access or use.
You: must (1) pay on time all charges payable to any telecommunications service provider or to any other person in connection with the use of these systems; and (2) change, substitute, or discontinue the use of any communications number when requested by us.
We can require you, at any time and for any reason, to execute a transfer of any communications number to be held by us.
©2024 Fitstop USA, Inc. 6.9 Computer System; Required Software. You must at your cost: (1) install and use in the Franchise computer hardware and software which satisfies the functionality and specification requirements specified by us; (2) acquire and maintain software licenses in respect to all Required Software, whether covered by the Technology Fee or otherwise; and (3) change or upgrade any computer hardware or software used in the Franchise which we reasonably consider is obsolete or superseded, including installation of new computer hardware or software which satisfies the then current functionality and specification requirements specified by us.
9.5.3.3 provide us with, and receive our consent with respect to, the plans for the build-out including the plans, design, contractors employed, budget and time frame for the completion of the build-out;
9.5.3.4 engage competent, licensed contractors to complete the works in a proper and workmanlike manner and in a manner to ensure timely completion of the buildout;
9.5.3.5 manage, supervise, and ensure that the buildout is completed by competent, licensed tradesmen in a proper and workmanlike manner;
9.5.3.6 secure appropriate insurances in connection with the buildout;
9.5.3.7 correct any defects in the buildout;
9.5.3.8 ensure the build-out complies with all requirements we specify in the Manual(s) and any government regulatory requirements;
9.5.3.9 verify compliance with all laws and regulations that may be imposed by local, state, and federal agencies in relation to the buildout; and
9.5.3.10 ensure that you pay any and all amounts due in connection with the buildout and other development activities associated with establishing the Franchised Business at the Premises, which may include amounts due to our Approved Supplier(s) and/or us.
©2024 Fitstop USA, Inc. 9.6 Use of Premises. During the Term, the Premises must be used and operated by you exclusively for the purpose of operating the Franchise.
You must keep the Premises open to the public and operate the Franchise during the hours set out in the Manual(s) or as prescribed by us in writing from time to time.
You must conduct the Franchise only from the Premises and must not change the Premises from which the Franchise is conducted without our prior written consent.
- 9.7 Condition, Maintenance and Refurbishment of Premises and Equipment. You must at all times keep the Premises clean and tidy. At your cost, you shall ensure that the Premises are maintained and equipped according to our specifications. You shall ensure that the Premises and all fixtures, fittings and equipment used in the Franchise comply at all times with our reasonable requirements and professional standards. You shall ensure that the Premises and the equipment are at all times operated and maintained in first class condition and repair including keeping them clean and safe in compliance with the industry standards and you must promptly correct any deviations from those standards. You shall replace flooring as specified by us if we deem it necessary. You shall repair and replace fittings, fixtures, equipment and lighting to comply with: (1) if the Premises are subject to a lease, any requirements under the lease; and (2) our standards of presentation required for all franchises in the network. You shall, in order to maintain the Franchise System and the professional image of the network, refurbish the Premises to our then-current specifications as reasonably requested by us and as stated more fully herein. If the provisions of a lease require you to refurbish the Premises more frequently, you must comply with the lease.
©2024 Fitstop USA, Inc. 6.1 Marketing, Advertising and Promotion Generally. We may develop general marketing, advertising or promotional activities or campaigns for all franchises in the network including the Franchise. You must comply with the terms of and actively participate in all sales, marketing, or promotional
campaigns, programs or activities conducted, or reasonably required, by us. You will have access to marketing, promotional, and presentation material including template emails, scripts, presentation packs via the online system and Manual(s). You shall fully cooperate with us in connection with, and participate in, all of our market research programs.
- 6.13 Social Media Use and Participation. You must adhere to our social media policy as described more fully in the Manual(s).
Any social media activity proposed to be undertaken by you that is not in conformance with the Manual(s) must be approved in writing by us in advance.
You must comply with our directions in relation to such activity and if the relevant social media activity is not removed after being directed by us to be so removed, you authorize us to remove any social media activity that is not approved or authorized by us.
You must not disparage us or any of our other franchisees on social media and must not post anything to social media that brings harm or disrepute to the Franchise System.
Doing so is a material breach of this Agreement.
- 6.14 Member Loyalty Program.
We may, in our discretion, establish and operate a Member Loyalty Program from time to time.
You must participate fully in any Member Loyalty Program which we decide to establish and implement.
The terms on which you will participate in the Member Loyalty Program will be set out in the Manual(s) from time to time but for the avoidance of doubt will be necessary to protect or promote our legitimate commercial interest.
You must purchase from us the cards, application forms, and other materials for use in connection with the Member Loyalty Program prior to its commencement date and as and when required in the operation of the Franchise in accordance with the Manual(s).
12.1 Required Items. Unless we agree otherwise in a separately-signed writing, you must acquire and/or license and/or lease: (i) the furniture, fixtures, equipment, supplies, inventory, Required Software and services we designate in the Manuals or otherwise in writing to (a) build-out and otherwise establish the Franchised Business at the Premises, and (b) operate that Franchised Business on an ongoing basis (collectively, the "Required Items"), in accordance with our then-current System standards and specifications; and (ii) such Required Items from the Approved Supplier, if any, we designate in our Manuals or otherwise in writing.
12.4.8 No Vending/Gaming Machines or Other Equipment at the Premises. You must not install at the Premises vending machines, newspaper racks, juke boxes, gum or candy machines, games, rides, phone boxes or any other type of machine without our prior written approval.
Source: Item 23 — RECEIPTS (FDD pages 50–135)
What This Means (2024 FDD)
According to Fitstop's 2024 Franchise Disclosure Document, franchisees have several obligations to establish and maintain the franchise. These include build-out requirements, premises maintenance, technology and communication systems, marketing efforts, and adherence to brand standards.
During the build-out phase, Fitstop franchisees must provide build-out plans for approval, engage licensed contractors, secure appropriate insurance, correct defects, and ensure compliance with Fitstop's specifications and government regulations. Franchisees must also ensure that all payments related to establishing the franchised business are made. Once the Fitstop location is operational, the franchisee must maintain the premises, keeping it clean, tidy, and in good repair, meeting Fitstop's standards for equipment and overall condition. Refurbishments to meet current specifications are also required when reasonably requested by Fitstop.
Fitstop franchisees are also required to install and maintain telephone and communication systems, including point-of-sale hardware and software, as specified by Fitstop. They must acquire and maintain software licenses for required software and upgrade computer hardware and software as needed. Furthermore, franchisees must actively participate in marketing and promotional activities, using only approved signs and advertising materials. Franchisees must also adhere to Fitstop's social media policy and participate fully in any member loyalty programs that Fitstop establishes.
In addition, Fitstop franchisees must acquire and use designated furniture, fixtures, equipment, supplies, inventory, and required software from approved suppliers. They must comply with Fitstop's pricing policies and guidelines, and they are restricted from installing vending or gaming machines without prior written approval. These requirements ensure that each Fitstop franchise maintains a consistent brand image and operational standard, which is common in franchise systems to protect the brand's reputation and customer experience.