What items are considered 'Required Items' that a Fitstop franchisee must acquire, license, or lease?
Fitstop Franchise · 2024 FDDAnswer from 2024 FDD Document
- 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.
- 12.2 Ongoing Obligations. To ensure you may service members, you must purchase and maintain in accordance with the specifications set forth in the Manual(s)s such additional supplies and equipment necessary. We may make changes in these standards and specifications. The changes may require you to purchase equipment, supplies, furnishings or other products. You must promptly use the modified standards and specifications at your own expense and as specified in this Agreement within 180 days of the date we provide notice of a formal roll-out with respect to all similarly-situated System franchisees.
- 12.3 Right to Designate and Update List of Approved Supplier(s). We may, but are under no obligation, appoint oursevles and/or our affiliates or any other third party as an Apporved Supplier for one (1) or more Required Items associated with the Franchised Business upon prior written notice via the Manuals or otherwise.
Source: Item 23 — RECEIPTS (FDD pages 50–135)
What This Means (2024 FDD)
According to the 2024 Fitstop Franchise Disclosure Document, franchisees are required to acquire, license, or lease specific items to establish and operate their Fitstop franchise. These 'Required Items' encompass furniture, fixtures, equipment, supplies, inventory, Required Software, and services. These items are those Fitstop designates in its manuals or in writing.
The FDD states that these items are needed to build out the franchised business at the premises and to maintain its operation. Franchisees must adhere to Fitstop's current system standards and specifications for these items. Furthermore, franchisees are obligated to source these Required Items from approved suppliers, if any, that Fitstop designates in its manuals or in writing.
Fitstop also has the right to modify the standards and specifications of required items, which may necessitate franchisees to purchase new equipment, supplies, furnishings, or other products. Franchisees are expected to implement these changes promptly at their own expense, typically within 180 days of receiving notice from Fitstop regarding a formal rollout to all similarly-situated franchisees. Fitstop may also appoint themselves, their affiliates, or any third party as an approved supplier for one or more Required Items, providing prior written notice through the manuals or otherwise.