factual

Does Fitstop provide the Initial On-Site Training at the franchisee's premises?

Fitstop Franchise · 2024 FDD

Answer from 2024 FDD Document

hise Agreement, Section 9);

    1. 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);
    1. 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);
    1. 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
    1. 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.

    1. 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.
    1. 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;

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 does provide initial on-site assistance and training at the franchisee's premises. This on-site assistance is expected to be provided around the time of the franchisee's soft opening or in the week preceding it. However, Fitstop will not typically provide this on-site training until 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.

Fitstop requires that the franchisee, their management, and their initial staff of authorized instructors, referred to as the "Initial Training Team," complete the 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. The franchisee is responsible for all costs and expenses associated with completing the Remote Training, Corporate Training, and Initial On-Site Training, including personnel and trainee wages.

Fitstop also conditions the provision of Initial On-Site Training on several pre-conditions. These include expending the required amounts on marketing and pre-opening sales activities, establishing and providing access to an EFT Account, obtaining all required insurance coverages, and providing completed copies of all agreements and contracts attached as exhibits to the Franchise Agreement. These pre-conditions must be met before Fitstop will provide the on-site training.

Disclaimer: This information is extracted from the 2024 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.