Can Fitstop require franchisees to expend up to an additional $10,000 on other promotional activities?
Fitstop Franchise · 2024 FDDAnswer from 2024 FDD Document
end on materials/services that are purchased from our Approved Supplier(s).
- 6.3.2 Other Initial Marketing/Promotional Efforts. We strongly recommend, and may require, that you expend up to an additional $10,000 on other promotional activities designed to increase the visibility of your Franchised Business within the Designated Territory prior to or around the time of your contemplated or required opening. We may provide further directives to you via the Manuals or otherwise in writing on how we sugg
Source: Item 23 — RECEIPTS (FDD pages 50–135)
What This Means (2024 FDD)
According to Fitstop's 2024 Franchise Disclosure Document, Fitstop franchisees may be required to spend up to an additional $10,000 on promotional activities. This is in addition to the initial marketing spend.
The FDD states that Fitstop may require franchisees to expend these funds to increase the visibility of their Franchised Business within their Designated Territory prior to or around the time of their opening. Fitstop may provide further directives to franchisees via the Manuals or otherwise in writing on how they suggest or, in some cases, require franchisees to expend these funds.
This additional marketing expenditure is not guaranteed, but prospective franchisees should be aware of the possibility and factor it into their initial investment calculations. It is important to clarify with Fitstop the specific circumstances under which this additional spending would be mandatory and how Fitstop determines the allocation of these funds.