Does Fitstop reserve the right to appoint itself as an Approved Supplier in the future?
Fitstop Franchise · 2024 FDDAnswer from 2024 FDD Document
We reserve the right to appoint ourselves, our affiliate(s) and/or any third party as the designated or Approved Supplier for any Required Item in the future, which we will communicate via the Manuals or other prior written notice.
Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 19–23)
What This Means (2024 FDD)
According to Fitstop's 2024 Franchise Disclosure Document, Fitstop retains the right to designate itself or its affiliates as an approved supplier for any required item in the future. This decision will be communicated to franchisees through the manuals or other written notice.
This means that Fitstop franchisees may be required to purchase certain items from Fitstop or its affiliates, even if they might find the same items at a lower price or better quality elsewhere. This is a fairly standard practice in franchising, as it allows the franchisor to maintain quality control and consistency across all franchise locations. However, it also means that franchisees have less autonomy in their purchasing decisions.
While Fitstop is not currently the approved supplier for all required items, they are the approved supplier for technology services provided as part of any future Technology Fee, ongoing training, and services provided as part of their current fund. As of the issue date of the FDD, Fitstop anticipates having approved suppliers for a range of items, including furniture, fixtures, equipment, site selection services, software, signage, inventory, branded merchandise, marketing materials, music licensing, and project management services. Franchisees should carefully consider the potential financial implications of these required purchases when evaluating the Fitstop franchise opportunity.