Under what conditions can Fitstop designate itself or its affiliates as an Approved Supplier?

According to Fitstop's 2024 Franchise Disclosure Document, Fitstop has the right to designate itself, its affiliates, or any other third party as an Approved Supplier for one or more Required Items associated with the Franchised Business. Fitstop must provide prior written notice of this designation, either through the Manuals or otherwise.

This means that Fitstop franchisees may be required to purchase certain items necessary for operating their franchise, such as furniture, fixtures, equipment, supplies, inventory, and software, from suppliers that Fitstop has approved. Fitstop can add or change Approved Suppliers, and even designate itself or its affiliates as Approved Suppliers, provided they give the franchisee prior written notice.

This policy allows Fitstop to maintain quality control and standardization across all franchise locations. However, it also limits the franchisee's ability to shop around for the best prices or preferred vendors. Franchisees should be aware that Fitstop may benefit financially from these arrangements, as they may receive rebates or other financial incentives from the Approved Suppliers based on franchisee purchases. Franchisees are obligated to use only the Approved Products at all times at and from the Premises.