Besides the entity, what other signatures are required for the Fly Fitness Franchisee?

According to Fly Fitness's 2024 Franchise Disclosure Document, in addition to the franchisee entity's signature, the Franchise Agreement requires signatures from the franchisee's principals. The document provides signature lines for the entity, and then two separate signature lines for individuals identified as 'FRANCHISEE (Principal)'. This indicates that Fly Fitness requires personal guarantees or commitments from the individuals who own or control the franchisee entity.

This requirement is fairly standard in franchising, especially when the franchisee is a corporate entity like an LLC or corporation. Franchisors like Fly Fitness typically seek the personal guarantee of the principals to ensure accountability and commitment to the franchise obligations. The personal guarantee makes the principal(s) personally liable for the debts and obligations of the franchise, providing an additional layer of security for Fly Fitness.

Prospective Fly Fitness franchisees should carefully consider the implications of signing as a principal, as it exposes their personal assets to potential claims if the franchise fails to meet its financial or contractual obligations. Franchisees should seek legal counsel to fully understand the extent of their personal liability and negotiate terms if possible. They should also perform thorough due diligence to assess the financial viability of the Fly Fitness franchise before committing to the agreement.