Does Fly Fitness currently have any bank accounts exceeding the FDIC coverage limit of $250,000?

According to Fly Fitness's 2024 Franchise Disclosure Document, as of December 31, 2023, none of the company's bank accounts exceeded the FDIC coverage limit of $250,000. However, the FDD also states that the company maintains bank accounts in which balances at times exceed the federally insured limit of $250,000.

This indicates that while Fly Fitness may, at certain times, hold account balances above the insured limit, they manage their accounts to ensure they are within the FDIC coverage limit at the end of the reporting period. This is a common practice for businesses to maximize their earnings potential while minimizing risk.

For a prospective franchisee, this information suggests that Fly Fitness is aware of and manages its cash balances with consideration for FDIC insurance limits. It would be prudent for a potential franchisee to inquire about the company's cash management policies and practices to understand how they mitigate risks associated with balances exceeding FDIC insurance limits throughout the year.