What is defined as the 'Opening Date' for a Fly Fitness franchise?
Fly_Fitness Franchise · 2024 FDDAnswer from 2024 FDD Document
The date the Franchised Business opens for business to the public shall be defined herein as the "Opening Date".
Prior to the Opening Date, Franchisee shall (i) complete all exterior and interior preparations for the Franchised Business, including installation and cleaning of equipment, fixtures, furnishings and signs, in accordance with System requirements and the plans and specifications consented to by Franchisor, (ii) satisfactorily complete Franchisor's Initial Management Training Program, as further set forth in Article 7, (iii) hire and train staff, if required, and (iv) obtain all required licenses to operate the Franchised Business.
If Franchisee fails to comply with any of such obligations, Franchisor shall have the right to prohibit Franchisee from opening for business.
Franchisee's failure to open the Franchised Business and commence operations (i) in accordance with the foregoing and (ii) within the above time frame shall be deemed a material event of default under this Agreement.
Source: Item 22 — CONTRACTS (FDD pages 44–45)
What This Means (2024 FDD)
According to Fly Fitness's 2024 Franchise Disclosure Document, the 'Opening Date' is defined as the date the Franchised Business opens for business to the public.
Prior to this opening, the franchisee must complete several tasks. These include completing all exterior and interior preparations, such as installing and cleaning equipment, fixtures, furnishings, and signs, according to Fly Fitness's system requirements and approved plans. The franchisee must also satisfactorily complete Fly Fitness's Initial Management Training Program and hire and train staff, if required. Finally, the franchisee needs to obtain all required licenses to operate the Franchised Business.
Fly Fitness requires franchisees to notify them at least 30 days before construction or remodeling is completed. The franchisee cannot open for business without written authorization from Fly Fitness, which is conditional upon strict compliance with the Franchise Agreement. Franchisees must open their Fly Fitness location within six months after the location is approved or one year from the Effective Date of the agreement, unless a written extension is granted. Failure to meet these obligations can result in Fly Fitness prohibiting the franchisee from opening and can be considered a material default of the agreement.