Does the Fly Fitness Franchise Agreement grant franchisees options to acquire additional franchises?

According to Fly Fitness's 2024 Franchise Disclosure Document, the standard Franchise Agreement does not grant franchisees any options, rights of first refusal, or similar rights to acquire additional franchises. However, Fly Fitness may consider granting franchisees the right to establish additional Fly Fitness outlets under separate franchise agreements if the franchisee is in compliance with their existing Franchise Agreement and proposes to open another Fly Fitness outlet in an area and at a location that Fly Fitness approves. This consideration is not guaranteed unless the franchisee has entered into a Multi-Unit Development Agreement.

Unless a franchisee has a Multi-Unit Development Agreement, Fly Fitness has no obligation to grant them additional franchises. Fly Fitness retains the discretion to decide whether to allow a franchisee to expand their operations with additional outlets. This means that even a successful franchisee who wants to grow with the Fly Fitness brand may not be able to do so if Fly Fitness does not approve the location or area for a new outlet.

For prospective franchisees, this highlights the importance of understanding the terms of the Franchise Agreement and the potential limitations on expansion. If a franchisee is interested in opening multiple Fly Fitness locations, they should inquire about the possibility of entering into a Multi-Unit Development Agreement, which would provide a more formal framework for future expansion. Without such an agreement, the franchisee's ability to grow within the Fly Fitness system is subject to Fly Fitness's approval and discretion.