factual

What management skills must a Fly Fitness developer demonstrate for an additional Franchised Business?

Fly_Fitness Franchise · 2024 FDD

Answer from 2024 FDD Document

  • 5.4.2 Developer shall be in full compliance with this Agreement, the Mandatory Development Schedule, and all Franchise Agreements with Franchisor and any other agreement with Franchisor or Franchisor's affiliates; and
  • 5.4.3 Developer has demonstrated the management skills necessary for competent operation, organization, customer service and record keeping of an additional Franchised Business as determined by Franchisor, in Franchisor's sole discretion.
  • 5.5 Termination for Failure of Condition. Notwithstanding anything to the contrary contained herein, in the event that Franchisor determines, in Franchisor's sole and absolute discretion, that any condition set forth in Section 5.4 hereof cannot be satisfied, Franchisor may terminate this Agreement upon written notice to Developer. Termination of this Agreement in accordance with this Section 5.5 shall have no effect on the validity of any other agreement between Franchisor and Developer, provided that Developer is in full compliance therewith.

Source: Item 23 — RECEIPT (FDD pages 45–182)

What This Means (2024 FDD)

According to Fly Fitness's 2024 Franchise Disclosure Document, a developer seeking to open an additional Fly Fitness franchise must demonstrate specific management skills. The developer needs to show they possess the necessary management skills for competent operation, organization, customer service, and record keeping. The determination of whether the developer has these skills lies solely with Fly Fitness.

This requirement ensures that multi-unit franchisees have the capabilities to successfully manage and operate multiple locations. Fly Fitness retains the right to assess these skills, giving them control over who can expand within their system.

If Fly Fitness determines that the developer does not meet these conditions, Fly Fitness can terminate the agreement. However, the termination of the agreement will not affect the validity of any other agreement between Fly Fitness and the developer, provided the developer is in full compliance with the other agreements.

Disclaimer: This information is extracted from the 2024 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.