When are payments for the security system due for a Fly Fitness franchise?
Fly_Fitness Franchise · 2024 FDDAnswer from 2024 FDD Document
AL INVESTMENT**
Single Unit:
| Type of Expenditure | Low | High | Method of Payment | When Due | To Whom Payment is Made |
|---|---|---|---|---|---|
| Initial Franchise Fee1 | $50,000 | $50,000 | Lump sum payment in cash or ava |
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 14–18)
What This Means (2024 FDD)
According to Fly Fitness's 2024 Franchise Disclosure Document, the payment for the security system, which ranges from $0 to $2,140, is due before opening the franchise. The payment method is as required by the suppliers. This means a prospective franchisee must budget for this expense as part of their initial investment and ensure timely payment to the suppliers to avoid delays in the opening of their Fly Fitness studio.
It's important to note that the cost of the security system can vary, with a high estimate of $2,140. Franchisees should obtain detailed quotes from potential suppliers to understand the specific costs associated with their location. This will help in accurately forecasting the initial investment required.
Since the FDD states that all fees and payments are non-refundable unless otherwise stated or permitted by the payee, franchisees should clarify the payment terms and refund policies with the suppliers of the security system. Understanding these terms can help manage financial risks associated with the initial setup of the Fly Fitness franchise.