What is the required action regarding lease renewal options for a Fly Fitness franchisee?

According to Fly Fitness's 2024 Franchise Disclosure Document, a franchisee must secure the right to continue occupying the premises of the Franchised Business for the full term of the Successor Franchise Agreement or receive Fly Fitness's approval to relocate the Franchised Business to a new location to be eligible for renewal. This requirement ensures that the franchisee has a viable location for the duration of the renewed agreement.

This stipulation places the onus on the franchisee to either negotiate a lease renewal with their landlord or find a new location that meets Fly Fitness's standards. Failure to secure either continued occupancy or approval for a new location could prevent the franchisee from renewing their agreement. This protects Fly Fitness by ensuring that renewed franchises operate from suitable locations.

It is important for prospective Fly Fitness franchisees to understand the terms of their initial lease and the likelihood of renewal. They should also consider the potential costs and challenges associated with finding and securing a new location if the lease cannot be renewed. Franchisees should discuss lease renewal options and relocation possibilities with Fly Fitness during their due diligence process.