What is the Fly To Fit franchisee required to do for the entire term of the agreement?
Fly_To_Fit Franchise · 2024 FDDAnswer from 2024 FDD Document
- 2.1 Grant. Fly To Fit Franchise grants to Franchisee the right to operate a Fly To Fit business solely at the Location. If no Location is stated on the Summary Page when this Agreement is signed, then the parties will determine the Location in accordance with Section 6.1. Franchisee shall develop, open and operate a Fly To Fit business at the Location for the entire term of this Agreement.
4.2 Royalty Fee. Franchisee shall pay Fly To Fit Franchise a monthly royalty fee (the "Royalty Fee") equal to 6% of Gross Sales. The Royalty Fee for any given month is due on the first Tuesday of the following month.
(a) Management. The Business must at all times be under the on-site supervision of the Principal Executive or a general manager who has completed Fly To Fit Franchise's training program.
(b) Service. Franchisee shall cause its personnel to render competent and courteous service to all customers and members of the public.
(c) Appearance. Franchisee shall cause its personnel to comply with any dress attire, uniform, personal appearance and hygiene standards set forth in the Manual.
7.7 Software. Without limiting the generality of Section 7.1 or Section 8.1, Franchisee shall acquire and use all software and related systems required by Fly To Fit Franchise. Franchisee shall upgrade, update, or replace any software from time to time as Fly To Fit Franchise may require.
7.9 Evaluation and Compliance Programs. Franchisee shall participate at its own expense in programs required from time to time by Fly To Fit Franchise for obtaining customer evaluations, reviewing Franchisee's compliance with the System, and/or managing customer complaints, which may include (but are not limited to) a customer feedback system, customer survey programs, and mystery shopping. Franchisee must meet or exceed any minimum score requirements set by Fly To Fit Franchise for such programs.
7.10 Payment Systems. Franchisee shall accept payment from customers in any form or manner designated by Fly To Fit Franchise (which may include, for example, cash, specific credit and/or debit cards, gift cards, electronic fund transfer systems, and mobile payment systems).
7.8 Customer Complaints. Franchisee shall use its best efforts to promptly resolve any customer complaints. Fly To Fit Franchise may take any action it deems appropriate to resolve a customer complaint regarding the Business, and Fly To Fit Franchise may require Franchisee to reimburse Fly To Fit Franchise for any expenses.
14.4 Remove Identification. Within 30 days after termination or expiration, Franchisee shall at its own expense "de-identify" the Location so that it no longer contains the Marks, signage, or any trade dress of a Fly To Fit business, to the reasonable satisfaction of Fly To Fit Franchise. Franchisee shall comply with any reasonable instructions and procedures of Fly To Fit Franchise for de-identification. If Franchisee fails to do so within 30 days after this Agreement expires or is terminated, Fly To Fit Franchise may enter the Location to remove the Marks and de-identify the Location.
Source: Item 22 — CONTRACTS (FDD page 44)
What This Means (2024 FDD)
According to Fly To Fit's 2024 Franchise Disclosure Document, a franchisee is granted the right to operate a Fly To Fit business solely at the approved location for the entire 10-year term of the agreement. The franchisee is obligated to develop, open, and operate the Fly To Fit business at that location throughout this period.
During the term, the franchisee must pay Fly To Fit a monthly royalty fee equal to 6% of gross sales, due on the first Tuesday of the following month. The franchisee is also required to adhere to Fly To Fit's standards regarding personnel, ensuring the business is supervised by a trained manager, that staff provides competent service, and that personnel comply with appearance and hygiene standards. Franchisees must also use all software and related systems required by Fly To Fit, and upgrade or replace software as required.
Additionally, the franchisee must participate in customer evaluation and compliance programs, potentially including customer feedback systems and mystery shopping, and meet any minimum score requirements set by Fly To Fit. They must also accept payment from customers in any form designated by Fly To Fit. The franchisee is also responsible for resolving customer complaints and may be required to reimburse Fly To Fit for expenses incurred in resolving complaints.
Upon termination or expiration of the agreement, the franchisee is required to de-identify the location within 30 days, removing all Fly To Fit branding and trade dress to Fly To Fit's satisfaction. Failure to do so allows Fly To Fit to enter the location and remove the branding themselves, without being held liable for trespass or damages.