factual

Where must Fly To Fit franchisees purchase fixtures and equipment related to the business?

Fly_To_Fit Franchise · 2024 FDD

Answer from 2024 FDD Document

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  • D. Products, inventory and equipment. You must purchase required bungee fitness products and systems from affiliate, Fly To Fit Bungee Fitness, LLC. All other purchases of fixtures and equipment related to the business will be made through our approved vendors.
  • E. Engineer and general contractor. You must retain an engineer to determine what is required for proper installation/attachment and weight limitation for equipment required at franchisee location(s).

Us or our Affiliates as Supplier

Our affiliate, Fly to Fit Bungee Fitness, LLC is currently a supplier of the bungee fitness systems you will purchase to operate the fitness studio. We reserve the right to be a supplier (or the sole supplier) of additional goods or services in the future.

Ownership of Suppliers

Outside of your requirement to use Fly to Fit Bungee Fitness for the bungee systems, none of our officers own any interest in any suppliers to our franchisees.

Alternative Suppliers

If you want to use a supplier that is not on our list of approved suppliers, you must request our approval in writing. We will grant or revoke approvals of suppliers based on criteria appropriate to the situation, which may include evaluations of the supplier's capacity, quality, financial stability, reputation, and reliability; inspections; product testing, and performance reviews. Our criteria for approving suppliers are not available to you. We permit you to contract with alternative suppliers who meet our criteria only if you request our approval in writing, and we grant approval. There is no fee for us to review or approve an alternate supplier.

Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 19–21)

What This Means (2024 FDD)

According to Fly To Fit's 2024 Franchise Disclosure Document, franchisees must purchase required bungee fitness products and systems from Fly To Fit Bungee Fitness, LLC, an affiliate of the franchisor. All other purchases of fixtures and equipment related to the business will be made through Fly To Fit's approved vendors.

Fly To Fit retains the right to require franchisees to purchase or lease all goods, services, supplies, fixtures, equipment, inventory, computer hardware and software, real estate, or comparable items related to establishing or operating their business either from Fly To Fit or its designee, or from suppliers approved by Fly To Fit, or according to Fly To Fit's specifications. If a franchisee wants to use a supplier that is not on Fly To Fit's list of approved suppliers, they must request approval in writing. Fly To Fit will grant or revoke approvals of suppliers based on criteria appropriate to the situation, which may include evaluations of the supplier's capacity, quality, financial stability, reputation, and reliability; inspections; product testing, and performance reviews.

Fly To Fit's criteria for approving suppliers are not available to franchisees. Fly To Fit permits franchisees to contract with alternative suppliers who meet their criteria only if the franchisee requests approval in writing, and Fly To Fit grants approval. There is no fee for Fly To Fit to review or approve an alternate supplier. Fly To Fit will provide written notification of the approval or disapproval of any supplier a franchisee proposes within 30 days after receipt of the request. Fly To Fit may grant approvals of new suppliers or revoke past approvals of suppliers on written notice to the franchisee, or by updating their Manual.

This means that while franchisees have some flexibility to propose alternative suppliers for fixtures and equipment, Fly To Fit maintains significant control over the supply chain. Prospective franchisees should carefully consider the implications of these restrictions, including potential impacts on cost, quality, and availability of goods and services. It is important to discuss these restrictions with Fly To Fit and current franchisees to fully understand the approved vendor network and the process for requesting alternative suppliers.

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.