factual

What options were offered to existing affiliates of the Gokhale Method in 2012?

Gokhale_Method Franchise · 2024 FDD

Answer from 2024 FDD Document

.

Affiliate Program Agreements. During the period 2009 to February, 2011, Ms. Gokhale offered and sold arrangements to individuals to teach the Gokhale Method under "Affiliate Program Agreements." The Affiliate Program Agreements authorized individuals to offer Posture Classes using the Gokhale Method name and marks in exchange for a fee of $3,000 for training and a fixed payment for each student taught. These arrangements might have been considered franchises under certain laws. We have taken assignment of Esther Gokhale's interest in all Affiliate Agreements, and in 2012 offered to all existing affiliates the option to convert to the franchise offered here or end their relationship with us. All affiliates have now either been converted to franchises or our relationship with them has ended. No further affiliate agreements have been offered since 2011 and none are currently in effec

Source: Item 1 — THE FRANCHISOR AND ANY PARENTS, PREDECESSORS, AND AFFILIATES (FDD pages 8–10)

What This Means (2024 FDD)

According to the 2024 Gokhale Method Franchise Disclosure Document, in 2012, existing affiliates were given two options: convert their affiliate agreement into a Gokhale Method franchise agreement, or end their relationship with the Gokhale Method altogether. This offer was extended to those who had previously entered into "Affiliate Program Agreements" between 2009 and February 2011. These agreements allowed individuals to teach posture classes using the Gokhale Method's name and trademarks.

The Affiliate Program Agreements, which required a $3,000 training fee and a fixed payment for each student taught, were potentially considered franchises under certain laws. To clarify these arrangements, Gokhale Method provided the option to convert to a formal franchise agreement. This conversion would likely involve adhering to the then-current franchise terms, including fees, operational standards, and curriculum requirements.

The decision to offer these options suggests that Gokhale Method aimed to standardize its operations and ensure compliance with franchise regulations. By 2012, all affiliates had either converted to franchises or terminated their agreements, indicating a complete transition away from the affiliate program model. Since 2011, Gokhale Method has not offered any further affiliate agreements, focusing instead on the franchise model for expansion.

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.