What is the relationship between Gokhale Method Institute, Inc. and Gokhale Method Enterprise, Inc.?
Gokhale_Method Franchise · 2024 FDDAnswer from 2024 FDD Document
| Company Name | Relationship with the Company |
|---|---|
| Gokhale Method Enterprise, Inc | Parent company |
NOTE 1 – NATURE OF OPERATIONS
Gokhale Method Institute, Inc. ("GMI") was incorporated in 2011 as a California Sub-Chapter S Corporation by Gokhale Method Enterprise, Inc. ("GME"). The subsidiary was formed to franchise the Gokhale Method of dealing with back issues. GMI operates as a business and grants franchises for businesses offering classes and products that help restore the body's primal architecture and movement patterns under the "Gokhale Method" trademarks and related marks. GMI grants franchise licenses in a number of states and countries to practitioners who conduct classes in their franchise area in accordance with the Gokhale Method.
Source: Item 22 — CONTRACTS (FDD page 34)
What This Means (2024 FDD)
According to Gokhale Method's 2024 Franchise Disclosure Document, Gokhale Method Institute, Inc. (GMI) is a subsidiary of Gokhale Method Enterprise, Inc. (GME). GMI was incorporated in 2011 by GME as a California Sub-Chapter S Corporation. GME functions as the parent company to GMI.
Gokhale Method Institute, Inc. was specifically formed to manage the franchising operations of the Gokhale Method, which focuses on addressing back issues through classes and products. GMI grants franchise licenses to practitioners, allowing them to conduct classes within their designated franchise areas, adhering to the Gokhale Method.
For a prospective franchisee, this relationship means that Gokhale Method Enterprise, Inc. ultimately has control over the franchise system managed by Gokhale Method Institute, Inc. It also indicates that GME is involved in collecting royalties and fees from franchisees, teachers, and classes. Understanding this corporate structure is crucial for franchisees as it clarifies who the ultimate decision-making entity is and where the financial obligations are directed.