What services will the franchisee provide to the PC under the Management Agreement for a Healthsource Chiropractic franchise?
Healthsource_Chiropractic Franchise · 2025 FDDAnswer from 2025 FDD Document
Under the Management Agreement, you will provide the PC with management and administrative services and support consistent with the System to support the PC's chiropractic practice and its delivery of chiropractic services and related services and products to patients at a Clinic, consistent with all applicable laws and regulations. Our Franchise Disclosure Document contains a general form of Management Agreement as an exhibit that can serve as a starting point for satisfying this requirement, but the actual Management Agreement to be used must be approved by us, in our discretion, and must satisfy all requirements and limitations of applicable laws, rules and regulations of the state in which the Clinic will be located.
Source: Item 23 — Receipts (FDD pages 77–282)
What This Means (2025 FDD)
According to Healthsource Chiropractic's 2025 Franchise Disclosure Document, the franchisee, as the Management Company, will provide the PC (Professional Corporation) with management and administrative services and support consistent with the Healthsource Chiropractic system. This support is intended to aid the PC's chiropractic practice and the delivery of chiropractic services, related services, and products to patients at the clinic, ensuring compliance with all applicable laws and regulations.
This arrangement is particularly relevant in states where non-licensed individuals or entities are not permitted to own or operate chiropractic practices. In such cases, the franchisee operates as a Clinic Management Business, entering into a Management Agreement with a PC that owns and operates the clinic. The franchisee is responsible for constructing or building out the clinic for the PC's use, while the PC operates the clinic business under the HealthSource name and marks.
The Franchise Disclosure Document includes a general form of Management Agreement that can be used as a starting point, but the final agreement must be approved by Healthsource Chiropractic and comply with all applicable state and local laws. The franchisee must obtain written approval of the Management Agreement before signing it with the PC and must maintain a Management Agreement with a PC throughout the term of the franchise agreement. However, the PC will employ and control the chiropractors, physical therapists, and other personnel who will provide the actual chiropractic and related services. The franchisee cannot provide any actual chiropractic care or any other professional services that require licensing or certification, nor will they supervise, direct, control or try to influence the exercise of professional and/or medical judgment, treatment protocols, employee decisions, clinical advice, clinical training, clinical chiropractic care or relationships with patients, by the PC or any of its employees or agents.