factual

Is Evolv an affiliate of Itan, and what products is it the exclusive supplier for?

Itan Franchise · 2025 FDD

Answer from 2025 FDD Document

ffiliate, FDTC, is the exclusive supplier for FIT Bodywraps®. Our affiliate, Evolv, is the exclusive supplier for all TANOLOGY® and BRONZE LUMINESSENCE™ skincare products and CALIFORNIA SPA® Ageless Serum, as well as certain branded supplies, such as name tags, bed tents, iTAN tote bags and key tags. FDTC and Evolv may also sell these products to the public and other retailers through other channels of distribution, although iTAN franchisees enjoy discounted pricing not generally available to other purchasers of these products. We may designate ourselves and our affiliates as approved or designated suppliers for other goods and services in the future. We and our affiliates may generate a profit from these purchases. Except for FDTC and Evolv, no person affiliated with us is currently an approved (or the only approved) supplier. Our Chief Executive Officer owns an interest in us (the franchisor) as well as FDTC and Evolv. There are no other approved or designated suppliers in which any of our officers own an interest.

Source: Item 8 — RESTRICTIONS ON SOURCES OF PRODUCTS AND SERVICES (FDD pages 18–21)

What This Means (2025 FDD)

According to Itan's 2025 Franchise Disclosure Document, Evolv is an affiliate of Itan and serves as the exclusive supplier for specific skincare products and branded supplies. Franchisees are required to purchase TANOLOGY® and BRONZE LUMINESSENCE™ skincare products and CALIFORNIA SPA® Ageless Serum exclusively from Evolv. Additionally, Evolv is the sole supplier for certain branded supplies, including name tags, bed tents, iTAN tote bags, and key tags.

It is important to note that while Itan franchisees receive discounted pricing from Evolv, Evolv may also sell these products to the public and other retailers through different distribution channels. This means that while franchisees benefit from a price advantage, they may still face competition from other retailers selling the same products. The FDD also states that Itan's Chief Executive Officer owns an interest in both Itan and Evolv, which could present a potential conflict of interest.

For a prospective Itan franchisee, this exclusive supply arrangement with Evolv has several implications. First, franchisees are obligated to purchase specific products from a designated supplier, limiting their ability to negotiate prices or source alternative products. Second, the revenue generated by Evolv from franchisee purchases is significant, with Evolv generating $101,947.43 in revenue from franchisee purchases or leases during the fiscal year ended December 31, 2024. This highlights the importance of understanding the pricing structure and potential profitability of these products. Finally, franchisees should be aware of the potential conflict of interest arising from the common ownership between Itan and Evolv and carefully evaluate the terms of the supply agreement.

Disclaimer: This information is extracted from the 2025 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.