Does Kidokinetics reserve the right to establish minimum and maximum resale prices?

According to Kidokinetics's 2024 Franchise Disclosure Document, Kidokinetics retains the right to set both minimum and maximum resale prices. This authority is specifically designated for use in multi-area marketing programs and special price promotions, provided such actions are legally permissible. This policy allows Kidokinetics to manage pricing strategies across multiple franchise locations or during promotional periods.

For a prospective franchisee, this means that while they generally have control over their pricing, Kidokinetics can intervene during specific marketing initiatives. This could impact a franchisee's profit margins during these periods, as they may be required to lower prices to align with the franchisor's promotional strategy or be restricted from raising prices beyond a certain point. Franchisees must adhere to these pricing guidelines during the specified programs and promotions.

This practice is not uncommon in franchising, as franchisors often seek to maintain brand consistency and competitive pricing across their network. However, it's crucial for franchisees to understand the extent of this control and how it might affect their revenue and profitability. Franchisees should discuss with Kidokinetics the frequency and scope of these multi-area marketing programs and special price promotions to fully understand the potential impact on their business.