Which items in the Pump It Up Disclosure Document relate to pre-opening purchases/leases?
Pump_It_Up Franchise · 2025 FDDAnswer from 2025 FDD Document
- (5) Provide you with a list of approved suppliers (the PIU Vendors) and the start-up items that include products and services that must be purchased and utilized from the PIU Vendors such as furniture, fixtures, equipment, inventory, supplies, marketing materials and signage. (Franchise Agreement, Section 6.A(1) and 6.C)
- (6) purchase or lease from PIU Vendors all required fixtures, furniture, equipment and interior and exterior signs, and install the same; and
- (7) purchase from PIU Vendors an opening inventory of authorized and approved products, materials, and supplies necessary to commence operations at the Franchised Business.
If you build any portion of the Franchised Business outside of our specifications without receiving our prior written consent, we will have the right to delay the opening of the Franchised Business until you, at your sole expense, bring the Franchised Business into full compliance with our specifications.
C. Start Up Package. Prior to opening your Franchised Business, PIU will provide you with a list of start up items that includes products and services that must be purchased from PIU Vendors (defined below in Section 12.B). These items make up the "Start Up Package." The products, which account for most of the cost of the Start Up Package, includes furniture, fixtures, equipment, inventory, marketing materials, graphics packages, supplies, and certain intangible services which include, without limitation, consultation and training related to the opening of your Franchised Business. You must pay any applicable state sales tax on the products included in the Start Up Package and all shipping costs, which may vary based on your location. You will purchase a Start Up Package for each Pump It Up Business that you open. PIU may change any item or the quantity of any item in the Start Up Package from time to time. You must pay the invoiced amount of the Start Up Package to us or the PIU Vendors along with any applicable taxes no later than 15 days after the signing of your Lease and prior to attending our initial training program as described in Section 11. You may be required to purchase additional items and/or furniture that are not part of our standard Start Up Package.
Source: Item 9 — FRANCHISEE OBLIGATIONS (FDD pages 29–30)
What This Means (2025 FDD)
According to the 2025 Pump It Up FDD, Item 11 and Item 23 discuss pre-opening purchases and leases. Specifically, Item 11 outlines that Pump It Up will review design and construction plans before construction begins. Additionally, Pump It Up will provide a list of approved vendors (PIU Vendors) from which the franchisee must purchase start-up items like furniture, fixtures, equipment, inventory, supplies, marketing materials, and signage. Item 23 states that franchisees must purchase or lease all required fixtures, furniture, equipment, and interior and exterior signs from PIU Vendors and install them. Franchisees must also purchase an opening inventory of authorized and approved products, materials, and supplies from PIU Vendors.
Pump It Up requires franchisees to adhere to specific standards when building the franchised business. If a franchisee deviates from these specifications without prior written consent, Pump It Up can delay the opening until the franchisee brings the business into full compliance, at the franchisee's expense. Prior to opening, Pump It Up will provide a list of start-up items that must be purchased from approved vendors, which make up the "Start Up Package." This package includes furniture, fixtures, equipment, inventory, marketing materials, graphics packages, supplies, and certain intangible services like consultation and training related to the opening.
The franchisee is responsible for paying any applicable state sales tax on the products included in the Start Up Package, as well as all shipping costs, which may vary based on location. A Start Up Package must be purchased for each Pump It Up Business opened. Pump It Up may change any item or the quantity of any item in the Start Up Package from time to time. The invoiced amount of the Start Up Package, along with any applicable taxes, must be paid to Pump It Up or the PIU Vendors no later than 15 days after signing the lease and before attending the initial training program. Franchisees may also be required to purchase additional items and/or furniture that are not part of the standard Start Up Package.