What agreements, besides the Renewal Franchise Agreement, must a Stretch Zone franchisee sign when renewing their franchise?
Stretch_Zone Franchise · 2025 FDDAnswer from 2025 FDD Document
| THIS ASSIGNMENT AGREEMENT is signed on between Stretch Zone Franchising, LLC, a Florida limited liability company ("we," "us" or "our") and ("you" or "your"). |
|---|
| BACKGROUND |
- (b) Transfer to Your Business Entity. You may assign this Agreement to a Business Entity in which you own a majority of the issued and outstanding equity interests if:
- (i) You or a Regional Manager actively manages the Business Entity and continues to devote his or her best efforts and full and exclusive time to the day-to-day operation of your Franchise Business. You must advise us of the name of the Regional Manager, and the Regional Manager must meet our standards, including training.
- (ii) The Business Entity cannot use the trade name "Stretch Zone" in any derivative or form in the name of the Business Entity.
- (iii) The Board of Directors (Management Committee) and Shareholders (Members) of the Business Entity approve the assumption of this Agreement, authorize an officer or manager to sign a joinder agreement or assumption of this Agreement and appoint a Designated Representative.
- (iv) An authorized officer (manager) of the Business Entity signs a document in a form we approve, agreeing to become a party bound by all the provisions of this Agreement;
THIS AGREEMENT is signed on among Stretch Zone Franchising LLC (the "Franchisor");, a limited liability company (the ("Landlord") and , LLC, a limited liability company (the "Tenant/Franchisee"). BACKGROUND A. The Tenant/Franchisee is a franchisee of the Franchisor under a Stretch Zone Franchise Agreement between the Franchisor and the Tenant/Franchisee dated (the "Franchise Agreement") for the operation of a Stretch Zone (the "Franchise Business"). B. The Landlord and the Tenant/Franchisee are parties to a Lease Agreement dated (the "Lease") for the premises located at (the "Premises") that has been approved by the Franchisor on condition that all the parties sign this Agreement. C. In order to assure that a Franchise Business continues to operate at the Premises, the Landlord grants certain rights to the Franchisor under the Lease to protect the Franchisor's interest under the Franchise Agreement. The parties agree as follows: TERMS
Source: Item 8 — Receipts. Any sale made must be in compliance with § 683(8) of the Franchise Sale Act (N.Y. Gen. Bus. L. § 680 et seq.), which describes the time period a Franchise Disclosure Document (offering prospectus) must be provided to a prospective franchisee before a sale may be made. New York law requires a franchisor to provide the Franchise Disclosure Document at the earliest of the first personal meeting or ten (10) business days before the execution of the franchise or other agreement or the payment of any consideration that relates to the franchise relationship. (FDD pages 99–263)
What This Means (2025 FDD)
Based on the 2025 Stretch Zone Franchise Disclosure Document excerpts, it's not explicitly stated which specific agreements, beyond the Renewal Franchise Agreement, a franchisee must sign when renewing their franchise. However, there are several agreements that a franchisee may need to sign during the course of their relationship with Stretch Zone.
One such agreement is related to transferring the franchise to a business entity. If a franchisee chooses to assign the agreement to a business entity in which they own a majority stake, an authorized officer of the business entity must sign a document, in a form approved by Stretch Zone, agreeing to be bound by all provisions of the Franchise Agreement. Additionally, the Board of Directors (or Management Committee) and Shareholders (or Members) of the Business Entity must approve the assumption of the agreement and authorize an officer or manager to sign a joinder agreement or assumption of the agreement.
Another agreement mentioned is an Assignment Agreement, which is signed between Stretch Zone Franchising, LLC and the franchisee. There is also reference to a Lease Agreement between the Landlord and the Tenant/Franchisee, where the Franchisor is also a signing party. To fully understand the agreements required at the time of renewal, a prospective franchisee should directly ask the franchisor for a comprehensive list and descriptions of all documents that need to be signed during the renewal process.