What is the dependency for a Stretch Zone franchisee to form a business entity?
Stretch_Zone Franchise · 2025 FDDAnswer from 2025 FDD Document
te cost for any given franchisee. We base this estimate on the rates in effect in Florida. The cost of workers' compensation insurance varies from state to state.
- 13 Licenses and Permits. Local, municipal, county and state regulations vary on what licenses and permits you must obtain to operate the Franchise Business. In Florida, you must obtain city and county occupational licenses and a city retail license.
- 14 Attorney's Fees. You may decide to form a Business Entity to operate the Franchise Business before beginning operations. You will have to comply with the fictitious, assumed, or trade name statutes of the state in which the Franchise Business will be located. These estimates include attorneys' fees, publication fees, filing fees and other costs for business entity formation, compliance with your state's fictitious or assumed name statute and review of this Franchise Disclosure Document, and lease review and negotiation, depending on the scope of representation. These fees may vary from state to state depending on each state's laws and the prevailing rates of attorneys' fees.
- 15 Accountant's Fees.
Source: Item 6 — ITEM -6 OTHER FEES (FDD pages 16–33)
What This Means (2025 FDD)
According to Stretch Zone's 2025 Franchise Disclosure Document, whether a franchisee decides to form a business entity to operate their franchise is optional. However, if the franchisee chooses to form a business entity, they must comply with the fictitious, assumed, or trade name statutes of the state in which the Stretch Zone franchise will be located.
The FDD also states that Stretch Zone will provide its Franchisee Training Program to the franchisee if they are individuals, or to Franchise Owners if they are a business entity, prior to opening.
Furthermore, the document recommends that franchisees retain an accountant for tax advice on business entity formation. The estimated initial investment also includes attorney's fees for business entity formation and compliance with state statutes, which may vary from state to state.