Under what conditions does Stretch Zone require capital improvements or modifications to modernize my franchise?
Stretch_Zone Franchise · 2025 FDDAnswer from 2025 FDD Document
You agree that you will make capital improvements or modifications necessary to modernize, redecorate and upgrade your Franchise Business. This may include an upgrade of your equipment to reflect the current image and Trade Dress of new Stretch Zone Franchises we reasonably request, taking into consideration the cost of the modernization, the life expectancy of the equipment and the then-remaining term of this Agreement. Generally, these requirements will not exceed those applicable to new Franchised Units and new Company-Owned Units. You must complete to our satisfaction any changes we require within a reasonable time, not to exceed 12 months from the date we notify you of any required changes (other than signage). You acknowledge and agree that
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)
According to the 2025 Stretch Zone FDD, franchisees are required to make capital improvements or modifications to modernize, redecorate, and upgrade their franchise business. These changes may include upgrading equipment to align with the current image and trade dress of new Stretch Zone franchises.
The decision to require these changes is made reasonably by Stretch Zone, considering the cost of modernization, the life expectancy of the equipment, and the remaining term of the franchise agreement. Generally, these requirements will not exceed those applicable to new franchised units and company-owned units, ensuring a level playing field.
Stretch Zone requires franchisees to complete any required changes to the satisfaction of the company within a reasonable timeframe, not exceeding 12 months from the date of notification. This excludes signage, which may have a different timeline. This ensures that all franchise locations maintain a consistent and up-to-date brand image, which is crucial for attracting and retaining customers. Franchisees need to be prepared for these potential costs and disruptions to their business as part of maintaining the franchise standards.