Crunch

Franchise agreement

You must establish and maintain, at your own expense, a bookkeeping, accounting and record keeping system in accordance with requirements we prescribe.

Item 11

We will have independent access to the information in the software program at all times, including your financial reports.

Item 8

Currently, we are the only approved Supplier for the fitness equipment, tanning beds, hydro mas- sage beds, lockers and flooring.

Item 11

We may, at any time, change, delete, add to, or modify the Operations Manual and will notify you in advance of any changes to our System Standards or approved suppliers or service providers.

Item 8

For the fiscal year ending December 31, 2025, revenues from franchisee required purchases or leases were $22,066,990 (including related parties), or 19.64% of our total revenue of $112,377,668.

Item 8

We estimate that the proportion of your required purchases and leases to all purchases and leases by you of products and services in establishing and operating your Franchised Business is approximately 30% to 45%.

Item 8

To secure approval of purchases from alternative Suppliers, we have the right to charge you our standard fee for evaluating your proposed Supplier, or our actual cost for an evaluation if it exceeds our standard fee.

Item 8

If you want to purchase Approved Products or Services from any supplier that we have not previ- ously designated or approved for those products or services, you must first obtain our written approval.

Item 17

transfer your telephone numbers to us if so requested

Franchise agreement

Without limiting the foregoing, you must comply with the Payment Card Industry Data Security Standard (commonly known as “PCI Compliance” or “PCI-DSS”), and any successor thereto.

Franchise agreement

We or our authorized agents and representatives have the right during business hours, but without prior notice to you, to inspect all aspects of the operation of your Franchised Business

Franchise agreement

The Operations Manual may be modified from time to time by us in our sole discretion, and you agree that from time to time we may reasonably change the System.

Item 11

Your business site and its layout are subject to our approval.

Item 11

You cannot have your own Website or register any domain name or URL address.

Franchise agreement

You must conduct grand opening marketing and promotions in your Territory in accordance with our grand opening plan, and you cannot deviate from that plan without our prior written approval, which expenditures shall be in an amount not less than $15,000;

Franchise agreement

We require that you spend a minimum amount on local marketing each month.

Item 8

If we so designate or approve a Supplier for your club format, you must purchase the categories of Approved Products or Services only from Suppliers so designated or approved by us or from us or one of our affiliates.

Franchise agreement

If we so designate or approve a Supplier, you must purchase the categories of products or services only from Suppliers we so designate or approve or from us or one of our Affiliates.

Item 6

Your monthly Royalties and Brand Marketing Fund Contribution, and your local marketing amount if we have to place marketing for you, will be drafted directly from an account you designate.

Item 8

You must comply with all of our mandatory standards, methods, policies, products, procedures, techniques, standards and specifications for your club format that we prescribe in the Operations Manual, Standards or other written or electronic communications, including the wearing of uniforms while perform- ing…

Franchise agreement

You must acquire and use in the Franchised Business the required technology system, including without limitation, any computer monitors, hardware software, and other equipment and network connections that we specify periodically and that is compatible to operate the member management system, point-of-sale system…

Item 11

We will have independent access to the information in the software program at all times, including your financial reports.

Item 11

We reserve the right to require you (if an individual) or one of your Owners (if an entity) and your manager to take refresher courses or additional training.

Item 11

Your attendance (if an individual) or one of your Owners (if an entity) must attend and you may also bring your manager to the meeting.