Pure Barre
Pure Barre offers barre and specialized exercise classes in fitness studios, known for its sculpting workouts combining ballet, Pilates, and strength training. Part of the fitness franchise sector.
About Pure Barre
Pure Barre franchise FAQ
How much does it cost to open one — the total initial investment?
The total estimated initial investment required to open and commence operating the first Pure Barre studio ranges from $445,299 to $736,465. This amount includes all items outlined in Table A of Item 7, but does not include costs for opening additional studios [p.34].
What is the initial franchise fee?
The initial franchise fee is $60,000 for establishing a single Studio, which is non-refundable [p.20, p.30]. This fee can be reduced to $50,000 for the second Studio and to $40,000 for three or more Studios if you qualify [p.30]. If you meet certain criteria, such as qualifying for the VetFran Program, the initial franchise fee is reduced to $45,000 [p.30].
What are the ongoing royalty and advertising fees?
The franchisee pays a royalty fee typically ranging from 7% to 8% of gross sales each month [p.164]. Additionally, the franchisee must spend at least $1,500 or 2% of gross sales each month on approved local advertising and marketing activities within their designated territory [p.44, p.119], though this amount can be increased by the franchisor up to a certain cap [p.44].
How long is the initial franchise agreement, and can I renew it?
The initial franchise agreement typically operates under a ten-year term with the option for one additional ten-year successor term starting in 2025 [p.163]. However, this renewal option does not represent a material right [p.163]. If you do not execute and return the Successor Franchise Agreement within thirty (30) days after delivery, it will be considered as your election not to acquire the successor franchise [p.102].
Can I sell or transfer my franchise, and what does that require?
According to [p.61], you can sell or transfer your franchise, but the franchisor must be given the right of first refusal unless they have a good cause not to exercise it. If the franchisor decides not to purchase the franchise, you may proceed with the sale under certain conditions outlined in Sections 14.1 and 14.2 [p.129].
On what grounds can the franchisor terminate the agreement?
The franchisor may terminate the franchise agreement if any of the specified reasons apply, as outlined on page [p.279]. These reasons include but are not limited to specific conditions or violations by the franchisee that meet the criteria set forth in the FDD.
What financial requirements — net worth and liquid capital — do I need to qualify?
Based on [p.171], as a prospective franchisee, you would need to have a minimum net worth that meets certain state franchise registration laws, which is demonstrated by the franchisor's contribution of $8,910 in property and equipment and $90,812 in intangible assets, totaling $99,722. Additionally, [p.6] indicates that if the franchisor’s financial statements show a net worth below $100,000, they may require escrow of initial investment funds until obligations are fulfilled, though this is at their discretion.
Do I get an exclusive or protected territory?
You do not receive an exclusive territory [p.54-55]. However, you will have certain protected rights within your Designated Territory around the Authorized Location [p.54], which generally covers at least 15,000 people [p.54]. This territory may be modified under specific circumstances [p.54].
What training and ongoing support does the franchisor provide?
The franchisor provides initial Designated Manager training through the Designated Manager Training Program without charging a Training Fee [p.106]. Additionally, the franchisor offers advice and consultation for establishing the Pre-Sales Phase and Opening Support Program, with components needing prior approval from the franchisor [p.110]. However, specific details about ongoing support beyond initial training are not detailed in these excerpts.
How many franchised outlets are there, and how many have closed or been terminated?
This isn't specified in the excerpts. The provided FDD excerpts do not contain specific numbers regarding the total number of franchised outlets or those that have closed or been terminated.
Does the franchisor share any financial performance or earnings information?
The franchisor may provide financial performance information if there is a reasonable basis for it [p.72], but they do not make any financial performance representations other than what is included in Item 19 of the disclosure document [p.80]. Additionally, the franchisor does not authorize its employees or representatives to make such representations either orally or in writing [p.80].
What am I restricted to selling, and where must I buy supplies?
You are restricted to offering for sale and selling only the Approved Products and Approved Services that the franchisor authorizes or requires. You must purchase equipment and supplies from the approved suppliers designated by the franchisor [p.3]. This includes items like resistance bands/straps, interval training equipment, weights, and other exercise equipment [p.61].