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Jazzercise Franchise Cost & Fees

Date of Incorporation: 1979
Franchising Since: 1982
Headquarters: Carlsbad, California

Business Description: The Jazzercise dance fitness program's aim is to promote total fitness through dance. Instructors lead classes through dance routines that are choreographed to popular tunes. Instructors learn these dance routines via routine packets that contain choreographed routines which are currently on DVD. In addition, Jazzercise operates a division called “Jazzercise Apparel” which distributes products such as clothing, accessories, DVDs, equipment and visual recordings bearing the “Jazzercise” name.

Franchise Offer: The franchisee will act as an Instructor of the Jazzercise dance fitness program. Some instructors are class owners and sign a Franchise Agreement specific to class owners. Other instructors are associate instructors who only teach classes for other franchisees. Some instructors are licensed to conduct a dance fitness program consisting solely of less strenuous formats. Some instructors are licensed to conduct a dance fitness program limited to children's programs.

Financial Assistance: Jazzercise does not offer direct or indirect financing. Jazzercise does not guarantee a franchisee’s note, lease or obligation.

Training and Assistance: A Training Specialist will e-mail franchisees training materials before the initial training begins. Franchisees must review the materials and practice the routines before the initial training. If franchisees are a business franchisee they will not be sent a pre-training packet and no audition will be required; they must only attend the training. The 1-day training for all franchisees is conducted at selected locations throughout the country. The franchisor will hold district meetings that franchisees may, but are not required to, attend. The franchisor will offer continuous training and supervision in the routines and in the operation of the business including the preparation and revision of policies and procedures on the Franchise Zone to assist franchisees in all phases of the business.

Territory: Franchisees will not receive an exclusive territory. Franchisees may face competition from other franchisees or from other channels of distribution or competitive brands that the franchisor controls. Franchisees are granted a non-exclusive right to conduct the Jazzercise dance fitness program at designated facilities and on approved dates and times within a non-exclusive territory. Territories are a state or a portion of a state.

Term of Agreement and Renewal: The length of the franchise agreement is 5 years. If the franchisee meets certain conditions, franchisee can enter into a renewal Franchise Agreement for an additional term of 5 years.

Obligations and Restrictions: The franchisee is the only individual authorized to conduct the Jazzercise dance fitness program. Some instructors are only permitted to conduct a dance fitness program consisting solely of less strenuous routines, consisting solely of low impact routines or consisting solely of children's programs. An instructor must be actively teaching, as periodically described by Jazzercise in its Franchise Zone, in order to remain a franchisee. The minimum number of classes per month that an instructor must teach is currently 4 classes per month. Business franchisees do not act as instructors at all. Business franchisees are not permitted to teach classes at all and must make arrangements with other Jazzercise instructors to do so. If the franchisee wishes to do so, he/she may sell certain clothing, accessories, DVDs and other products which we make available under the Jazzercise trademarks. Franchisees may not sell these products via the Internet. Franchisees are not permitted to vary the Jazzercise program or to add products or services which Jazzercise does not authorize.

Estimated Number of Units: 8,880

Investment Tables:
Initial Investment for Franchisees who Do Not Lease Commercial Facilities
Name of Fee Low High
Initial Franchise Fee $1,250 $1,250
Travel and Living Expenses While Training $0 $1,000
Real Estate and Improvements N/A
Equipment $1,750 $8,000
Miscellaneous Opening Costs $500 $1,000
Opening Inventory $0 $1,000
Additional Funds - 3 months) $30 $650
ESTIMATED TOTAL $3,530 $12,900
Initial Investment for Franchisees who Lease Facilities
Name of Fee Low High
Initial Franchise Fee $1,250 $1,250
Travel and Living Expenses While Training $0 $1,500
Real Estate and Improvements $5,000 $50,000
Equipment $3,000 $10,000
Miscellaneous Opening Costs $500 $5,000
Opening Inventory $0 $1,000
Additional Funds - 3 months) $100 $7,000
ESTIMATED TOTAL $9,850 $75,750
Other Fees
Type of Fee Amount
Continuing Fee 20% of gross customer enrollment (10% for certain programs. Class owner franchise minimum currently $250 per month; business franchise minimum is $500 per month.
Associate Fee Currently, $100 per year.
Performance Royalties Varies, depending on organization and number of customers.
Returning Franchise Fee $250
Re-certification Fee $625
Relocation Fee $75.00
EFT Processing Fee Currently, per transaction – For credit card payments: $0.30 plus 2.05% of the amount charged; credit card chargeback: $15. For ACH payments: $0.25; failed ACH transaction: $1
Customer Reimbursement Fee Payment of Jazzercise's costs.
Indemnification Payment of Jazzercise's losses and costs.
Late Fee $50
Associate Late Fee $25
NSF Administrative Handling Fee $25
Attorney's Fees Reasonable attorney's fees and costs.
Advertising Contribution To be determined.
Insurance Payment $170 to $220.

The above information has been taken from the FDD of Jazzercise. Year of FDD: 2016

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