Already signed
David Lloyd 20%
Of net revenue, on every stream, for the whole Milton Keynes pilot. That share does not move.
FITCO
Milton Keynes · Padel court · HEAD · November 2026
The padel machine.
HEAD products only.
FITCO is offered the HEAD products on the Milton Keynes padel court machine. The share is 65% of the physical net on those sales. The other machines, and any later rollout, sit outside this proposal.
This offer
One machine
The padel court machine. HEAD products that FITCO buys and owns. No other machine is included.
The share
65% of the net
65% of the full physical net. David Lloyd 20% and Bright.Blue 15% come from the same net. The three shares add to 100%.
David Lloyd figures are the pilot agreement. FITCO figures are the proposal in this deck.01
Pilot agreement · Milton Keynes Club
What is already agreed
One club. Up to eight machines.
Three months from go-live.
Scope
- Venue. David Lloyd Milton Keynes, Livingstone Drive. Up to 8 devices, plus online retail.
- Indicative locations. Gym and padel (Europa Double), club-to-gym hallway (Blinx), pool (Callisto).
- Categories. Wellness and beauty, food and beverage, racket sports essentials, cosmetics and essentials.
- Who owns the machines. Bright.Blue. David Lloyd provides space, power, connectivity and access.
- Who operates today. Bright.Blue, as a managed service: product, stock, restock, payments and media.
Term
- Initial period. Three months from go-live. Target go-live is December 2026.
- Extension. One further period of up to three months, only if both sides agree in writing. Same commercials.
- If it works. A phase-two pilot at up to five further clubs. David Lloyd decides, club by club, on a new agreement each time.
- If it stops. Machines come out. David Lloyd is not obliged to roll out.
Pilot Agreement between Bright.Blue UK Limited and David Lloyd Leisure Limited. The FITCO proposal that follows is narrower than this pilot: the padel court machine and HEAD products only.02
Section 4 · fixed for the pilot
David Lloyd commercial terms
20% of net revenue.
£28,000 toward the build.
20%David Lloyd share of net revenue, on every stream, for the pilot and any extension.
£28,000Excl. VAT. David Lloyd’s contribution to customisation and mobilisation. Non-refundable.
£0No device activation fee. No ongoing platform fee during the pilot.
£2,400Per device, only if the KPIs are met and David Lloyd chooses not to continue.
| Stream | David Lloyd | Bright.Blue | Paid |
|---|---|---|---|
| Physical product | 20% of net | 80% of net | Monthly, within 30 days of the next month |
| Online product | 20% of net | 80% of net | Same reconciliation |
| Retail media and DOOH | 20% of net | 80% of net | Same reconciliation |
| Local ads | 20% of net | 80% of net | Same reconciliation |
These are the David Lloyd terms for the whole pilot. FITCO is paid by Bright.Blue, out of Bright.Blue’s share, and only on HEAD product FITCO owns on the padel machine. The £28,000 is invoiced 40% on signing, 40% on installation, 20% on acceptance. If KPIs are missed, there is no early termination fee. Removal logistics are capped at £1,000 per device. Net is defined on the following slides.03
Scope of this proposal
What FITCO is being offered
One machine. HEAD products.
This pilot only.
In this proposal
- Machine. The padel court machine at David Lloyd Milton Keynes.
- Product. HEAD products that FITCO buys and owns.
- Job. FITCO fills those products. Visit frequency is agreed in writing before go-live.
- Share. 65% of the physical net on those sales.
Outside this proposal
- Other machines. Gym, hallway, pool, and any other location in the club.
- Other product. Reformer socks, Yogi Bare, and any other FITCO stand range.
- Online. Stays with Bright.Blue.
- Later sites. No further club, and no rollout, is offered here.
Media. FITCO’s share of retail media, DOOH and local ads is zero. That includes a screen placement for HEAD or any other Pentland brand. There is no reserved slot and no preferential slot. A brand that wants the screen buys it from Bright.Blue on the same terms as any other brand. Media stays David Lloyd 20%, Bright.Blue 80%.
FITCO enters as Bright.Blue’s contractor for this machine. David Lloyd is not asked to pay FITCO, and this deck is not an offer of the wider estate.04
Physical net on HEAD sales
How the 65% is calculated
65% of the full net.
The three shares add to 100%.
The offer, on a £12 vend
Ex VAT£10.00
Illustrative payment fee, deducted by Bright.Blue£0.30
Physical net£9.70
David Lloyd, 20% of £9.70£1.94
Bright.Blue, 15% of £9.70£1.46
FITCO, 65% of £9.70£6.30
The other reading
£5.04 is not the offer.
65% of the £7.76 left after David Lloyd’s £1.94 would be £5.04. That is 52% of the net. The offer is £6.30, which is 65% of the £9.70 net.
The 65% applies to HEAD product FITCO owns and sells from the padel machine. It applies to nothing else in the club.
Pennies rounded. FITCO’s £6.30 is before its cost of goods. Paid by Bright.Blue, monthly, within 30 days of month end. The live payment fee is on the next slide.05
Definition of net
What the percentage is applied to
Net is after VAT
and after payment fees.
Bright.Blue calculates it
- 1. Gross. The member pays the shelf price on the machine.
- 2. VAT. Bright.Blue deducts VAT. FITCO is not paid from the gross.
- 3. Payment fees. Bright.Blue deducts interchange, scheme and acquiring fees, plus 2.5%. That is the deduction in the David Lloyd agreement.
- 4. Net. What remains is the physical net. The 20%, 15% and 65% are applied to that figure.
What this means in practice
- Who deducts. Bright.Blue. FITCO does not deduct the fees, and FITCO does not receive the gross.
- Who pays FITCO. Bright.Blue, from the net.
- The example. The £0.30 is an illustration, at 3% of ex VAT, so the arithmetic is visible. A live vend uses interchange plus 2.5%, so the net will differ.
- HEAD product. No delivery deduction and no agency commission on these sales. Those deductions in the agreement apply to online and to media.
Same net definition as the David Lloyd pilot agreement. Bright.Blue reconciles it monthly.06
Stock, price, data, fill
FITCO owns the stock. Bright.Blue owns the machine.
Risk follows ownership.
Stock risk
- FITCO carries the cost of HEAD stock it buys, expiry, unsold stock, and product it damages while filling.
- Bright.Blue carries the machine, vandalism, machine faults, and HEAD stock lost or damaged because the machine failed, mis-vended, or was broken into.
- Insurance of the machine stays with Bright.Blue.
Price, range, data
- Price. Bright.Blue sets the retail price with David Lloyd. FITCO proposes its cost and a recommended price.
- Range. The HEAD planogram for the padel machine, approved by Bright.Blue and David Lloyd. FITCO fills that planogram.
- Data. FITCO receives SKU-level unit sales and stock levels for those HEAD SKUs. No member data. No media rates. No data from the other machines.
Restocking
- Obligation. FITCO replenishes the HEAD products on the padel machine.
- Frequency. Agreed in writing before go-live. This proposal does not set a number of visits.
- Penalty. There is no out-of-stock penalty.
- The 95% figure in the pilot annex is a David Lloyd KPI for the pilot. It is not a FITCO target and it is not a FITCO penalty.
David Lloyd’s responsibility for the machine stays as written in the pilot agreement. This proposal does not add a stock liability for the club.07
Term and the ask
Milton Keynes padel machine
This pilot. This machine.
Nothing beyond it.
What we need back
1
Confirm FITCO will buy, own and fill the HEAD products on the padel court machine, at 65% of the physical net.
2
Confirm the visit cadence FITCO can offer. No out-of-stock penalty applies.
3
Confirm media, the other machines, reformer socks, Yogi Bare, and any later rollout sit outside this proposal.
Either side can stop on 30 days’ written notice. The arrangement ends when the pilot ends. An extension of the pilot does not extend this offer unless both sides agree that in writing.
Bright.Blue
Adam Smith
adam.smith@bright.blue
+44 7714 492134
A short operator agreement follows only if FITCO confirms this scope. It will not cover any other machine.
David Lloyd figures are the Milton Keynes Pilot Agreement. FITCO figures are the proposal in this deck, limited to the padel court machine and HEAD products.08