Bottom line
- Total investment $265K – $456K including a $65K franchise fee, 8.0% ongoing royalty.
- Average unit revenue of $470K/year (median $460K).
- Rated MODERATE with a risk score of 61/100. SBA loan default rate of 0.0% across 84 loans (below the industry average).
- System growing at 335.7% CAGR over 3 years with 62 total units — strong expansion trajectory.
Item 1 · who you're contracting with
The Franchisor
Yale framework · single-unit ROIC
Returns Analysis
Pulls Item 7 (investment) and Item 19 (revenue) from this brand's FDD into the Yale unlevered-ROIC formula. Override any input to stress-test it against your own assumptions.
The model · Yale framework
What would one BODY20 unit return on the cash you put in?
Unlevered ROIC · per unit
33%
In Yale's "attractive" band (30–60%)
Levered LBO scenario · Yale Crease Capital framing
What would 25 BODY20 units return on equity?
Equity IRR · 5-yr
49.9%
7.57× MOIC
Year-1 DSCR
1.88×
EBITDA ÷ debt service
Equity required
$2.0M
on $9.9M purchase
Total debt
$7.9M
SBA $4.9M + senior + seller note
Overview
About
BODY20 franchisees operate Electro-Muscular Stimulation (EMS) fitness studios offering 20-minute workout sessions using specialized electrical stimulation technology. Day-to-day operations include managing class scheduling, training staff on equipment and client instruction, client onboarding and retention, and managing membership billing and studio overhead in a high-touch fitness service environment.
Item 7 · what it costs
The Vitals
Item 19
Financial Performance
Item 20 · unit dynamics
The Growth Chart
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 27 states with active franchisees
The Territory Map
Derived from franchisee contact records. Shows states with at least one current operator — not where the franchisor is registered to sell new units (that data is re-extracting in a future refresh).
States derived from franchisee phone area codes (Item 20). Approximate — ported numbers may show the original state, not the franchisee's current location.
Government records
SBA Loan Data
Aggregated from SBA 7(a) loan disclosures, public data unique to FranchiseVerdict.
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
BODY20 operates under a parent company embroiled in securities fraud litigation, lacks disclosed profitability data despite high investment requirements, and shows rapid but potentially unsustainable growth in a competitive boutique fitness market.
Score breakdown · what drove the 61 / 100 rating
- 01HIGHParent company (Xponential Fitness) under active securities litigation for fraud and pre-sale disclosure violations involving named executives Lindsay Junk and Anthony Geisler
- 02MEDNo average net income disclosed despite $469,629 average revenue — inability or unwillingness to show profitability is a major warning sign
- 03MEDHigh initial investment ($265K-$456K) paired with 8% royalties on gross sales creates significant break-even pressure with no disclosed path to profitability
- 04MINORRapid unit growth (35.6% YoY) in a boutique fitness category known for saturation and churn — growth rate may be unsustainable or mask underlying unit quality issues
- 05HIGHLitigation directly involves corporate officers responsible for franchise disclosures and marketing claims
- 06MINORFranchise Disclosure Document (Item 19) financial performance data not provided to analyst — prospective franchisees must obtain full FDD to verify actual unit economics
Severity inferred from the FDD text · not a regulatory classification
FDD Items 5, 6, 12, 17 · continued from Risk & Legal
Contract & Territory Detail
Item 11
Training & Operations
Item 20
Franchisee Contacts
Phone numbers extracted directly from this brand's FDD Item 20. After purchase, you'll also receive a list of validation questions tailored to this brand.
Franchisee contacts
94 numbers
One-time purchase · CSV download · Validation questions included
FDD download
BODY20 · FDD (2025) PDF