F45 Training Franchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
Analysis by FranchiseVerdict Research · Methodology
FranchiseVerdict summary · 2026
A F45 Training franchise requires a total initial investment of $362K – $858K, including a $60K franchise fee and an ongoing 7.0% royalty[2]. Per the 2026 FDD, average unit revenue was $481K[2]. SBA 7(a) loans show a 6.2% charge-off rate across 242 loans[1]. FranchiseVerdict grade: D (Below average), an editorial assessment, not investment advice. Run a live ROI scan →
Data last verified · figures per the 2026 FDD issuance
Overview
- Investment
- $362K – $858K
- 28th pct Recreation & …
- Avg gross sales
- $481K
- 7th pct Recreation & …
- Royalty
- 7.0%
- 24th pct Recreation & …
- Units
- 708
- 54th pct Recreation & …
- SBA charge-off
- 6.2%
- % of SBA 7(a) loans not repaid · median varies by category
Quick verdict · Recreation & Entertainment · color = vs category peers
Green = favorable by >10% vs Recreation & Entertainment avg · No shading = within ±10% · Red = unfavorable by >10% · Source: FDD filings + SBA 7(a)
Data from public FDD filings and SBA records. Not financial advice. Methodology
Bottom line
- COSTTotal investment $362K – $858K including a $60K franchise fee, 7.0% ongoing royalty.
- RETURNSAverage unit revenue of $481K/year (median $429K).
- RISKVerdict D (Below average), verdict score 33/100 (higher is better). SBA loan charge-off rate of 6.2% across 242 loans (near or below the 16% franchise average, based on all SBA 7(a) franchise lending, 2010–2025).
- FLAGAuditor disclosed a going-concern note, which flagged doubt about the franchisor's ability to continue operations. Verify against the latest FDD.
Item 1 · who you're contracting with
The Franchisor
Corporate structure & franchisor financials
- Legal entity
- F45 Training Incorporated
- Parent company
- F45 Training Holdings Inc. dba FIT House of Brands
- CEO title
- Chief Executive Officer
- Thomas Dowd
- Incorporated in
- Delaware
- HQ
- 3601 South Congress Avenue, Building E, Austin, Texas 78704
- Auditor
- Grant Thornton LLP
- Audited financials
- Franchisor revenue
- $41.9M
- vs $34.8M prior year
- ⚠ Going-concern note
- Disclosed in FDD 2026
- Auditor flagged doubt about continued operations. Verify against the latest FDD before deciding.
Overview
About
Franchisor of F45 Training exercise studios offering group functional high-intensity interval training (HIIT) fitness classes under the F45 mark.
- CEO
- Thomas Dowd
- Headquarters
- Texas
- Founded
- 2015
- FDD year
- 2026
Can you afford it, and what does the money buy?
Entry cost runs 54% below the typical recreation & entertainment franchise.
Source: FDD 2026 · Items 5–7
FDD Item 7 · 2026 filing
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $60K | $60K |
| Working capital (3–6 mo) | $60K | $100K |
| Equipment, build-out, other | $242K | $698K |
| Total initial investment | $362K | $858K |
Source: F45 Training 2026 FDD, Items 5 and 7[2]. “Equipment, build-out, other” is computed as total minus disclosed line items above.
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $362K – $858K
- Top 40% of category vs category
- Liquid capital req'd
- $60K – $100K
- Top 40% of category vs category
- Franchise fee
- $60K – $60K
- Middle of category vs category
- Royalty
- 7.0%
- formula · typical 6–8%
- Ad fund
- 2.0%
- typical 3–5%
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 7.0% of gross sales |
| Marketing / ad fund | 2.0% of gross sales |
| Technology fee | $500 |
| Training fee | $2K |
| Renewal fee | $5K |
What do units actually make?
Average unit sales run 52% below the recreation & entertainment norm.
Source: FDD 2026 · Item 19
Single-unit · not modelled
Returns at a glance
An FDD discloses gross sales, not profit, and the operating costs that turn one into the other are in no filing. We publish no modelled return for F45 Training until someone supplies them — yours, in the models below.
—
Not modelled yet
An FDD discloses gross sales, not profit. We hold no sourced figure for COGS, labour, rent / occupancy and other operating costs, and will not substitute an assumed one. Enter your own and the model runs on your assumptions.
Total invested capital · disclosed
$690K
Item 7 initial investment plus working capital, as filed — the one figure here that needs no assumption.
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
What one unit earns on your invested capital
Model A · Single-Unit Return
Computes unlevered return on invested capital (ROIC) for a single franchise unit, read against the 30–60% reference band · Yale SOM, Post-MBA Path Exhibit 2 (2023). Below that band a passive index fund likely outperforms; above it the franchisor has pricing power you're subsidizing.
Note: Item 19 revenue is what the franchisor discloses, and it is the top line only — gross sales are not profit. No FDD discloses the operating costs that turn one into the other, so those fields start empty and nothing is modelled until you supply them from your own lease quote, labor market and build-out budget.
Returns model · single-unit ROIC
What would one F45 Training unit return on the cash you put in?
Illustrative category typicals — not sourced to any filing, survey or sample. Replace them with figures from franchisee validation calls before you rely on the output.
Unlevered ROIC · per unit
Your modelled return on total invested capital, before any debt financing.
—
An FDD discloses gross sales, not profit. We hold no sourced figure for COGS, labour, rent / occupancy and other operating costs, and will not substitute an assumed one. Enter your own and the model runs on your assumptions.
What 25 units return when you use SBA financing
Model B · Return on Equity: Debt-Financed Acquisition
Models a 25-unit portfolio acquisition financed with an SBA 7(a) loan. Shows equity IRR (your return on cash invested), DSCR (how safely the cash flow covers debt service), and the capital stack (SBA + seller + equity breakdown).
This is the “search fund” or “entrepreneurship through acquisition” scenario: you buy an existing multi-unit operator, use leverage to amplify returns, and either operate or hire management. The 25-unit size is the typical minimum for an SBA-backed franchise portfolio acquisition to pencil as a full-time income.
What “return on equity” means here: if you put in $500K of your own cash and the business generates enough EBITDA to pay down debt and grow, your equity IRR is the annual return on that $500K, including the value created when you eventually sell. Target IRR for a search fund is typically 25–35%.
Not modelled yet
An FDD discloses gross sales, not profit. We hold no sourced figure for COGS, labour, rent / occupancy and other operating costs, and will not substitute an assumed one. Enter your own and the model runs on your assumptions.
A 25-unit return is built on a per-unit EBITDA. Fill in the operating costs in Model A above and this model runs on that figure, or take the whole scenario to the full ROI workbench, where the portfolio and LBO models accept your own per-unit economics directly.
These models are for research and scenario planning only. Not investment advice. Actual results depend on your specific location, management, and market conditions. Consult a franchise attorney and accountant before signing any franchise agreement.
Item 19 · Source: 2026 FDD
Financial Performance
- Avg gross sales
- $481K
- Per unit, per year
- Median gross sales
- $429K
Gross sales are revenue before expenses — not profit. Actual owner earnings depend on rent, labor, royalties, marketing fees, and debt service.
- Item 19 type
- historical gross sales (average, median, quartile-by-tercile)
- Sample size
- 676 outlets
- vs category median 5 · large
- Range (low → high)
- $114K→$1.9M
- Cohort dispersion (min → max)
- Quartile band
- $282K→$724K
- Bottom 25% → top 25%
- Reporting year
- 2025
- Fiscal year the figures cover
- Source filing
- FDD 2026
- Disclosed in the 2026 filing, covering 2025
Compared against 166 Recreation & Entertainment brands
Revenue is only 0.8x the investment. This means each unit may take 5+ years to recoup the initial outlay at typical margins.
Operator outlook
What the numbers say
Data-driven interpretation of this brand's financial disclosures, fee structure, and system trajectory.
Unit economics
Average unit generates $481K/year in gross sales. Revenue-to-investment ratio: 0.8x.
Fee burden
7.0% royalty + 2.0% ad fund.
Operator retention
System contracting at -10.4% CAGR over 3 years. Investigate whether closures are franchisor-driven consolidation or franchisee exits.
Source: FDD Item 19 financial performance representations and publicly filed FDD data. Past performance is not indicative of future results. Verify all figures with the franchisor and current franchisees before making any investment decision.
vs Recreation & Entertainment averages
How F45 Training Compares
Is the system healthy?
Source: FDD 2026 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 708
- Opened
- N/A
- Last reporting year
- Closed
- N/A
- Turnover rate
- 9.8%
- Company-owned
- 2
- Corporate units in the system
- % franchised
- 100%
- vs corporate-owned
- Net growth (3-yr)
- -10.4%
- Net unit change over 3 years
- 3-yr CAGR
- -10.4%
- Compounded over last 3 years
3-year detail · Item 20
- Opened (3yr)
- 26
- Closed (3yr)
- 2
- Terminated (3yr)
- 54
- Non-renewed (3yr)
- 13
- Transfers (3yr)
- 68
- Reacquired (3yr)
- 0
- Franchisor bought back
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
A system losing more than 10% of its units year-over-year is a red flag. Check whether closures are concentrated in specific regions.
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA 7(a) and 504 loan disclosures, public data unique to FranchiseVerdict.
- Total loans
- 242
- Loan volume
- $66.6M
- Median loan
- $251K
- 50th percentile
- Charge-off rate
- 6.2%
- rates vary by category · see methodology
Historical SBA 7(a) lending data, not predictive of future performance. How SBA charge-off rates are calculated
- Repayment rate (PIF)
- 93.8%
- 5-yr charge-off
- 5.5%
- Loans approved 2021+
- Active lenders
- 90
- Defaults
- 15
- Typical loan rate
- 7.7%
- avg rate to borrowers
- vs industry
- N/A
- NAICS 7139
- Jobs supported
- 1,959
- 2.9 per loan
- Lender concentration
- 17%
- top lender's share
Borrower mix: 0% went to startups / new businesses, 100% to established operators
Vintage analysis
F45 Training charge-off rate by loan vintage
Top lenders financing F45 Training franchisees
Showing 3 of 90 lenders. The full breakdown — every lender, state distribution, interest rates & risk ratings — is in the SBA Lending Report below.
Explore lender portfolios on Bank Reports or regional data on State Reports.
What could kill this investment?
The auditor flagged going-concern doubt (Item 21) — the single biggest risk here.
Source: SBA 7(a) FOIA · FDD Items 3, 21
Risk analysis
FranchiseVerdict rating + FDD Items 3, 4, 8, 16, 21
Risk & Legal
Litigation (Item 3)
Multiple franchisee-initiated suits alleging breach of contract, FDD non-disclosure, and franchise law violations (several settled with payments to franchisees, e.g. $610,000, $200,000, $1.5M in monthly payments); a securities class action against parent F45 Training Holdings related to 2021 IPO settled for $10.5M (covered by insurance); consent orders/settlements with Washington, California, and Michigan regulators for FDD disclosure and FPR violations with penalties/rescission offers; one franchisor-initiated suit against a franchisee for operating a competing business, settled.
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Grant Thornton LLP⚠ Going-concern note flagged
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Supplier relationship · Items 8 & 16
- Franchisor sells you products: Yes
- Kickbacks from required suppliers: Yes
- Must buy proprietary products: Yes
- Restricted to system-approved products: Yes
- Can negotiate own supplier terms: No
What are you signing up for?
Ongoing fees run about 9.0% of sales (royalty + ad fund), before rent and labor.
Source: FDD 2026 · Items 11, 12, 17
FDD Items 12, 15, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 10 years |
|---|---|
| Renewal term | 10 years |
| Allowed renewalsℹ | 2 |
| Territory type | protected |
| Protected territory | Yes |
| Exclusive territoryℹ | No |
| Territory population | 15,000 |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Required |
| Non-compete (years)ℹ | 2 years |
| Non-compete (miles)ℹ | 5 mi |
| Right of first refusalℹ | Yes |
| RoFR response window | 30 days |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Mandatory arbitration | No |
| Jury trial waiver | Yes |
| Governing law | Texas |
| Litigation count | 13 |
View Item 3 litigation summary
Multiple franchisee-initiated suits alleging breach of contract, FDD non-disclosure, and franchise law violations (several settled with payments to franchisees, e.g. $610,000, $200,000, $1.5M in monthly payments); a securities class action against parent F45 Training Holdings related to 2021 IPO settled for $10.5M (covered by insurance); consent orders/settlements with Washington, California, and Michigan regulators for FDD disclosure and FPR violations with penalties/rescission offers; one franchisor-initiated suit against a franchisee for operating a competing business, settled.
Items 10, 11
Training & Operations
- Classroom training
- 110 hrs
- On-the-job training
- 10 hrs
- Training location
- Austin, Texas (Induction Seminar and Head Trainer Induction); Online (Operations Manual review, Set-up/Operations, Trainer Training via F45 Academy App)
- Ongoing training
- Optional
- Time to open
- 12 mo
- From signing to launch
- Site selection
- Franchisor reviews/accepts franchisee-identified site against site selection guidelines
- Franchisor financing
- Not offered
- Item 10
- POS system
- MindBody
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: MindBody
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a F45 Training franchise?
The total investment to open a F45 Training franchise ranges from $362K – $858K, with an initial franchise fee of $60K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do F45 Training franchise owners earn?
According to Item 19 of the F45 Training FDD, the average gross sales per unit is $481K. The median is $429K. Note: this is gross revenue, not profit. Actual owner earnings vary based on location, operating costs, and management.
What is Item 19 in the F45 Training FDD?
The FDD section where a franchisor may disclose financial performance of its outlets. Disclosure is optional and formats vary; figures are typically gross sales, which is revenue before expenses, not profit. FranchiseVerdict extracts these figures directly from the F45 Training FDD and qualifies whose outlets they describe.
What is F45 Training's franchise failure rate?
Based on SBA 7(a) loan data, F45 Training has a charge-off rate of 6.2% across 242 loans, meaning 6.2% of franchise loans were charged off. Charge-off rates are one proxy for franchise risk, though they do not capture all closures. This data comes from FOIA-sourced SBA lending records.
How many F45 Training franchise locations are there?
As of their most recent FDD filing, F45 Training has 708 total units in the United States, including 706 franchised units and 2 company-owned units.
Is F45 Training a good franchise to buy?
FranchiseVerdict rates F45 Training as a D-grade franchise with a verdict score of 33 out of 100 (higher is better), based on our analysis of investment costs, revenue data, SBA loan performance, and growth trends. Our rating is based solely on publicly available FDD and government data; we recommend speaking with current franchisees before making any investment decision. This is not investment advice.
Data sourced from public FDD filings and SBA 7(a) FOIA records. Not financial advice.
For franchisors
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Data extracted from public FDD filings and SBA 7(a) loan disclosures (FOIA). This information is provided for research purposes only and does not constitute financial, legal, or investment advice. Verify all figures with the franchisor's current Franchise Disclosure Document before making any investment decision.