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F78/100FDD 2026

Fit Body Boot Camp — Litigation & Risk

Health & Fitness · FDD Items 3, 4 & 5

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Moderate — Review

4 cases disclosed in FDD Items 3 and 4.

Source: FDD Items 3–5

FDD Items 3 & 4

Litigation Metrics

Cases disclosed
4
Total from FDD Items 3 and 4
Bankruptcy (Item 4)
—
Franchisor or officer bankruptcy
Overall risk score
78 / 100
FranchiseVerdict composite
Rating
AVOID
STRONG / MODERATE / CAUTION / AVOID

7(a) FOIA data · FY2020–present

SBA Loan Performance

Aggregated from public SBA 7(a) loan disclosures. Default rate is the share of loans that were charged off or settled for less than the full balance.

Total 7(a) loans
89
Government-backed loans issued
Default rate
24.0%
vs <3% typical · system-wide
5-yr default rate
16.7%
Defaults
6 loans
Loans charged off or defaulted
Total loan volume
$14.6M
Avg loan size
$164K
Participating lenders
30

FDD Items 5, 6 & 17 — what you give up

Contract Risk Indicators

Mandatory arbitration
Required
Disputes resolved outside court — limits your legal options
Jury trial waiver
Waived
You give up the right to a jury trial
Non-compete
2 yrs
Post-termination restriction on similar businesses
Franchisor can compete
Yes
Franchisor can open competing locations in or near your territory
Right of first refusal
Yes
Franchisor can match any purchase offer when you try to sell
Governing law
California
State whose law governs disputes — relevant if you're not based there

What drove the 78/100 rating

Risk Score Breakdown

  1. 01MINORUnit count declining 11.5% YoY (192 units) indicates system contraction and potential franchisee struggles
  2. 02MEDNo Item 19 financial disclosure (Avg Revenue and Net Income not disclosed) prevents validation of investment returns
  3. 03MINOR2016 regulatory consent order for unregistered franchise sale shows compliance history issues
  4. 04MINORThree active 2025 lawsuits by franchisor against former franchisees suggest operational/enforcement conflicts and potential system instability
  5. 05HIGHGoing Concern status is FALSE, indicating potential financial viability concerns at corporate level
  6. 06MINORHigh initial investment ($195,850–$391,800) paired with declining unit count creates elevated risk of poor ROI
  7. 07MEDSignificant royalty escalation (fixed $997/month years 1-12, then 5% of gross revenue) with no revenue benchmarks disclosed to evaluate burden

Severity inferred from FDD text — not a regulatory or legal classification

Litigation data from FDD Items 3, 4, and 5. SBA data from public 7(a) FOIA records (FY2020–present). Not legal advice — consult a franchise attorney before signing any franchise agreement.