Fs8 Franchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
Analysis by FranchiseVerdict Research · Methodology
FS8 is a boutique fitness franchise offering low-impact group classes blending pilates, tone, and cardio. Franchisees run the studios, managing instructors, class scheduling, and membership growth.
FranchiseVerdict summary · 2026
A FS8 franchise requires a total initial investment of $349K – $841K, including a $60K franchise fee and an ongoing 7.0% royalty[2]. The 2026 FDD does not disclose unit-level revenue (no Item 19). FranchiseVerdict grade: C (Average), an editorial assessment, not investment advice. Run a live ROI scan →
Data last verified · figures per the 2026 FDD issuance
Overview
- Investment
- $349K – $841K
- 63rd pct Health & Fitn…
- Avg gross sales
- N/A
- Outlet subset
- Royalty
- 7.0%
- 30th pct Health & Fitn…
- Units
- 31
- 62nd pct Health & Fitn…
- SBA charge-off
- N/A
Quick verdict · Health & Fitness · color = vs category peers
Green = favorable by >10% vs Health & Fitness 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 $349K – $841K including a $60K franchise fee, 7.0% ongoing royalty.
- RETURNSFY2025 (year ended Dec 31, 2025) audited statements of operations. Total revenues $4,762,236 = Franchise revenue $943,413 + Equipment revenue $3,818,823. Company reports a stockholder's deficit; auditor noted going-concern evaluation. FY2023 statements audited by other (prior) auditors.
- RISKVerdict C (Average), verdict score 39/100 (higher is better).
- GROWTHSystem growing at 900.0% CAGR over 3 years with 31 total units. Strong expansion trajectory.
Item 1 · who you're contracting with
The Franchisor
Corporate structure & franchisor financials
- Legal entity
- FS8, Inc.
- Parent company
- FS8 Holdings Inc.
- Ultimate parent
- F45 Training Holdings Inc. dba FIT House of Brands
- CEO title
- Chief Executive Officer
- Thomas Dowd
- Incorporated in
- DE
- HQ
- 3601 South Congress Avenue, Building E, Austin, TX 78704
- Auditor
- Grant Thornton LLP
- Audited financials
- Franchisor revenue
- $4.8M
- vs $497K prior year
Independent franchisee associations
- Franchise Advisory Council (FAC)
Franchisee-led councils or alliances disclosed in Item 20. Indicates operator voice.
Affiliated brands
- Vaura
Other brands the franchisor or its parent operates (Item 1).
Overview
About
- CEO
- Thomas Dowd
- Headquarters
- TX
- Founded
- 2020
- FDD year
- 2026
- States available
- 8
Can you afford it, and what does the money buy?
Entry cost is about average for a health & fitness franchise.
Source: FDD 2026 · Items 5–7
Full Item 7 breakdown23 line items
Initial investment breakdown
| Line item | Low | High | |
|---|---|---|---|
| Establishment Fee | $60K | $60K | |
| Document Preparation Fee | $3K | $3K | |
| Equipment Pack | $110K | $110K | |
| Equipment Pack Shipping, Taxes and Duties | $11K | $27K | |
| Induction Seminar | $2K | $2K | |
| Head Trainer Induction | $600 | $600 | |
| Travel and Living Expenses during Training | $5K | $9K | |
| Real Property | $5K | $25K | |
| Architectural Floor Plan Design, Engineering, and Construction/Permit Documents | $10K | $20K | |
| Leasehold Improvements | $1K | $350K | |
| Utility Deposits | $1K | $2K | |
| Exterior and Interior Signage | $5K | $10K | |
| Furniture, Fixtures, Other Equipment | $4K | $10K | |
| Office Equipment and Supplies | $1K | $3K | |
| Computer System | $1K | $2K | |
| Business Licenses and Permits | $1K | $3K | |
| Professional Services | $1K | $5K | |
| Insurance | $1K | $4K | |
| Grand Opening | $25K | $25K | |
| Music Licenses | $2K | $2K | |
| Total initial investment | $349K | $841K |
Line items extracted from FDD Item 7. Ranges reflect the franchisor's stated low and high per line. Total is the sum of line-item lows / highs — actual costs may fall outside this range depending on market and build-out scope.
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $349K – $841K
- Middle of category vs category
- Liquid capital req'd
- $60K – $100K
- Bottom third — review vs category
- Franchise fee
- $60K – $60K
- Bottom third — review vs category
- Royalty
- 7.0%
- percentage · typical 6–8%
- Ad fund
- 2.0%
- typical 3–5%
- Total fee load
- 9.0%
- vs 9–13% typical
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 |
| Transfer fee | $15K |
| Renewal fee | $6K |
| Total fee load | 9.0% of rev |
What do units actually make?
Source: FDD 2026 · Item 19
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
FS8 did not disclose financial performance in FDD Item 19. The ROIC and return models require Item 19 revenue. Without it all inputs are estimates. You can still run the calculator with your own assumptions by entering an expected revenue figure.
Returns model · single-unit ROIC
What would one FS8 unit return on the cash you put in?
Unlevered ROIC · per unit
Estimated return on your total franchise investment, before any debt financing.
32%
Within the 30–60% "attractive franchise" band
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
FY2025 (year ended Dec 31, 2025) audited statements of operations. Total revenues $4,762,236 = Franchise revenue $943,413 + Equipment revenue $3,818,823. Company reports a stockholder's deficit; auditor noted going-concern evaluation. FY2023 statements audited by other (prior) auditors.
Reported for a subset of outlets rather than the whole system
- Median gross sales
- $389K
Gross sales are revenue before expenses — not profit. Actual owner earnings depend on rent, labor, royalties, marketing fees, and debt service.
No system-wide average is published for this brand. The median and range below are what Item 19 supports; we show an average only where it reconciles against them.
- Item 19 type
- gross sales
- Sample size
- 7 outlets
- vs category median 12
- Range (low → high)
- $292K→$1.2M
- Cohort dispersion (min → max)
- Quartile band
- $338K→$848K
- Bottom 25% → top 25%
- Reporting year
- 2026
- Fiscal year the figures cover
- Source filing
- FDD 2026
- The FDD edition these figures were read from
- Transparency
- 4 / 10
- vs category median 4 / 10 · typical
Compared against 173 Health & Fitness brands
Operator outlook
What the numbers say
Data-driven interpretation of this brand's financial disclosures, fee structure, and system trajectory.
Fee burden
Total ongoing fee load of 9.0% (near the Health & Fitness average).
Disclosure
Item 19 reports outlet revenue, but not in a form that yields a per-outlet average we can compare across brands.
Operator retention
System expanding at 900.0% CAGR over 3 years across 31 units — operators are staying and new ones are joining.
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 Health & Fitness averages
How Fs8 Compares
Is the system healthy?
Source: FDD 2026 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 31
- Opened
- 24
- Last reporting year
- Closed
- 0
- Terminated
- 0
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 0
- Term expired, not renewed (per Item 20)
- Turnover rate
- 0.0%
- Company-owned
- 1
- Corporate units in the system
- % franchised
- 97%
- vs corporate-owned
3-year detail · Item 20
- Opened (3yr)
- 24
- Closed (3yr)
- 0
- Terminated (3yr)
- 0
- Non-renewed (3yr)
- 0
- Transfers (3yr)
- 0
- Reacquired (3yr)
- 0
- Franchisor bought back
- Continuity rate
- 100.0%
- Units that stayed open
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 12 · 8 states reported
The Territory Map
FDD Item 12 reports the state count, but the specific list isn't in our current data. The map will appear once we re-extract from the FDD or enough franchisee contacts are available.
8
states with franchisees (per FDD Item 12)
Fast growth in a small system. Newer franchisors expanding quickly may not yet have the support infrastructure of larger systems.
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA loan disclosures. This brand has only 4 7(a) loans on file; statistical reliability is limited below 10 loans.
- Total loans
- 4
- Loan volume
- $2.5M
- Median loan
- $656K
- 50th percentile
- Charge-off rate
- N/A
- limited sample (4 loans) — rate not shown below 10
Historical SBA 7(a) lending data, not predictive of future performance. How SBA charge-off rates are calculated
- Repayment rate (PIF)
- N/A
- 5-yr charge-off
- N/A
- Loans approved 2021+
- Active lenders
- 2
- Defaults
- N/A
Explore lender portfolios on Bank Reports or regional data on State Reports.
What could kill this investment?
Source: SBA 7(a) FOIA · FDD Items 3, 21
Risk analysis
FranchiseVerdict rating + FDD Items 3, 4, 8, 16, 21
Risk & Legal
FS8 presents elevated risk due to explosive unproven growth, non-disclosure of net income, litigation history tied to disclosure failures, and unclear unit-level profitability relative to high capital requirements.
Litigation (Item 3)
1 lawsuit involving FS8 officer (as defendant in F45 affiliate suit, later dismissed); 2 Washington State Consent Orders against F45 affiliate; 1 Michigan AG Settlement against F45 affiliate; 1 California Consent Order against F45 affiliate. No direct FS8 litigation.
Largest disclosed settlement: $1,500,000
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Grant Thornton LLP
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
Score breakdown · what drove the 39 / 100 verdict
- 01MEDNet income not disclosed in Item 19 - unable to assess actual profitability, and no system-wide average revenue is published for this brand (the filing's own range and median do not reconcile to the average it states)
- 02MINORExplosive unit growth (500% YoY) suggests rapid expansion without proven unit economics or stability
- 03HIGHMultiple litigation matters and consent orders involving F45 affiliates indicate franchise disclosure/compliance issues
- 04MINOROfficer (Luke Armstrong) confidential settlement raises governance and transparency concerns
- 05MEDHigh initial investment ($349K-$840K) paired with undisclosed profitability creates misaligned risk/reward
- 06MINOR7% royalty on gross sales (not net) compounds pressure on thin fitness studio margins
Severity inferred from the FDD text · not a regulatory classification
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 |
| Online sales rightsℹ | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Optional |
| 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 |
| Termination groundsℹ | 1 |
| Curable defaultsℹ | 2 |
| Mandatory arbitration | No |
| Arbitration location | Austin, Texas (mediation) |
| Jury trial waiver | Yes |
| Governing law | TX |
| Litigation count | 5 |
View Item 3 litigation summary
1 lawsuit involving FS8 officer (as defendant in F45 affiliate suit, later dismissed); 2 Washington State Consent Orders against F45 affiliate; 1 Michigan AG Settlement against F45 affiliate; 1 California Consent Order against F45 affiliate. No direct FS8 litigation.
Items 10, 11
Training & Operations
- Classroom training
- 110 hrs
- On-the-job training
- 10 hrs
- Training location
- Austin, Texas (induction seminar); Online (operations manual, set-up, trainer training)
- Ongoing training
- Optional
- Time to open
- 12 mo
- From signing to launch
- Site selection
- Franchisee selects from within Designated Area subject to franchisor written approval
- 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 FS8 franchise?
The total investment to open a FS8 franchise ranges from $349K – $841K, 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 FS8 franchise owners earn?
FS8 does not disclose average franchise owner earnings in their FDD Item 19. Not all franchisors are required to make financial performance representations. We recommend asking existing franchisees directly about their financial experience.
What is Item 19 in the FS8 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 FS8 FDD and qualifies whose outlets they describe.
What is FS8's franchise failure rate?
SBA 7(a) loan charge-off data is not available for FS8 (fewer than 10 loans on file). Charge-off rates are one way to gauge franchise risk, but not all franchise loans go through the SBA program. We recommend reviewing turnover and closure data in the FDD and speaking with current franchisees.
How many FS8 franchise locations are there?
As of their most recent FDD filing, FS8 has 31 total units in the United States, including 30 franchised units and 1 company-owned units. 24 new units were opened in the latest reporting year.
Is FS8 a good franchise to buy?
FranchiseVerdict rates FS8 as a C-grade franchise with a verdict score of 39 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.