Fyzical Franchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
Analysis by FranchiseVerdict Research · Methodology
FranchiseVerdict summary · 2026
A Fyzical franchise requires a total initial investment of $168K – $419K, including a $49K franchise fee and an ongoing 6.0% royalty[2]. Per the 2025 FDD, average unit revenue was $604K[2]. SBA 7(a) loans show a 0.0% charge-off rate across 95 loans[1]. FranchiseVerdict grade: A (Strongest tier), an editorial assessment, not investment advice. Run a live ROI scan →
Data last verified · figures per the 2025 FDD issuance
Overview
- Investment
- $168K – $419K
- 33rd pct Healthcare
- Avg gross sales
- $604K
- Outlet subset12th pct Healthcare
- Royalty
- 6.0%
- 14th pct Healthcare
- Units
- 579
- 78th pct Healthcare
- SBA charge-off
- 0.0%
- % of SBA 7(a) loans not repaid · median varies by category
Quick verdict · Healthcare · color = vs category peers
Green = favorable by >10% vs Healthcare 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 $168K – $419K including a $49K franchise fee, 6.0% ongoing royalty.
- RETURNSAverage unit revenue of $604K/year (median $450K) (reported for a subset of outlets rather than the whole system).
- RISKVerdict A (Strongest tier), verdict score 94/100 (higher is better). SBA loan charge-off rate of 0.0% across 95 loans (well below the franchise average, based on all SBA 7(a) franchise lending, 2010–2025).
- GROWTHSystem growing at 18.0% CAGR over 3 years with 579 total units. Strong expansion trajectory.
Item 1 · who you're contracting with
The Franchisor
Corporate structure & franchisor financials
- Legal entity
- FYZICAL, LLC
- Parent company
- Fyzical Acquisition Holdings LLC
- Ultimate parent
- New Harbor Capital, LLC (via investment funds)
- CEO title
- Chief Executive Officer
- Wayne Cavanaugh
- Incorporated in
- Delaware
- HQ
- 1751 Mound Street, Suite 102, Sarasota, Florida 34236
- Franchisor revenue
- $16.9M
- vs $15.1M prior year
Overview
About
Franchisor of FYZICAL Centers offering physical therapy, medically-based physical wellness, rehabilitation, pain management, balance retraining/fall prevention, and sports rehabilitation services through licensed physical therapists.
- CEO
- Wayne Cavanaugh
- Headquarters
- FL
- Founded
- 2012
- FDD year
- 2025
Can you afford it, and what does the money buy?
Entry cost runs 30% below the typical healthcare franchise.
Source: FDD 2025 · Items 5–7
FDD Item 7 · 2025 filing
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $49K | $49K |
| Working capital (3–6 mo) | $25K | $150K |
| Equipment, build-out, other | $94K | $220K |
| Total initial investment | $168K | $419K |
Source: Fyzical 2025 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
- $168K – $419K
- Top 40% of category vs category
- Liquid capital req'd
- $25K – $150K
- Top 40% of category vs category
- Franchise fee
- $49K – $49K
- Top 40% of category vs category
- Royalty
- 6.0%
- Set by a formula · typical 6–8%
- Ad fund
- 2.0%
- typical 3–5%
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 6.0% of gross sales |
| Marketing / ad fund | 2.0% of gross sales |
What do units actually make?
Average unit sales run 51% below the healthcare norm.
Reported for a subset of outlets rather than the whole system
Source: FDD 2025 · 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 Fyzical 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
$381K
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 Fyzical 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: 2025 FDD
Financial Performance
Reported for a subset of outlets rather than the whole system
- Avg gross sales
- $604K
- Per unit, per year
- Median gross sales
- $450K
Gross sales are revenue before expenses — not profit. Actual owner earnings depend on rent, labor, royalties, marketing fees, and debt service.
- Item 19 type
- gross revenue and per metric
- Sample size
- 213 outlets
- vs category median 22 · large
- Range (low → high)
- $28K→$3.8M
- Cohort dispersion (min → max)
- Reporting year
- 2024
- Fiscal year the figures cover
- Source filing
- FDD 2025
- Disclosed in the 2025 filing, covering 2024
Compared against 162 Healthcare brands
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 $604K/year in gross sales. Median is $450K — top performers pull the average up, so a typical unit earns less. Revenue-to-investment ratio: 2.1x. Reported for a subset of outlets rather than the whole system.
Fee burden
6.0% royalty + 2.0% ad fund.
Operator retention
System expanding at 18.0% CAGR over 3 years across 579 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 Healthcare averages
How Fyzical Compares
Is the system healthy?
Source: FDD 2025 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 579
- Opened
- N/A
- Last reporting year
- Closed
- N/A
- Turnover rate
- 9.9%
- Company-owned
- 56
- Corporate units in the system
- % franchised
- 90%
- vs corporate-owned
- Net growth (3-yr)
- +18.0%
- Net unit change over 3 years
- 3-yr CAGR
- +18.0%
- Compounded over last 3 years
3-year detail · Item 20
- Transfers (3yr)
- 14
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 39 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 contact records (FDD Item 20). Shows states with at least one current operator on file. Full state registration data (Item 12) will appear on a future FDD refresh.
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA 7(a) and 504 loan disclosures, public data unique to FranchiseVerdict.
- Total loans
- 95
- Loan volume
- $21.6M
- Median loan
- $216K
- 50th percentile
- Charge-off rate
- 0.0%
- 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)
- 100.0%
- 5-yr charge-off
- 0.0%
- Loans approved 2021+
- Active lenders
- 30
- Defaults
- 0
- Typical loan rate
- 8.0%
- avg rate to borrowers
- vs industry
- N/A
- NAICS 6213
- Jobs supported
- 712
- 3.3 per loan
- Lender concentration
- 46%
- top lender's share
Borrower mix: 0% went to startups / new businesses, 100% to established operators
Vintage analysis
Fyzical charge-off rate by loan vintage
Top lenders financing Fyzical franchisees
Showing 3 of 30 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.
With a 0.0% charge-off rate across 95 loans, banks have historically viewed this brand favorably for lending.
What could kill this investment?
SBA loans charge off at 0.0% — 100% below the 16.0% national norm, i.e. lower lender-observed risk.
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)
Three disclosed cases: (1) Merissa Kihnke (former in-house counsel) whistleblower retaliation claims, first case dismissed without prejudice, refiled with franchisor counterclaim pending; (2) Dr. Christopher Mulvey whistleblower retaliation suit, stayed pending Florida Supreme Court decision; (3) PG Therapy LLC (franchisee) breach of contract/misrepresentation suit, settled January 2026 with franchisor paying $50,000.
Largest disclosed settlement: $50,000
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Supplier relationship · Items 8 & 16
- Franchisor sells you products: Yes
- Kickbacks from required suppliers: No
- Must buy proprietary products: Yes
- Restricted to system-approved products: Yes
- Can negotiate own supplier terms: Yes
What are you signing up for?
Ongoing fees run about 8.0% of sales (royalty + ad fund), before rent and labor.
Source: FDD 2025 · 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 | 40,000 |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Optional |
| Non-compete (years)ℹ | 2 years |
| Non-compete (miles)ℹ | 15 mi |
| Right of first refusalℹ | Yes |
| RoFR response window | 60 days |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Termination groundsℹ | 17 |
| Mandatory arbitration | No |
| Governing law | Florida |
| Litigation count | 3 |
View Item 3 litigation summary
Three disclosed cases: (1) Merissa Kihnke (former in-house counsel) whistleblower retaliation claims, first case dismissed without prejudice, refiled with franchisor counterclaim pending; (2) Dr. Christopher Mulvey whistleblower retaliation suit, stayed pending Florida Supreme Court decision; (3) PG Therapy LLC (franchisee) breach of contract/misrepresentation suit, settled January 2026 with franchisor paying $50,000.
Items 10, 11
Training & Operations
- Classroom training
- 34 hrs
- Training location
- Sarasota, Florida (FYZICAL HQ)
- Ongoing training
- Required
- Site selection
- franchisor approval of site within Search Area (up to 3-mile radius)
- Franchisor financing
- Offered
- Item 10
Items 5 & 11
Franchisor Support
Item 20 · call current owners
Franchisee Contacts
366 owners to call
Name · phone · city · state. Extracted from FDD Item 20
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Fyzical franchise?
The total investment to open a Fyzical franchise ranges from $168K – $419K, with an initial franchise fee of $49K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do Fyzical franchise owners earn?
According to Item 19 of the Fyzical FDD, the average gross sales per unit is $604K. The median is $450K. Important context: Reported for a subset of outlets rather than the whole system. Note: this is gross revenue, not profit. Actual owner earnings vary based on location, operating costs, and management.
What is Item 19 in the Fyzical 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 Fyzical FDD and qualifies whose outlets they describe.
What is Fyzical's franchise failure rate?
Based on SBA 7(a) loan data, Fyzical has a charge-off rate of 0.0% across 95 loans, meaning 0.0% 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 Fyzical franchise locations are there?
As of their most recent FDD filing, Fyzical has 579 total units in the United States, including 523 franchised units and 56 company-owned units.
Is Fyzical a good franchise to buy?
FranchiseVerdict rates Fyzical as a A-grade franchise with a verdict score of 94 out of 100 (higher is better). The grade is a deterministic score built from six weighted dimensions — financial health, unit economics, unit growth, scale, legal, and transparency — then calibrated against SBA loan charge-off rates and FDD age. Transparency is one of the six, so a filing that discloses less scores lower on that dimension than one that discloses more. 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.