FranchiseVerdict
Hudson Valley Swim logo
FV-01247·STRONGExcellent91

Hudson Valley Swim

Formerly known as HVSF

Education - Tutoring & Test PrepFranchising since 2022Website
Investment
$94K – $122K
42nd pct Tutoring & Te…
Avg revenue
$258K
5th pct Tutoring & Te…
Royalty
Units
13
43rd pct Tutoring & Te…
SBA default
0.0%
vs <3% typical

Bottom line

  • Total investment $94K – $122K including a $60K franchise fee.
  • Average unit revenue of $258K/year. Estimated payback in 1.1 years.
  • Rated STRONG with a risk score of 42/100. SBA loan default rate of 0.0% across 12 loans (below the industry average).

Item 1 · who you're contracting with

The Franchisor

Legal entity
HV Swim Franchise LLC
Incorporated in
New York
HQ
827 State Route 82, Ste. 10-199, Hopewell Junction, New York 12533
Auditor
Kezos & Dunlavy
Audited financials
Franchisor revenue
$187K
vs $259K prior year

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 Hudson Valley Swim unit return on the cash you put in?

Revenue · per unit, per year
$
FDD Item 19 reports $258,485
Franchisor take · royalty + ad fund
Royaltytyp 68%
%
Ad fundtyp 35%
%
Operating costs · category default: education
COGS
%
Labor
%
Rent / occupancy
%
Other operating
%
Total invested capital · what you actually put in
Initial investment
$
FDD Item 7: $94K–$122K
Working capital
$
FDD reports $900–$2K

Unlevered ROIC · per unit

36%

In Yale's "attractive" band (30–60%)

0%30–60% Yale band80%

Store EBITDA · annual
$39K
EBITDA margin
15.0%
Total invested
$109K
Payback
34 mo
Unit-level only. A multi-unit portfolio gives up roughly 5–15% of this to shared services (corporate G&A) before reaching the ~10-unit break-even Yale describes.

Levered LBO scenario · Yale Crease Capital framing

What would 25 Hudson Valley Swim units return on equity?

Edit assumptions

Equity IRR · 5-yr

49.9%

7.57× MOIC

Year-1 DSCR

1.88×

EBITDA ÷ debt service

Equity required

$414K

on $2.1M purchase

Total debt

$1.7M

SBA $1.0M + senior + seller note

Overview

About

Hudson Valley Swim franchisees operate swim instruction facilities, delivering group and private swimming lessons to children and adults in a protected territory. Day-to-day activities include scheduling classes, managing instructors, maintaining pool operations/safety compliance, and managing student enrollment and retention.

CEO
Jeffrey G. Gartner
Founded
2021
FDD year
2025
States available
4

Item 7 · what it costs

The Vitals

Total investment
$94K – $122K
All-in to open one unit
Liquid capital
$900 – $2K
Cash you must have on hand
Franchise fee
$60K
Royalty
The greater of the Minimum Royalty or 6% - 8% of Gross Sales
Ad fund
2.0%
typical 3–5%
Total fee load
8.0%
vs 9–13% typical
Payback period
1.1 yrs
From v3 / Item 19

Item 19

Financial Performance

Avg gross sales
$258K
Per unit, per year
Median gross sales
Item 19 type
Historical
Sample size
7 units
vs category median 12
Range (low → high)
$115K$816K
Cohort dispersion
Transparency
9 / 5
vs category median 4 / 5 · above
Revenue rank5th
vs Education - Tutoring & Test Prep peers
Investment cost rank42th
Lower investment ranks lower (better)
Royalty rate rank65th
Lower royalty = lower percentile (better)
Unit count rank43th
vs Education - Tutoring & Test Prep peers
Risk score rank3th
Lower risk = lower percentile (better)

Item 20 · unit dynamics

The Growth Chart

Total units
13
Opened
2
Last reporting year
Closed
0
Turnover rate
0.0%
Company-owned
7
Corporate units in the system
% franchised
46%
vs corporate-owned
Net growth (yr3)
+50.0%
Net unit change last year
3-yr CAGR
Outlier (see FDD)
Likely small-sample artifact
2023
6+2
Franchised units
2024
4
Franchised units
2025
1
Franchised units

Year-over-year franchised unit counts and net change. Source: FDD Item 20.

Item 20 · 13 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).

AK
ME
VT
NH
MA
RI
CT
NY
NJ
PA
DE
MD
DC
WA
OR
CA
NV
ID
MT
WY
UT
CO
AZ
NM
ND
SD
NE
KS
OK
TX
MN
IA
MO
AR
LA
WI
IL
MS
TN
MI
IN
KY
AL
OH
WV
GA
VA
NC
SC
FL
HI
Registered · 13 states
Not registered

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.

Total loans
12
Loan volume
Avg loan
Default rate
0.0%
vs <3% typical · system-wide
5-yr default

FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17

Risk & Legal

42
Risk · 0-100
STRONG42 / 100

Hudson Valley Swim presents moderate-to-cautious risk: rapid growth and unverified financials in a small system, coupled with high fees relative to reported net income, warrant deep validation before committing $120K+.

Score breakdown · what drove the 42 / 100 rating

  1. 01MEDNo Item 19 financial performance representation disclosed — cannot independently verify $95,726 average net income claim
  2. 02MINORRapid expansion (50% YoY growth) in a capital-intensive, service-based business raises sustainability and quality control concerns
  3. 03MINORHigh royalty structure (6-8% plus minimum royalty) combined with $59,500 franchise fee creates significant ongoing cost burden on $258K avg revenue
  4. 04MINORPayback period appears marginal — initial investment of $93-122K against ~$96K net income suggests 1+ year break-even, vulnerable to seasonal/operational variance
  5. 05MEDSmall unit count (13 locations) suggests nascent system with limited track record and franchisee support infrastructure

Severity inferred from the FDD text · not a regulatory classification

FDD Items 5, 6, 12, 17 · continued from Risk & Legal

Contract & Territory Detail

Territory
Zip codes / Population
Protected territory
Yes
Initial term
10 years
Renewal term
10 years
Online sales rights
Restricted
Franchisor can compete
Yes
Hire a manager?
Allowed
Litigation count
0
Right of first refusal
Yes
Franchisor can buy back on resale
Mandatory arbitration
Yes
Jury trial waiver
Yes
Non-compete
2 yrs
Post-termination restriction
Owner-operator
Optional
Governing law
New York

Item 11

Training & Operations

Classroom training
22 hrs
On-the-job training
30 hrs
POS system
iClass Pro
Operating tech stack

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

13 numbers

Locked
(360) 902-••••
WA
(317) 232-••••
IN
(410) 576-••••
MD

One-time purchase · CSV download · Validation questions included

FDD download

Hudson Valley Swim · FDD (2025) PDF

Single-page checkout · instant download · CSV export of contacts available separately above