Hydrate IV Bar Franchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
Analysis by FranchiseVerdict Research · Methodology
Hydrate IV Bar is a wellness franchise offering IV hydration therapy, vitamin infusions, and injections. Franchisees run the clinics, managing clinical staff, appointments, and memberships.
FranchiseVerdict summary · 2026
A Hydrate IV Bar franchise requires a total initial investment of $242K – $448K, including a $50K franchise fee and an ongoing 8.0% royalty[2]. Per the 2025 FDD, average unit revenue was $722K[2]. FranchiseVerdict grade: C (Average), an editorial assessment, not investment advice. Run a live ROI scan →
Data last verified · figures per the 2025 FDD issuance
Overview
- Investment
- $242K – $448K
- 51st pct Healthcare
- Avg gross sales
- $722K
- 11th pct Healthcare
- Royalty
- 8.0%
- 47th pct Healthcare
- Units
- 17
- 37th pct Healthcare
- SBA charge-off
- N/A
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 $242K – $448K including a $50K franchise fee, 8.0% ongoing royalty.
- RETURNSAverage unit revenue of $722K/year (median $612K).
- RISKVerdict C (Average), verdict score 44/100 (higher is better).
Item 1 · who you're contracting with
The Franchisor
Corporate structure & franchisor financials
- Legal entity
- KCA Holdings LLC
- CEO title
- Founder, CEO, President and Manager
- Katie Wafer Gillberg
- Incorporated in
- CO
- HQ
- 753 S. University Blvd., Denver, CO 80209
- Auditor
- Kezos & Dunlavy
- Audited financials
- Franchisor revenue
- $1.0M
- vs $551K prior year
Affiliated brands
- Hydrate Hospitality
- Hydrate IV Bar Holdings
- Pr
Other brands the franchisor or its parent operates (Item 1).
Overview
About
- CEO
- Katie Wafer Gillberg
- Headquarters
- CO
- Founded
- 2020
- FDD year
- 2025
- States available
- 4
Can you afford it, and what does the money buy?
Entry cost runs 17% 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 | $50K | $50K |
| Working capital (3–6 mo) | $45K | $75K |
| Equipment, build-out, other | $147K | $323K |
| Total initial investment | $242K | $448K |
Source: Hydrate IV Bar 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
- $242K – $448K
- Middle of category vs category
- Liquid capital req'd
- $45K – $75K
- Middle of category vs category
- Franchise fee
- $50K – $50K
- Middle of category vs category
- Royalty
- 8.0%
- percentage · typical 6–8%
- Ad fund
- 2.0%
- typical 3–5%
- Total fee load
- 10.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 8.0% of gross sales |
| Marketing / ad fund | 2.0% of gross sales |
| Technology fee | $850 |
| Training fee | $500 |
| Transfer fee | $13K |
| Renewal fee | $13K |
| Inventory (initial) | $8K – $10K |
| Total fee load | 10.0% of rev |
What do units actually make?
Average unit sales run 50% below the healthcare norm.
Source: FDD 2025 · Item 19
Single-unit · estimated
Returns at a glance
Indicative numbers using FDD Item 7 / Item 19 inputs and category-benchmarked cost ratios. Full single-unit, 25-unit portfolio, and LBO models (with every input editable to stress-test your own scenario) live on the financials page.
Store EBITDA · annual
$108K
15.0% margin
Unlevered ROIC
27%
EBITDA / total invested capital
Payback
3.7 yrs
cash-on-cash, unlevered
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. The target band for an attractive franchise is 30–60% ROIC. Below that and a passive index fund likely outperforms; above that and the franchisor has pricing power you're subsidizing.
Note: Item 19 revenue is what the franchisor discloses. It's the top line only. Operating costs below are category estimates. Override them to match your real lease quote, labor market, and build-out budget.
Returns model · single-unit ROIC
What would one Hydrate IV Bar unit return on the cash you put in?
Unlevered ROIC · per unit
Estimated return on your total franchise investment, before any debt financing.
27%
Below the 30–60% attractive-franchise band
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%.
Levered LBO scenario · Yale Crease Capital framing
What would 25 Hydrate IV Bar units return on equity?
Equity IRR · 5-yr
49.9%
7.57× MOIC
Year-1 DSCR
1.88×
EBITDA ÷ debt service
Equity required
$1.2M
on $5.8M purchase
Total debt
$4.6M
SBA $2.9M + senior + seller note
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
- Avg gross sales
- $722K
- Per unit, per year
- Median gross sales
- $612K
Gross sales are revenue before expenses — not profit. Actual owner earnings depend on rent, labor, royalties, marketing fees, and debt service.
- Item 19 type
- revenue and ebitda
- Sample size
- 8
- vs category median 20 · small
- Range (low → high)
- $334K→$1.7M
- Cohort dispersion (min → max)
- Transparency tier
- full
- Categorical assessment of disclosure depth
- Reporting year
- 2024
- Fiscal year the figures cover
- Source filing
- FDD 2025
- Disclosed in the 2025 filing, covering 2024
- Transparency
- 9 / 10
- vs category median 3 / 10 · above
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 $722K/year in gross sales. Median is $612K — top performers pull the average up, so a typical unit earns less. Revenue-to-investment ratio: 2.1x.
Fee burden
Total ongoing fee load of 10.0% (near the Healthcare average).
Disclosure
Transparency score 9/10 — this franchisor discloses detailed breakdowns (quartiles, segments, or cohort data). Buyers can model unit economics with higher confidence.
Operator retention
System expanding at 100.0% CAGR over 3 years across 17 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 Hydrate IV Bar Compares
Is the system healthy?
Source: FDD 2025 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 17
- Opened
- 4
- 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
- 5
- Corporate units in the system
- % franchised
- 71%
- vs corporate-owned
- Net growth (3-yr)
- +100.0%
- Net unit change over 3 years
- 3-yr CAGR
- +100.0%
- Compounded over last 3 years
3-year detail · Item 20
- Opened (3yr)
- 4
- Closed (3yr)
- 0
- Terminated (3yr)
- 0
- Non-renewed (3yr)
- 0
- Transfers (3yr)
- 0
- Reacquired (3yr)
- 0
- Franchisor bought back
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 4 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.
Available to sell in · Item 12
- California
- Hawaii
- Indiana
- Maryland
- Michigan
- North Dakota
- Rhode Island
- South Dakota
- Washington
States where the franchisor is registered to sell new franchises (FDD registration filings).
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 7 7(a) loans on file; statistical reliability is limited below 10 loans.
- Total loans
- 7
- Loan volume
- $2.0M
- Median loan
- $340K
- 50th percentile
- Charge-off rate
- N/A
- limited sample (7 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
- 4
- 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
Hydrate IV Bar presents moderate-to-cautious risk due to recent affiliate litigation, unverified financial claims, absence of Item 19 disclosures, and an unusually aggressive growth trajectory with a small unit base.
Litigation (Item 3)
One prior action: affiliate Hydrate IV Bar Holdings LLC v. Hydrate Arizona LLC (trademark infringement), filed April 2024, settled June 2024.
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Kezos & Dunlavy
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Supplier relationship · Items 8 & 16
- Franchisor sells you products: No
- Kickbacks from required suppliers: No
- Must buy proprietary products: Yes
- Restricted to system-approved products: Yes
Score breakdown · what drove the 44 / 100 verdict
- 01HIGHRecent trademark litigation (April-June 2024) involving affiliate suggests brand protection vulnerabilities and internal governance issues
- 02MINORAggressive 50% YoY unit growth with only 17 locations is atypical and suggests either rapid expansion or possible unit churning
- 03MINORHigh royalty rate of 8% plus $50k upfront fee creates $83.6k+ annual burden on franchisees at average revenue levels
- 04HIGHGoing Concern status is FALSE — absence of affirmative going concern language in FDD is concerning for newer franchise systems
Severity inferred from the FDD text · not a regulatory classification
What are you signing up for?
Ongoing fees run about 10.0% 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 | 1 |
| Territory type | protected |
| Protected territory | Yes |
| Exclusive territoryℹ | No |
| Territory radius | 3 mi |
| Online sales rights | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Optional |
| Non-compete (years)ℹ | 2 years |
| Non-compete (miles)ℹ | 25 mi |
| Right of first refusalℹ | Yes |
| Transfer requires consent | Yes |
| Termination notice | 15 days |
| Termination groundsℹ | 1 |
| Curable defaultsℹ | 3 |
| Mandatory arbitration | Yes |
| Arbitration location | Denver, CO |
| Jury trial waiver | No |
| Governing law | CO |
| Litigation count | 1 |
View Item 3 litigation summary
One prior action: affiliate Hydrate IV Bar Holdings LLC v. Hydrate Arizona LLC (trademark infringement), filed April 2024, settled June 2024.
Items 10, 11
Training & Operations
- Classroom training
- 22 hrs
- On-the-job training
- 36 hrs
- Training location
- Denver, CO (corporate store) or other designated location; online preparation prior to in-person
- Ongoing training
- Required
- Site selection
- Franchisee with franchisor approval; franchisor designates real estate/construction management suppliers
- Franchisor financing
- Not offered
- Item 10
- POS system
- QuickBooks Online
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: QuickBooks Online
Item 20 · call current owners
Franchisee Contacts
10 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
Hydrate IV Bar · FDD (2025) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Hydrate IV Bar franchise?
The total investment to open a Hydrate IV Bar franchise ranges from $242K – $448K, with an initial franchise fee of $50K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do Hydrate IV Bar franchise owners earn?
According to Item 19 of the Hydrate IV Bar FDD, the average gross sales per unit is $722K. The median is $612K. Note: this is gross revenue, not profit. Actual owner earnings vary based on location, operating costs, and management.
What is Item 19 in the Hydrate IV Bar 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 Hydrate IV Bar FDD and qualifies whose outlets they describe.
What is Hydrate IV Bar's franchise failure rate?
SBA 7(a) loan charge-off data is not available for Hydrate IV Bar (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 Hydrate IV Bar franchise locations are there?
As of their most recent FDD filing, Hydrate IV Bar has 17 total units in the United States, including 12 franchised units and 5 company-owned units. 4 new units were opened in the latest reporting year.
Is Hydrate IV Bar a good franchise to buy?
FranchiseVerdict rates Hydrate IV Bar as a C-grade franchise with a verdict score of 44 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
Are you the franchisor?
If you represent Hydrate IV Bar, you can request corrections or provide updated information.
Other Healthcare franchises
Compare similar franchise opportunities in the Healthcare category
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.