FranchiseVerdict
Iron 24 logo
FV-01309·MODERATEExcellent81

Iron 24

Health & FitnessFranchising since 2022Website
Investment
$201K – $481K
36th pct Health & Fitn…
Avg revenue
58th pct Health & Fitn…
Royalty
Units
7
32nd pct Health & Fitn…
SBA default
0.0%
vs <3% typical

Bottom line

  • Total investment $201K – $481K including a $39K franchise fee.
  • No Item 19 financial performance data disclosed — the franchisor chose not to publish revenue figures.
  • Rated MODERATE with a risk score of 64/100. SBA loan default rate of 0.0% across 16 loans (below the industry average).

Item 1 · who you're contracting with

The Franchisor

Legal entity
Iron 24 Franchising, LLC
Parent company
Iron 24 Holdings, LLC
Incorporated in
Texas
HQ
2880 Broadway Bend Drive, Building #1, Pearland, Texas 77584
Auditor
SST Accountants & Consultants
Audited financials
Franchisor revenue
$21K
vs $214K 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 Iron 24 unit return on the cash you put in?

Revenue · per unit, per year
$
Item 19 not disclosed — typing your own estimate
Franchisor take · royalty + ad fund
Royaltytyp 68%
%
Ad fundtyp 35%
%
Operating costs · category default: fitness
COGS
%
Labor
%
Rent / occupancy
%
Other operating
%
Total invested capital · what you actually put in
Initial investment
$
FDD Item 7: $201K–$481K
Working capital
$
FDD reports $18K–$30K

Unlevered ROIC · per unit

56%

In Yale's "attractive" band (30–60%)

0%30–60% Yale band80%

Store EBITDA · annual
$203K
EBITDA margin
27.0%
Total invested
$365K
Payback
22 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.

Overview

About

Iron 24 appears to operate 24-hour fitness/gym facilities. Franchisees manage facility operations including membership sales, personal training services, maintenance of equipment and premises, and member retention. Day-to-day responsibilities likely include staff management, billing oversight, facility cleanliness, and equipment maintenance across extended operating hours.

CEO
David Graham
Founded
2021
FDD year
2024
States available
2

Item 7 · what it costs

The Vitals

Total investment
$201K – $481K
All-in to open one unit
Liquid capital
$18K – $30K
Cash you must have on hand
Franchise fee
$39K
Royalty
The greater of (i) 7% of Net Sales or (ii) the Minimum Ro…
Ad fund
5.0%
typical 3–5%
Total fee load
12.0%
vs 9–13% typical

Item 19

Financial Performance

This franchisor did not disclose financial performance representations in Item 19, or our extractor could not parse them.

Item 20 · unit dynamics

The Growth Chart

Total units
7
Opened
7
Last reporting year
Closed
0
Turnover rate
0.0%
Company-owned
5
Corporate units in the system
% franchised
29%
vs corporate-owned
2022
2+7
Franchised units
2023
0
Franchised units
2024
0
Franchised units

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

Item 20 · 20 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 · 20 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
16
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

64
Risk · 0-100
MODERATE64 / 100

Iron 24 presents high-risk investment due to going concern status, minimal unit scale, non-disclosed financials, and unclear growth momentum.

Score breakdown · what drove the 64 / 100 rating

  1. 01HIGHGoing Concern status indicates franchisor financial distress or operational instability
  2. 02MEDOnly 7 operating units suggests minimal system scale, limited support infrastructure, and high failure risk
  3. 03MINORNo average revenue or net income disclosure prevents ROI validation and suggests poor unit economics or franchisor reluctance to disclose
  4. 04MINORHigh investment range ($201k-$481k) relative to tiny unit count indicates difficulty attracting franchisees despite aggressive pricing
  5. 05MINORUnknown growth trajectory with stagnant unit count raises questions about franchisee recruitment and retention
  6. 06MINORMinimum royalty of $500/month ($6,000 annually) creates fixed cost burden even if location underperforms

Severity inferred from the FDD text · not a regulatory classification

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

Contract & Territory Detail

Territory
Radius
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
Required
Governing law
Texas

Item 11

Training & Operations

Classroom training
60 hrs
On-the-job training
44 hrs
POS system
FranchiCzar Operating Software
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

24 numbers

Locked
(919) 814-••••
NC
(619) 525-••••
CA
(651) 539-••••
MN

One-time purchase · CSV download · Validation questions included

FDD download

Iron 24 · FDD (2024) PDF

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