FranchiseVerdict
Medi-Weightloss logo
FV-01601·STRONGExcellent100

Medi-Weightloss

Formerly known as MWF

Health & Wellness - OtherFranchising since 2008Website
Investment
$207K – $435K
54th pct Other
Avg revenue
$902K
36th pct Other
Royalty
Units
105
79th pct Other
SBA default
0.0%
vs <3% typical

Bottom line

  • Total investment $207K – $435K including a $45K franchise fee.
  • Average unit revenue of $902K/year (median $753K). Estimated payback in 1.8 years.
  • Rated STRONG with a risk score of 42/100. SBA loan default rate of 0.0% across 84 loans (below the industry average).
  • System growing at 22.2% CAGR over 3 years with 105 total units — strong expansion trajectory.

Item 1 · who you're contracting with

The Franchisor

Legal entity
MEDI-WEIGHTLOSS FRANCHISING USA, LLC
Parent company
Medi-Weightloss Buyer, Inc.
Incorporated in
Florida
HQ
509 S. Hyde Park Avenue, Tampa, Florida 33606
Auditor
RSM US LLP
Audited financials
Franchisor revenue
$23.4M
vs $25.3M 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 Medi-Weightloss unit return on the cash you put in?

Revenue · per unit, per year
$
FDD Item 19 reports $901,641
Franchisor take · royalty + ad fund
Royaltytyp 68%
%
Ad fundtyp 35%
%
Operating costs · category default: personal services
COGS
%
Labor
%
Rent / occupancy
%
Other operating
%
Total invested capital · what you actually put in
Initial investment
$
FDD Item 7: $207K–$435K
Working capital
$
FDD reports $20K–$60K

Unlevered ROIC · per unit

57%

In Yale's "attractive" band (30–60%)

0%30–60% Yale band80%

Store EBITDA · annual
$207K
EBITDA margin
23.0%
Total invested
$361K
Payback
21 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 Medi-Weightloss units return on equity?

Edit assumptions

Equity IRR · 5-yr

35.1%

4.50× MOIC

Year-1 DSCR

2.33×

EBITDA ÷ debt service

Equity required

$5.1M

on $14.4M purchase

Total debt

$9.3M

SBA $5.0M + senior + seller note

SBA 7(a) request ($7.2M) exceeds the $5M program cap. Excess capped automatically; backfill via conventional or equity.

Overview

About

Medi-Weightloss franchisees operate medical weight-loss clinics offering supervised diet programs, pharmaceutical weight-loss treatments, and lifestyle coaching. Day-to-day operations include patient consultations, monitoring weight-loss progress, managing prescriptions (or coordinating with physicians), nutritional counseling, and administrative/billing tasks. Revenue is generated through patient program fees, treatment packages, and ancillary services (supplements, meal replacements).

CEO
Kenneth Hall
Founded
2008
FDD year
2024
States available
22

Item 7 · what it costs

The Vitals

Total investment
$207K – $435K
All-in to open one unit
Liquid capital
$20K – $60K
Cash you must have on hand
Franchise fee
$45K
Royalty
Greater of $2,250 per month or 10% of monthly Gross Sales
Ad fund
1.0%
typical 3–5%
Total fee load
11.0%
vs 9–13% typical
Payback period
1.8 yrs
From v3 / Item 19

Item 19

Financial Performance

Avg gross sales
$902K
Per unit, per year
Median gross sales
$753K
Item 19 type
Average Gross Sales, Gross Profit, and Net Income Before Other Expenses
Sample size
54 units
vs category median 12 · large
Range (low → high)
$190K$2.7M
Cohort dispersion
Transparency
10 / 5
vs category median 4 / 5 · above
Revenue rank36th
vs Health & Wellness - Other peers
Investment cost rank54th
Lower investment ranks lower (better)
Royalty rate rank72th
Lower royalty = lower percentile (better)
Unit count rank79th
vs Health & Wellness - Other peers
Risk score rank4th
Lower risk = lower percentile (better)

Item 20 · unit dynamics

The Growth Chart

Total units
105
Opened
15
Last reporting year
Closed
3
Turnover rate
2.9%
Company-owned
17
Corporate units in the system
% franchised
84%
vs corporate-owned
Net growth (yr3)
+15.8%
Net unit change last year
3-yr CAGR
+22.2%
Compounded over last 3 years
2022
88+12
Franchised units
2023
76
Franchised units
2024
72
Franchised units

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

Item 20 · 25 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 · 25 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
84
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

Medi-Weightloss presents moderate-to-cautious risk due to undisclosed financial performance data, high royalty burden, historical litigation, and niche market vulnerability—requiring thorough validation before $207K–$435K commitment.

Score breakdown · what drove the 42 / 100 rating

  1. 01HIGHNo Item 19 financial performance data published (Going Concern = False) — unable to verify if avg revenue/net income figures are representative or cherry-picked
  2. 02MEDModerate unit growth (15.8% YoY) is positive but system is still small (105 units) with limited scale; vulnerability to economic downturns in weight-loss sector
  3. 03MINORHigh royalty burden: Greater of $2,250/month floor OR 10% of gross sales — at $75,137 avg monthly revenue, franchisees pay ~$7,514/month (10%), reducing net margins significantly
  4. 04HIGH2014 litigation with former franchisee (Evelyn Kikta) involved contract disputes, trademark infringement, and employment claims — signals potential franchisor-franchisee relationship friction and IP vulnerability
  5. 05MINORWeight-loss industry faces regulatory scrutiny (FDA, FTC) and reputational risk; no mention of clinical validation or compliance framework in franchise overview

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 code based
Protected territory
Yes
Initial term
10 years
Renewal term
5 years
Online sales rights
Restricted
Franchisor can compete
Yes
Hire a manager?
Allowed
Litigation count
4
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
Florida

Item 11

Training & Operations

Classroom training
49 hrs
On-the-job training
241 hrs
POS system
Advantage
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

94 numbers

Locked
(617) 798-••••
MA
(678) 540-••••
GA
(774) 365-••••
MA

One-time purchase · CSV download · Validation questions included

FDD download

Medi-Weightloss · FDD (2024) PDF

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