Next HealthFranchise Cost, Revenue & Review 2026
Data from FDD filing
FranchiseVerdict summary · 2026
A Next Health franchise requires a total initial investment of $1.6M – $2.2M, including a $80K franchise fee and an ongoing 9.0% royalty[2]. Per the 2025 FDD, average unit revenue was $4.0M[2]. Verdict grade: A. Run a live ROI scan →
Data last verified June 18, 2026 · figures per the 2025 FDD issuance
Overview
- Investment
- $1.6M – $2.2M
- 97th pct Senior Care
- Avg gross sales
- $4.0M
- 70th pct Senior Care
- Royalty
- 9.0%
- 64th pct Senior Care
- Units
- 5
- 16th pct Senior Care
- SBA default
- N/A
Quick verdict · Senior Care · color = vs category peers
Green = >15% above Senior Care avg · No shading = within ±15% · Red = >15% below avg · Source: FDD filings + SBA 7(a)
Data from public FDD filings and SBA records. Not financial advice. Methodology
Started franchising in 2023. Newer systems carry more uncertainty but may offer better territories.
57% cash-on-cash return (based on P&L Bottom Line). Above the 20% threshold most investors target.
Bottom line
- Total investment $1.6M – $2.2M including a $80K franchise fee, 9.0% ongoing royalty.
- Average unit revenue of $4.0M/year (median $4.0M), with an estimated 57% cash-on-cash return (based on P&L Bottom Line).
- Verdict A (Top Quintile) with a risk score of 38/100.
- Emerging franchise: only 3 years of franchising with 5 units. Early-stage systems carry higher risk but may offer better territory availability.
Item 1 · who you're contracting with
The Franchisor
- Legal entity
- Next Health Franchising LLC
- Parent company
- Next Health Management Group, Inc.
- Incorporated in
- DE
- HQ
- 8560 West Sunset Boulevard, Suite 650, West Hollywood, CA 90069
- Auditor
- Baker Tilly US, LLP
- Audited financials
- Franchisor revenue
- $1K
- vs $38K prior year
Affiliated brands
- Next Health IP
- LH Franchising
- Next Health International
Other brands the franchisor or its parent operates (Item 1).
Overview
About
Next Health franchisees operate wellness and preventative health centers offering IV therapy, vitamin infusions, hormone optimization, and biohacking services. Daily operations include administering treatments, managing client scheduling, maintaining clinical compliance, and managing a small clinical staff. Revenue derives primarily from membership programs and per-treatment fees from health-conscious consumers seeking performance optimization.
- CEO
- Darshan Shah, MD
- Headquarters
- CA
- Founded
- 2023
- FDD year
- 2025
- States available
- 3
FDD Item 7 · 2025 filing
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $80K | $80K |
| Working capital (3–6 mo) | $175K | $250K |
| Equipment, build-out, other | $1.4M | $1.8M |
| Total initial investment | $1.6M | $2.2M |
Source: Next Health 2025 FDD, Items 5 and 7[2]. “Equipment, build-out, other” is computed as total minus disclosed line items above.
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
$601K
15.0% margin
Unlevered ROIC
28%
EBITDA / total invested capital
Payback
3.5 yrs
cash-on-cash, unlevered
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $1.6M – $2.2M
- Below avg, review vs category
- Liquid capital req'd
- $175K – $250K
- Below avg, review vs category
- Franchise fee
- $40K – $80K
- Below avg, review vs category
- Royalty
- 9.0%
- Gross Sales · typical 6–8%
- Ad fund
- 1.0%
- typical 3–5%
- Total fee load
- 10.0%
- vs 9–13% typical
- Payback period
- 1.7 yrs
- From FDD / Item 19
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 9.0% of gross sales |
| Marketing / ad fund | 1.0% of gross sales |
| Technology fee | $700 |
| Training fee | $5K |
| Transfer fee | $40K |
| Renewal fee | $40K |
| Total fee load | 10.0% of rev |
Financial Performance
- Avg gross sales
- $4.0M
- Per unit, per year
- Median gross sales
- $4.0M
- Avg p&l bottom line
- $1.1M
- Reported as P&L Bottom Line in FDD Item 19
- Cash-on-cash
- 57.3%
- Based on P&L Bottom Line / investment midpoint
- Item 19 type
- Actual
- Sample size
- 3 units
- vs category median 22 · small
- Range (low → high)
- $3.1M→$5.7M
- Cohort dispersion (min → max)
- Quartile band
- $3.1M→$5.7M
- Bottom 25% → top 25%
- Transparency
- 9 / 5
- vs category median 4 / 5 · above
Compared against 70 Senior Care brands
vs Senior Care averages
How Next Health Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 5
- Opened
- 0
- Last reporting year
- Closed
- 0
- Turnover rate
- 0.0%
- Company-owned
- 5
- Corporate units in the system
- % franchised
- 0%
- vs corporate-owned
3-year detail · Item 20
- Opened (3yr)
- 5
- 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 · 15 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
- Illinois
- Indiana
- Michigan
- Minnesota
- New York
- North Dakota
- Rhode Island
- South Dakota
- Virginia
- Washington
- Wisconsin
States where the franchisor is registered to sell new franchises (FDD registration filings).
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA 7(a) and 504 loan disclosures, public data unique to FranchiseVerdict.
No SBA loan data available for this brand.
Risk analysis
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
Early-stage wellness franchise with minimal operating units, unverified financial claims, and capital-intensive model presents high execution risk despite no litigation.
Litigation (Item 3)
0 case reference(s): 0 pending, 0 settled.
Largest disclosed settlement: $400,000
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Baker Tilly US, LLP
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Supplier relationship · Items 8 & 16
- Franchisor sells you products: No
- Must buy proprietary products: No
- Restricted to system-approved products: No
Score breakdown · what drove the 38 / 100 rating
- 01MINOROnly 5 units in system with unknown growth trajectory suggests early-stage or stalling franchise
- 02HIGHNo Item 19 financial performance representation (Going Concern = False) limits ability to validate claimed averages
- 03MINORHigh initial investment ($1.6M-$2.2M) paired with only 5 franchisees raises questions about unit economics and scalability
- 04MINOR9% royalty on $4M average revenue = $360K annually, creating cash flow pressure for breakeven franchisees
- 05MEDExtremely limited franchisee sample size (5 units) makes financial averages statistically unreliable and potentially cherry-picked
- 06MINORUnknown growth rate indicates franchisor may not be actively recruiting or expanding, suggesting market validation issues
Severity inferred from the FDD text · not a regulatory classification
FDD Items 5, 6, 12, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 10 years |
|---|---|
| Renewal term | 10 years |
| Allowed renewalsℹ | 1 |
| Territory type | Radius |
| Protected territory | Yes |
| Online sales rights | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Optional |
| Non-compete (years)ℹ | 2 years |
| Right of first refusalℹ | Yes |
| Termination notice | 30 days |
| Termination groundsℹ | 2 |
| Curable defaultsℹ | 9 |
| Mandatory arbitration | Yes |
| Jury trial waiver | Yes |
| Governing law | Delaware |
| Litigation count | 0 |
View Item 3 litigation summary
0 case reference(s): 0 pending, 0 settled.
Items 10, 11
Training & Operations
- Classroom training
- 56 hrs
- On-the-job training
- 78 hrs
- Training location
- On-site and corporate
Items 5 & 11
Franchisor Support
Item 20 · call current owners
Franchisee Contacts
22 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
Next Health · FDD (2025) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Next Health franchise?
The total investment to open a Next Health franchise ranges from $1.6M – $2.2M, with an initial franchise fee of $80K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do Next Health franchise owners earn?
According to Item 19 of the Next Health FDD, the average gross sales per unit is $4.0M. The median is $4.0M. Note: this is gross revenue, not profit. Actual owner earnings vary based on location, operating costs, and management.
What is Next Health's franchise failure rate?
SBA 7(a) loan charge-off data is not available for Next Health (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 Next Health franchise locations are there?
As of their most recent FDD filing, Next Health has 5 total units in the United States, including 0 franchised units and 5 company-owned units.
Is Next Health a good franchise to buy?
FranchiseVerdict rates Next Health as a A-grade franchise with a risk score of 38 out of 100, 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.
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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.