O44 Method Franchise Cost, Revenue & Review 2026
Data from FDD filing
Analysis by FranchiseVerdict Research · Methodology
O44 Method is a boutique fitness franchise offering group classes using a proprietary training method. Franchisees run the studios, managing instructors, class scheduling, and membership growth.
FranchiseVerdict summary · 2026
A O44 Method franchise requires a total initial investment of $73K – $169K, including a $40K franchise fee. The 2025 FDD does not disclose unit-level revenue (no Item 19). FranchiseVerdict grade: D (Below average), an editorial assessment, not investment advice. Run a live ROI scan →
Data last verified · figures per the 2025 FDD issuance
Overview
- Investment
- $73K – $169K
- 11th pct Health & Fitn…
- Avg gross sales
- N/A
- 1 outlet
- Royalty
- N/A
- Units
- 1
- 3rd pct Health & Fitn…
- SBA charge-off
- N/A
Quick verdict · Health & Fitness · color = vs category peers
Green = favorable by >10% vs Health & Fitness 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 $73K – $169K including a $40K franchise fee.
- RETURNSRevenues for FY2024: Initial franchise fees $40,000, Royalties $9,092, Coaching/training/misc sales $9,477, totaling $58,569. FY2023 franchise revenue was $0 (company began offering franchises in Sept 2023). Going-concern doubt disclosed; net loss of $21,210. Company received $4,543.16 (~7.75% of total revenue) from franchisee purchases of equipment/apparel.
- RISKVerdict D (Below average), verdict score 36/100 (higher is better).
- DATANo Item 19 financial performance representation. Without franchisor-disclosed revenue data, you'll need to gather unit economics directly from existing franchisees.
Item 1 · who you're contracting with
The Franchisor
Corporate structure & franchisor financials
- Legal entity
- O44 Franchising LLC
- Predecessor
- O44 Licensing, LLC
- Prior franchisor entity
- CEO title
- CEO
- Carrie Dorr
- CEO experience
- 30 yrs
- Years in role or industry
- Founder active
- Yes
- Original founder still leading the business
- Incorporated in
- CA
- HQ
- 121 San Anselmo Avenue, #129, San Anselmo, CA 94960
- Auditor
- Windes
- Audited financials
- Franchisor revenue
- $59K
- vs $0 prior year
Overview
About
- CEO
- Carrie Dorr
- Headquarters
- CA
- Founded
- 2023
- FDD year
- 2025
- States available
- 1
Can you afford it, and what does the money buy?
Entry cost runs 79% below the typical health & fitness franchise.
Source: FDD 2025 · Items 5–7
Full Item 7 breakdown11 line items
Initial investment breakdown
| Line item | Low | High | |
|---|---|---|---|
| Initial Franchise Feenot refundable | $40K | $40K | |
| Travel and Living Expenses While Attending Trainingnot refundable | $2K | $5K | |
| Insurancenot refundable | $500 | $3K | |
| Lease, Utility and Security Depositnot refundable | $5K | $10K | |
| Construction and Leasehold Improvementsnot refundable | $7K | $27K | |
| O44 Method Equipmentnot refundable | $3K | $3K | |
| Interior and Exterior Signagenot refundable | $3K | $3K | |
| Furnishings and Equipmentnot refundable | $7K | $57K | |
| Computer and Software Systemsnot refundable | $500 | $500 | |
| Professional Servicesnot refundable | $500 | $1K | |
| Additional Funds for the Initial Period (First 3 Months)not refundable | $5K | $20K | |
| Total initial investment | $73K | $169K |
Line items extracted from FDD Item 7. Ranges reflect the franchisor's stated low and high per line. Total is the sum of line-item lows / highs — actual costs may fall outside this range depending on market and build-out scope.
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $73K – $169K
- Top 40% of category vs category
- Liquid capital req'd
- $5K – $20K
- Top 40% of category vs category
- Franchise fee
- $40K – $40K
- Top 40% of category vs category
- Royalty
- Greater of 5% of Gross Sales or $1,000 per month
- Ad fund
- 1.0%
- typical 3–5%
- Total fee load
- 6.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty (flat) | greater of 5% of Gross Sales or $1,000 per month |
| Marketing / ad fund | 1.0% of gross sales |
| Technology fee | $300 |
| Training fee | $2K |
| Transfer fee | $5K |
| Renewal fee | $5K |
| Total fee load | 6.0% of rev |
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
O44 Method did not disclose financial performance in FDD Item 19. The ROIC and return models require Item 19 revenue. Without it all inputs are estimates. You can still run the calculator with your own assumptions by entering an expected revenue figure.
Returns model · single-unit ROIC
What would one O44 Method unit return on the cash you put in?
Unlevered ROIC · per unit
Estimated return on your total franchise investment, before any debt financing.
174%
Above the 30–60% band. Verify revenue is per-unit average
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
Revenues for FY2024: Initial franchise fees $40,000, Royalties $9,092, Coaching/training/misc sales $9,477, totaling $58,569. FY2023 franchise revenue was $0 (company began offering franchises in Sept 2023). Going-concern doubt disclosed; net loss of $21,210. Company received $4,543.16 (~7.75% of total revenue) from franchisee purchases of equipment/apparel.
Operator outlook
What the numbers say
Data-driven interpretation of this brand's financial disclosures, fee structure, and system trajectory.
Fee burden
Total ongoing fee load of 6.0% — below the Health & Fitness average of 8.4%.
Disclosure
Franchisor chose not to disclose financial performance representations. You will need to gather unit economics directly from existing franchisees.
Operator retention
Net unit growth of +100.0% over 3 years (1 opened, 0 closed).
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 Health & Fitness averages
How O44 Method Compares
Is the system healthy?
Source: FDD 2025 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 1
- Opened
- 1
- 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
- 0
- Corporate units in the system
- % franchised
- 100%
- vs corporate-owned
- Net growth (3-yr)
- +100.0%
- Net unit change over 3 years
- 3-yr CAGR
- -50.0%
- Compounded over last 3 years
3-year detail · Item 20
- Opened (3yr)
- 1
- Closed (3yr)
- 0
- Terminated (3yr)
- 0
- Non-renewed (3yr)
- 0
- Transfers (3yr)
- 0
- Reacquired (3yr)
- 0
- Franchisor bought back
- Projected new
- 1
- Franchisor's next-year forecast
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 12 · 1 state reported
The Territory Map
FDD Item 12 reports the state count, but the specific list isn't in our current data. The map will appear once we re-extract from the FDD or enough franchisee contacts are available.
1
states with franchisees (per FDD Item 12)
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 7(a) and 504 loan disclosures, public data unique to FranchiseVerdict.
No SBA loan data available for this brand.
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
Single-unit franchise system with undisclosed financials, high upfront fees, and unproven scalability presents significant validation risk despite protected territory.
Litigation (Item 3)
No litigation information required to be disclosed
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Windes
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Supplier relationship · Items 8 & 16
- Franchisor sells you products: Yes
- Kickbacks from required suppliers: No
- Must buy proprietary products: Yes
- Restricted to system-approved products: Yes
- Can negotiate own supplier terms: No
Score breakdown · what drove the 36 / 100 verdict
- 01MINOROnly 1 franchised unit in system with unknown growth trajectory indicates minimal validation of franchise model scalability
- 02MEDNo disclosed average revenue or net income data prevents realistic ROI assessment on $72,500-$169,000 investment
- 03MINORRoyalty floor of $1,000/month ($12,000 annually) requires minimum $20,000 monthly revenue to break even on royalties alone, creating cash flow risk for underperforming locations
- 04MEDHigh franchise fee of $40,000 (55% of minimum total investment) with 5-year term suggests long payback period with limited exit flexibility
- 05MEDExtremely limited unit count (1) makes franchisee the beta test for business model rather than joining proven system
Severity inferred from the FDD text · not a regulatory classification
What are you signing up for?
Ongoing fees run about 6.0% 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 | 5 years |
|---|---|
| Renewal term | 5 years |
| Territory type | protected |
| Protected territory | Yes |
| Exclusive territoryℹ | No |
| Territory radius | 3 mi |
| Online sales rights | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Not allowed |
| Owner-operator | Required |
| Non-compete (years)ℹ | 2 years |
| Non-compete (miles)ℹ | 50 mi |
| Right of first refusalℹ | No |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Mandatory arbitration | Yes |
| Arbitration location | Monterey County, California |
| Jury trial waiver | No |
| Governing law | CA |
| Litigation count | 0 |
View Item 3 litigation summary
No litigation information required to be disclosed
Items 10, 11
Training & Operations
- Classroom training
- 30 hrs
- On-the-job training
- 0 hrs
- Training location
- San Anselmo, CA Training Center
- Ongoing training
- Required
- Time to open
- 4 mo
- From signing to launch
- Site selection
- Franchisee selects; franchisor approves
- Franchisor financing
- Not offered
- Item 10
Items 5 & 11
Franchisor Support
Item 20 · call current owners
Franchisee Contacts
3 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
O44 Method · FDD (2025) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a O44 Method franchise?
The total investment to open a O44 Method franchise ranges from $73K – $169K, with an initial franchise fee of $40K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do O44 Method franchise owners earn?
O44 Method does not disclose average franchise owner earnings in their FDD Item 19. Not all franchisors are required to make financial performance representations. We recommend asking existing franchisees directly about their financial experience.
What is Item 19 in the O44 Method 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 O44 Method FDD and qualifies whose outlets they describe.
What is O44 Method's franchise failure rate?
SBA 7(a) loan charge-off data is not available for O44 Method (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 O44 Method franchise locations are there?
As of their most recent FDD filing, O44 Method has 1 total units in the United States, including 1 franchised units and 0 company-owned units. 1 new units were opened in the latest reporting year.
Is O44 Method a good franchise to buy?
FranchiseVerdict rates O44 Method as a D-grade franchise with a verdict score of 36 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 O44 Method, you can request corrections or provide updated information.
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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.