Snap FitnessFranchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
FranchiseVerdict summary · 2026
A SNAP FITNESS franchise requires a total initial investment of $431K – $1.1M, including a $40K franchise fee. Per the 2025 FDD, average unit revenue was $250K[2]. SBA 7(a) loans show a 11.6% charge-off rate across 265 loans[1]. Verdict grade: F. Run a live ROI scan →
Data last verified June 21, 2026 · figures per the 2025 FDD issuance
Overview
- Investment
- $431K – $1.1M
- 78th pct Health & Fitn…
- Avg gross sales
- $250K
- 7th pct Health & Fitn…
- Royalty
- N/A
- Units
- 493
- 97th pct Health & Fitn…
- SBA default
- 11.6%
- system-wide median varies by category
Quick verdict · Health & Fitness · color = vs category peers
Green = >15% above Health & Fitness 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
At 0.3x revenue per dollar invested, this system underperforms the typical 1.5-2.5x range.
Franchised units fell from 547 to 484 over 3 years. Investigate why operators are leaving.
Bottom line
- Total investment $431K – $1.1M including a $40K franchise fee.
- Average unit revenue of $250K/year (median $215K), with an estimated 12% cash-on-cash return (based on P&L Bottom Line).
- Verdict F (Bottom Quintile) with a risk score of 100/100. SBA loan charge-off rate of 11.6% across 265 loans (above the 16% franchise average, based on all SBA 7(a) franchise lending, 2010–2024).
- System contracting at -11.5% CAGR over 3 years. Investigate whether closures are franchisor-driven (consolidation) or franchisee-driven (economics).
Item 1 · who you're contracting with
The Franchisor
- Legal entity
- SNAP FITNESS, INC.
- Parent company
- Lift Brands, Inc.
- Incorporated in
- MN
- HQ
- 2411 Galpin Court, Suite 110, Chanhassen, MN 55317
- Auditor
- Deloitte & Touche LLP
- Audited financials
- Franchisor revenue
- $51K
- vs $53K prior year
Overview
About
Snap Fitness franchisees operate 24/7 automated fitness centers offering gym memberships, equipment access, and fitness services to local markets. Day-to-day operations include member management, facility maintenance, equipment servicing, staff scheduling, marketing, and revenue collection through membership dues and ancillary services.
- CEO
- Ty Menzies
- Headquarters
- MN
- Founded
- 2003
- FDD year
- 2025
- States available
- 47
FDD Item 7 · 2025 filing
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $40K | $40K |
| Working capital (3–6 mo) | $25K | $50K |
| Equipment, build-out, other | $366K | $1.0M |
| Total initial investment | $431K | $1.1M |
Source: SNAP FITNESS 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
$73K
29.0% margin
Unlevered ROIC
9%
EBITDA / total invested capital
Payback
11.2 yrs
cash-on-cash, unlevered
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $431K – $1.1M
- Below avg, review vs category
- Liquid capital req'd
- $25K – $50K
- Near category avg vs category
- Franchise fee
- $35K – $40K
- Better than avg vs category
- Royalty
- $700 per month
- Ad fund
- $500 per month
- Payback period
- 8.7 yrs
- From FDD / Item 19
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Technology fee | $400 |
| Transfer fee | $40K |
| Renewal fee | $0 |
Financial Performance
- Avg gross sales
- $250K
- Per unit, per year
- Median gross sales
- $215K
- Avg p&l bottom line
- $89K
- Reported as P&L Bottom Line in FDD Item 19
- Cash-on-cash
- 11.5%
- Based on P&L Bottom Line / investment midpoint
- Item 19 type
- Profit and Loss
- Sample size
- 479 units
- vs category median 11 · large
- Range (low → high)
- $49K→$1.4M
- Cohort dispersion (min → max)
- Transparency
- 10 / 5
- vs category median 4 / 5 · above
Compared against 180 Health & Fitness brands
Revenue is only 0.3x the investment. This means each unit may take 5+ years to recoup the initial outlay at typical margins.
vs Health & Fitness averages
How Snap Fitness Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 493
- Opened
- 6
- Last reporting year
- Closed
- 11
- Turnover rate
- 2.2%
- Company-owned
- 9
- Corporate units in the system
- % franchised
- 98%
- vs corporate-owned
- Net growth (yr3)
- -5.1%
- Net unit change last year
- 3-yr CAGR
- -11.5%
- Compounded over last 3 years
3-year detail · Item 20
- Transfers (3yr)
- 31
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 46 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.
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA 7(a) and 504 loan disclosures, public data unique to FranchiseVerdict.
- Total loans
- 265
- Loan volume
- $44.6M
- Median loan
- $150K
- 50th percentile
- Charge-off rate
- 11.6%
- rates vary by category · see methodology
Historical SBA 7(a) lending data, not predictive of future performance. How SBA charge-off rates are calculated
- Repayment rate (PIF)
- 88.4%
- 5-yr charge-off
- 0.0%
- Loans approved 2021+
- Active lenders
- 124
- Defaults
- 26
Vintage analysis
Snap Fitness charge-off rate by loan vintage
Explore lender portfolios on Bank Reports or regional data on State Reports.
Premium insight
SBA Lending Report
Deep-dive into Snap Fitness's SBA lending history: lender network, geographic footprint, interest rates, and more.
SBA Lending Report
- Principal loss rate and NAICS industry benchmark
- 10 lenders with concentration factor
- Per-state charge-off rates across 15 states
- Startup risk premium and job creation velocity
- 22-year lending trend
- SBA 504 real estate/equipment data
Instant access. No subscription.
Risk analysis
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
Snap Fitness presents high risk due to contracting unit base (-5.1% YoY), extensive litigation spanning contract breaches to class actions, modest net margins (35.7%), and lack of transparent financial performance data.
Audited financials (Item 21)
Yes · Deloitte & Touche LLP
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Score breakdown · what drove the 100 / 100 rating
- 01MINORUnit count declining 5.1% YoY (493 units) indicates system contraction and potential market saturation or operational failures
- 02HIGHMultiple active litigation cases involving breach of contract, non-compete violations, unjust enrichment, and class action suits suggest systemic franchisor-franchisee relationship problems
- 03MINORNet income of $89,439 on average revenue of $250,461 (35.7% margin) is modest for a fitness franchise requiring $430K-$1.1M investment with high operational overhead
- 04MINORRecurring monthly royalty of $700 combined with declining unit economics creates cash flow pressure in declining revenue environment
- 05MEDNo Item 19 (Financial Performance Representations) disclosed limits ability to validate franchisor's revenue/profitability claims
- 06HIGHMultiple litigation themes (management software disputes, enhancement fees, non-competes) indicate franchisor may impose undisclosed costs and restrict franchisee autonomy
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 |
| 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 |
| Mandatory arbitration | Yes |
| Jury trial waiver | Yes |
| Governing law | Minnesota |
| Litigation count | 9 |
Items 10, 11
Training & Operations
- Classroom training
- 24 hrs
- On-the-job training
- 26 hrs
- POS system
- Glofox
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: Glofox
Item 20 · call current owners
Franchisee Contacts
495 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
SNAP FITNESS · FDD (2025) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a SNAP FITNESS franchise?
The total investment to open a SNAP FITNESS franchise ranges from $431K – $1.1M, 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 SNAP FITNESS franchise owners earn?
According to Item 19 of the SNAP FITNESS FDD, the average gross sales per unit is $250K. The median is $215K. Note: this is gross revenue, not profit. Actual owner earnings vary based on location, operating costs, and management.
What is SNAP FITNESS's franchise failure rate?
Based on SBA 7(a) loan data, SNAP FITNESS has a charge-off rate of 11.6% across 265 loans, meaning 11.6% of franchise loans were charged off. Charge-off rates are one proxy for franchise risk, though they do not capture all closures. This data comes from FOIA-sourced SBA lending records.
How many SNAP FITNESS franchise locations are there?
As of their most recent FDD filing, SNAP FITNESS has 493 total units in the United States, including 547 franchised units and 9 company-owned units. 6 new units were opened in the latest reporting year.
Is SNAP FITNESS a good franchise to buy?
FranchiseVerdict rates SNAP FITNESS as a F-grade franchise with a risk score of 100 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.
For franchisors
Are you the franchisor?
If you represent SNAP FITNESS, you can request corrections or provide updated information.
Claim this brandOther Health & Fitness franchises
Compare similar franchise opportunities in the Health & Fitness 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.