Bottom line
- Total investment $496K – $796K including a $60K franchise fee, 6.0% ongoing royalty.
- Average unit revenue of $1.1M/year (median $1.1M). Estimated payback in 2.7 years.
- Rated STRONG with a risk score of 44/100. SBA loan default rate of 0.0% across 67 loans (below the industry average).
Item 1 · who you're contracting with
The Franchisor
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 Spavia unit return on the cash you put in?
Unlevered ROIC · per unit
37%
In Yale's "attractive" band (30–60%)
Levered LBO scenario · Yale Crease Capital framing
What would 25 Spavia units return on equity?
Equity IRR · 5-yr
31.5%
3.93× MOIC
Year-1 DSCR
2.56×
EBITDA ÷ debt service
Equity required
$7.2M
on $17.4M purchase
Total debt
$10.2M
SBA $5.0M + senior + seller note
Overview
About
Spavia franchisees operate upscale spa and wellness centers offering massage therapy, facials, body treatments, and related services. Day-to-day operations involve managing licensed therapists, scheduling appointments, maintaining facility standards, and delivering personalized client experiences in a relaxation-focused environment.
Item 7 · what it costs
The Vitals
Item 19
Financial Performance
Item 20 · unit dynamics
The Growth Chart
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 23 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 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.
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
Spavia presents moderate-to-cautious risk due to absence of Item 19 financial substantiation, slow unit growth, high capital requirements relative to claimed returns, and ambiguous going concern status.
Score breakdown · what drove the 44 / 100 rating
- 01MEDNo Item 19 (Financial Performance Representations) disclosed — unable to verify claimed average revenue of $1.08M and net income of $236K
- 02MEDModest unit growth of 7.3% YoY with only 59 locations suggests limited brand momentum or market saturation
- 03MINORHigh initial investment ($496K–$796K) paired with 6% royalty creates significant break-even pressure; net income of $236K leaves thin margin for error
- 04HIGHGoing Concern status is FALSE — unclear if this indicates franchisor stability concerns or is a data error; requires immediate clarification
- 05HIGHNo litigation disclosed is positive, but combined with lack of financial transparency raises questions about disclosure completeness
Severity inferred from the FDD text · not a regulatory classification
FDD Items 5, 6, 12, 17 · continued from Risk & Legal
Contract & Territory Detail
Item 11
Training & Operations
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
51 numbers
One-time purchase · CSV download · Validation questions included
FDD download
Spavia · FDD (2025) PDF