Stride Franchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
Analysis by FranchiseVerdict Research · Methodology
Stride is a boutique fitness franchise offering coach-led group classes combining treadmill cardio, strength training, and recovery. Franchisees run the studios, managing coaches, class scheduling, and memberships.
FranchiseVerdict summary · 2026
A Stride franchise requires a total initial investment of $380K – $555K, including a $60K franchise fee and an ongoing 7.0% royalty[2]. The 2023 FDD does not disclose unit-level revenue (no Item 19). FranchiseVerdict grade: B (Above average), an editorial assessment, not investment advice. Run a live ROI scan →
Data last verified · figures per the 2023 FDD issuance
Overview
- Investment
- $380K – $555K
- 70th pct Health & Fitn…
- Avg gross sales
- N/A
- Outlet subset
- Royalty
- 7.0%
- 30th pct Health & Fitn…
- Units
- 18
- 49th 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 $380K – $555K including a $60K franchise fee, 7.0% ongoing royalty.
- RETURNSItem 19 discloses average monthly Gross Revenue per Studio (not per-job/per-customer metric); Gross Revenue defined differently than "Gross Sales" under the Franchise Agreement (royalty base).
- RISKVerdict B (Above average), verdict score 50/100 (higher is better).
- DATAItem 19 reports historical average rather than annual gross sales, so unit revenue is not directly comparable. Ask franchisees directly for full unit-level revenue.
Item 1 · who you're contracting with
The Franchisor
Corporate structure & franchisor financials
- Legal entity
- Stride Franchise SPV, LLC
- Parent company
- XPOF Assetco, LLC
- Ultimate parent
- Xponential Fitness, Inc. (NYSE: XPOF)
- Predecessor
- Stride Franchise, LLC
- Prior franchisor entity
- CEO title
- Brand President
- Jeffrey Stokes
- Incorporated in
- Delaware
- HQ
- 17877 Von Karman Ave., Suite 100, Irvine, CA 92614
- Auditor
- Deloitte & Touche LLP
- Audited financials
- Franchisor revenue
- $4.1M
- Most recent fiscal year
Overview
About
- CEO
- Jeffrey Stokes
- Headquarters
- CA
- FDD year
- 2023
- States available
- 9
Can you afford it, and what does the money buy?
Entry cost runs 19% below the typical health & fitness franchise.
Source: FDD 2023 · Items 5–7
FDD Item 7 · 2023 filing
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $60K | $60K |
| Working capital (3–6 mo) | $10K | $40K |
| Equipment, build-out, other | $310K | $455K |
| Total initial investment | $380K | $555K |
Source: Stride 2023 FDD, Items 5 and 7[2]. “Equipment, build-out, other” is computed as total minus disclosed line items above.
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $380K – $555K
- Bottom third — review vs category
- Liquid capital req'd
- $10K – $40K
- Top 40% of category vs category
- Franchise fee
- $60K – $60K
- Bottom third — review vs category
- Royalty
- 7.0%
- percentage · typical 6–8%
- Ad fund
- 2.0%
- typical 3–5%
- Total fee load
- 9.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 7.0% of gross sales |
| Marketing / ad fund | 2.0% of gross sales |
| Technology fee | $299 |
| Transfer fee | $10K |
| Renewal fee | $10K |
| Inventory (initial) | $12K – $12K |
| Total fee load | 9.0% of rev |
What do units actually make?
Source: FDD 2023 · Item 19
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
Stride 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 Stride unit return on the cash you put in?
Unlevered ROIC · per unit
Estimated return on your total franchise investment, before any debt financing.
44%
Within the 30–60% "attractive franchise" band
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: 2023 FDD
Financial Performance
Item 19 discloses average monthly Gross Revenue per Studio (not per-job/per-customer metric); Gross Revenue defined differently than "Gross Sales" under the Franchise Agreement (royalty base).
Reported for a subset of outlets rather than the whole system
- Item 19 type
- historical average
- Sample size
- 11
- vs category median 12
- Reporting year
- 2023
- Fiscal year the figures cover
- Source filing
- FDD 2023
- The FDD edition these figures were read from
- Transparency
- 4 / 10
- vs category median 4 / 10 · typical
Compared against 173 Health & Fitness brands
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 9.0% (near the Health & Fitness average).
Disclosure
Item 19 reports historical average rather than annual gross sales, so unit revenue is not directly comparable.
Operator retention
System expanding at 466.7% CAGR over 3 years across 18 units — operators are staying and new ones are joining.
Multi-unit rate
Only 5% of franchisees own multiple units. Could indicate challenging economics or a young system where operators haven't had time to expand.
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 Stride Compares
Is the system healthy?
Source: FDD 2023 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 18
- Opened
- 8
- 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
- 1
- Corporate units in the system
- % franchised
- 94%
- vs corporate-owned
- Multi-unit owners
- 5.0%
- Net growth (3-yr)
- Outlier (see FDD)
- Likely small-sample artifact
- 3-yr CAGR
- Outlier (see FDD)
- Likely small-sample artifact
3-year detail · Item 20
- Opened (3yr)
- 8
- Closed (3yr)
- 0
- Terminated (3yr)
- 0
- Non-renewed (3yr)
- 0
- Transfers (3yr)
- 2
- Reacquired (3yr)
- 1
- Franchisor bought back
- Projected new
- 7
- Franchisor's next-year forecast
- Transfer rate
- 11.1%
- Owners selling to other franchisees
- Ceased ops
- 5.6%
- Units that stopped operating
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 10 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.
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.
- Total loans
- 12
- Loan volume
- $5.4M
- Median loan
- $460K
- 50th percentile
- Charge-off rate
- N/A
- no resolved loans yet — rate needs a terminal outcome
Historical SBA 7(a) lending data, not predictive of future performance. How SBA charge-off rates are calculated
- Repayment rate (PIF)
- N/A
- 5-yr charge-off
- N/A
- Loans approved 2021+
- Active lenders
- 9
- Defaults
- 1
- Typical loan rate
- 6.0%
- avg rate to borrowers
- Franchised industry avg
- 15.8%
- n=7,965 loans
- Jobs supported
- 149
- 4.3 per loan
- Lender concentration
- 22%
- top lender's share
Borrower mix: 100% went to startups / new businesses, 0% to established operators
Franchise vs independent — in fitness and recreational sports centers, franchised businesses charge off at 15.8% vs 18.2% for independents — franchising is associated with 13% lower SBA default risk in this category.
Top lenders financing Stride franchisees
Showing 3 of 9 lenders. The full breakdown — every lender, state distribution, interest rates & risk ratings — is in the SBA Lending Report below.
Explore lender portfolios on Bank Reports or regional data on State Reports.
Premium insight
SBA Lending Report
Deep-dive into Stride's SBA lending history: lender network, geographic footprint, interest rates, and more.
SBA Lending Report
- Principal loss rate and NAICS industry benchmark
- 7 lenders with concentration factor
- Per-state charge-off rates across 5 states
- Startup risk premium and job creation velocity
- 3-year lending trend
Instant access. No subscription.
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
Stride is a micro-system with undisclosed profitability, potential franchisor financial distress, and insufficient unit density to validate the business model.
Litigation (Item 3)
No litigation disclosed.
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Deloitte & Touche LLP
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Supplier relationship · Items 8 & 16
- Franchisor sells you products: Yes
- Kickbacks from required suppliers: Yes
- Must buy proprietary products: Yes
- Restricted to system-approved products: Yes
- Can negotiate own supplier terms: Yes
Score breakdown · what drove the 50 / 100 verdict
- 01MEDNo Item 19 (Average Net Income) disclosed — impossible to assess true profitability against $379k-$554k investment
- 02HIGHGoing Concern status is False — suggests franchisor financial instability or regulatory issues
- 03MINOROnly 18 units system-wide with 70% YoY growth appears inflated from very small base (likely 10-11 units prior year)
- 04MINORHigh royalty rate (7%) on modest average revenue ($309k) creates thin margin risk
- 05MINORFranchise fee ($60k) represents 15.8-18% of total investment — typical is 10-12%
- 06MINORAverage revenue of $309k with unknown profitability makes ROI calculation impossible
Severity inferred from the FDD text · not a regulatory classification
What are you signing up for?
Ongoing fees run about 9.0% of sales (royalty + ad fund), before rent and labor.
Source: FDD 2023 · Items 11, 12, 17
FDD Items 12, 15, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 10 years |
|---|---|
| Renewal term | 5 years |
| Allowed renewalsℹ | 2 |
| Territory type | protected |
| Protected territory | Yes |
| Exclusive territoryℹ | No |
| Territory radius | 2 mi |
| Territory population | 50,000 |
| Online sales rightsℹ | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Optional |
| Non-compete (years)ℹ | 2 years |
| Non-compete (miles)ℹ | 10 mi |
| Right of first refusalℹ | Yes |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Termination groundsℹ | 20 |
| Curable defaultsℹ | 11 |
| Mandatory arbitration | Yes |
| Arbitration location | Irvine, California (franchisor's then-current principal place of business) |
| Jury trial waiver | Yes |
| Governing law | California |
| Litigation count | 0 |
View Item 3 litigation summary
No litigation disclosed.
Items 10, 11
Training & Operations
- Classroom training
- 22 hrs
- On-the-job training
- 1 hrs
- Training location
- Franchisor's corporate headquarters, Irvine, CA
- Ongoing training
- Required
- Time to open
- 6 mo
- From signing to launch
- Site selection
- franchisee proposes, franchisor approves
- Franchisor financing
- Not offered
- Item 10
- POS system
- Club Ready
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: Club Ready
Item 20 · call current owners
Franchisee Contacts
18 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
Stride · FDD (2023) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Stride franchise?
The total investment to open a Stride franchise ranges from $380K – $555K, with an initial franchise fee of $60K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do Stride franchise owners earn?
Stride 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 Stride 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 Stride FDD and qualifies whose outlets they describe.
What is Stride's franchise failure rate?
SBA 7(a) loan charge-off data is not available for Stride (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 Stride franchise locations are there?
As of their most recent FDD filing, Stride has 18 total units in the United States, including 17 franchised units and 1 company-owned units. 8 new units were opened in the latest reporting year.
Is Stride a good franchise to buy?
FranchiseVerdict rates Stride as a B-grade franchise with a verdict score of 50 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 Stride, 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.