Bottom line
- Total investment $193K – $728K including a $35K franchise fee, 5.0% ongoing royalty.
- No Item 19 financial performance data disclosed — the franchisor chose not to publish revenue figures.
- Rated AVOID with a risk score of 79/100.
- No 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
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 Sweatheory unit return on the cash you put in?
Unlevered ROIC · per unit
48%
In Yale's "attractive" band (30–60%)
Overview
About
Sweatheory appears to be a fitness/wellness franchise (likely boutique studio or personal training focused on theory-based conditioning). Franchisees operate branded locations, manage membership/class scheduling, hire fitness staff, and handle day-to-day studio operations while remitting 5% of gross revenue to the franchisor.
Item 7 · what it costs
The Vitals
Item 19
Financial Performance
This franchisor did not disclose financial performance representations in Item 19, or our extractor could not parse them.
Item 20 · unit dynamics
The Growth Chart
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 17 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.
No SBA loan data available for this brand.
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
Sweatheory presents HIGH RISK due to undisclosed financials, minimal unit count, franchisor going concern issues, and inability to validate franchisee returns—classic hallmarks of an unproven or struggling franchise system.
Score breakdown · what drove the 79 / 100 rating
- 01MINOROnly 2 units in system with unknown growth trajectory suggests nascent/stalling franchise
- 02MEDNo disclosed average revenue or net income (Item 19 absent) prevents ROI validation
- 03MINORWide investment range ($192.5K–$728K) indicates unclear unit economics or high variability
- 04HIGHGoing concern status is FALSE, suggesting financial instability at franchisor level
- 05MED5% royalty on undisclosed revenue makes it impossible to model franchisee profitability
- 06MINORMinimal franchisee base (2 units) prevents meaningful performance validation or peer comparison
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
19 numbers
One-time purchase · CSV download · Validation questions included
FDD download
Sweatheory · FDD (2022) PDF