Bottom line
- Total investment $63K – $349K including a $40K franchise fee.
- No Item 19 financial performance data disclosed — the franchisor chose not to publish revenue figures.
- Rated STRONG with a risk score of 54/100. SBA loan default rate of 0.0% across 20 loans (below the industry average).
- Auditor disclosed a going-concern note — flagged doubt about the franchisor's ability to continue operations. Verify against the latest FDD.
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 THE MAX CHALLENGE unit return on the cash you put in?
Unlevered ROIC · per unit
92%
Above typical band (30–60%)
Overview
About
THE MAX CHALLENGE franchisees operate boutique fitness studios offering group workout classes (likely HIIT, strength, or circuit-based training). Day-to-day operations include class scheduling, instructor management, member retention programs, facility maintenance, and marketing to acquire and retain gym memberships in their protected territory.
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 · 13 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
Declining unit growth, missing financial performance data, and opaque profitability metrics create meaningful uncertainty about franchisee earnings potential and system health.
Score breakdown · what drove the 54 / 100 rating
- 01MINORDeclining unit count (-2.9% YoY) suggests system contraction and potential market saturation or franchisee struggles
- 02MINORNo average revenue or net income disclosure (Item 19) prevents realistic ROI assessment and profitability validation
- 03MINORWide investment range ($63K-$349K) indicates inconsistent startup costs and unclear capital requirements
- 04MINORRoyalty structure with monthly minimum fee may create cash flow pressure for lower-volume locations
- 05MED36 total units is relatively small system with limited scale and brand recognition in competitive fitness market
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
49 numbers
One-time purchase · CSV download · Validation questions included
FDD download
THE MAX CHALLENGE · FDD (2025) PDF