Ufc Gym Franchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
Analysis by FranchiseVerdict Research · Methodology
UFC GYM is a fitness franchise offering mixed-martial-arts training, group classes, strength and conditioning, and personal training. Franchisees run gyms built on memberships and coaching, licensing the UFC brand.
FranchiseVerdict summary · 2026
A UFC GYM franchise requires a total initial investment of $1.1M – $5.0M, including a $30K – $50K franchise fee and an ongoing 6.0% royalty[2]. The 2023 FDD does not disclose unit-level revenue (no Item 19). SBA 7(a) loans show a 38.1% charge-off rate across 31 loans[1]. FranchiseVerdict grade: D (Below average), an editorial assessment, not investment advice. Run a live ROI scan →
Data last verified · figures per the 2023 FDD issuance
Overview
- Investment
- $1.1M – $5.0M
- 94th pct Health & Fitn…
- Avg gross sales
- N/A
- Company-owned only
- Royalty
- 6.0%
- 10th pct Health & Fitn…
- Units
- 81
- 77th pct Health & Fitn…
- SBA charge-off
- 38.1%
- % of SBA 7(a) loans not repaid · median varies by category
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 $1.1M – $5.0M including a $50K franchise fee, 6.0% ongoing royalty.
- RETURNSItem 19's figures cover fourteen AFFILIATE-owned gyms and report FY2022 inside a 2023 FDD (printed p.58). The one franchisee table covers only eight gyms operated under a management services agreement with the franchisor, so no independent franchisee average is disclosed.
- RISKVerdict D (Below average), verdict score 34/100 (higher is better). SBA loan charge-off rate of 38.1% across 31 loans (well above the 16% franchise average, based on all SBA 7(a) franchise lending, 2010–2025).
- DECLINESystem contracting at -15.3% CAGR over 3 years. Investigate whether closures are franchisor-driven (consolidation) or franchisee-driven (economics).
Item 1 · who you're contracting with
The Franchisor
Corporate structure & franchisor financials
- Legal entity
- UG Franchise Operations, LLC
- Parent company
- Ultimate NeV, LLC
- Predecessor
- LA Boxing
- Prior franchisor entity
- CEO title
- CEO and President
- Adam Sedlack
- Incorporated in
- CA
- HQ
- 1501 Quail Street, Suite 100, Newport Beach, CA 92660
- Auditor
- Baker Tilly US, LLP
- Audited financials
- Franchisor revenue
- $9.4M
- vs $9.9M prior year
Overview
About
- CEO
- Adam Sedlack
- Headquarters
- CA
- Founded
- 2004
- FDD year
- 2023
- States available
- 17
Can you afford it, and what does the money buy?
Entry cost runs 433% above 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 | $50K | $50K |
| Working capital (3–6 mo) | $275K | $700K |
| Equipment, build-out, other | $794K | $4.2M |
| Total initial investment | $1.1M | $5.0M |
Source: UFC GYM 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
- $1.1M – $5.0M
- Bottom third — review vs category
- Liquid capital req'd
- $275K – $700K
- Bottom third — review vs category
- Franchise fee
- $30K – $50K
- Middle of category vs category
- Royalty
- 6.0%
- Gross Revenues · typical 6–8%
- Ad fund
- 2.0%
- typical 3–5%
- Total fee load
- 8.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 6.0% of gross sales |
| Marketing / ad fund | 2.0% of gross sales |
| Technology fee | $1K |
| Transfer fee | $25K |
| Renewal fee | $50 |
| Total fee load | 8.0% of rev |
What do units actually make?
Source: FDD 2023 · Item 19
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
UFC GYM 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 UFC GYM unit return on the cash you put in?
Unlevered ROIC · per unit
Estimated return on your total franchise investment, before any debt financing.
6%
Below 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's figures cover fourteen AFFILIATE-owned gyms and report FY2022 inside a 2023 FDD (printed p.58). The one franchisee table covers only eight gyms operated under a management services agreement with the franchisor, so no independent franchisee average is disclosed.
Company-owned outlets only - not franchisee performance
- Item 19 type
- historical dues revenue by store, two segments (corporate vs franchisee-owned Signature/FIT), 2021-2022 measurement period
- Sample size
- 14 outlets
- vs category median 12
- Range (low → high)
- $2.4M→$5.5M
- Cohort dispersion (min → max)
- Reporting year
- 2022
- Fiscal year the figures cover
- Source filing
- FDD 2023
- Disclosed in the 2023 filing, covering 2022
- 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 8.0% (near the Health & Fitness average).
Disclosure
Item 19 reports historical dues revenue by store, two segments (corporate vs franchisee-owned Signature/FIT), 2021-2022 measurement period rather than annual gross sales, so unit revenue is not directly comparable.
Operator retention
System contracting at -15.3% CAGR over 3 years. Investigate whether closures are franchisor-driven consolidation or franchisee exits.
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 Ufc Gym Compares
Is the system healthy?
Source: FDD 2023 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 81
- Opened
- 13
- Last reporting year
- Closed
- 17
- Terminated
- 3
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 0
- Term expired, not renewed (per Item 20)
- Turnover rate
- 6.6%
- Company-owned
- 20
- Corporate units in the system
- % franchised
- 75%
- vs corporate-owned
- Net growth (3-yr)
- -15.3%
- Net unit change over 3 years
- 3-yr CAGR
- -15.3%
- Compounded over last 3 years
3-year detail · Item 20
- Closed (3yr)
- 4
- Transfers (3yr)
- 2
- Transfer rate
- 2.5%
- Owners selling to other franchisees
- Termination rate
- 3.7%
- Franchisor-initiated terminations
- Ceased ops
- 22.2%
- Units that stopped operating
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 18 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.
A system losing more than 10% of its units year-over-year is a red flag. Check whether closures are concentrated in specific regions.
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA 7(a) and 504 loan disclosures, public data unique to FranchiseVerdict.
- Total loans
- 31
- Loan volume
- $17.4M
- Median loan
- $350K
- 50th percentile
- Charge-off rate
- 38.1%
- 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)
- 61.9%
- 5-yr charge-off
- 50.0%
- Loans approved 2021+
- Active lenders
- 23
- Defaults
- 8
- Typical loan rate
- 6.5%
- avg rate to borrowers
- Franchised industry avg
- 15.8%
- brand above franchise avg ↑
- Jobs supported
- 340
- 2.3 per loan
- Lender concentration
- 8%
- top lender's share
Borrower mix: 89% went to startups / new businesses, 11% 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.
Vintage analysis
Ufc Gym charge-off rate by loan vintage
Top lenders financing Ufc Gym franchisees
Showing 3 of 23 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 Ufc Gym'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 14 states
- Startup risk premium and job creation velocity
- 9-year lending trend
Instant access. No subscription.
A 38.1% charge-off rate means roughly 1 in 3 franchisees failed to repay their SBA loan. Investigate what changed.
What could kill this investment?
SBA loans charge off at 38.1% — 138% above the 16.0% national norm, i.e. higher lender-observed risk.
Source: SBA 7(a) FOIA · FDD Items 3, 21
Risk analysis
FranchiseVerdict rating + FDD Items 3, 4, 8, 16, 21
Risk & Legal
Three settled cases including former-franchisee fraud/breach claims settled at $275,000 and $125,000. Strong financials ($16.99M net worth, $2.62M net income, $3.75M avg gross sales) offset legal exposure, but system contracted sharply (-15.3% net growth, 81 to fewer units). Item 19 disclosed.
Litigation (Item 3)
Three cases: (1) Jeffrey Mathews et al v. UG Franchise Operations, LLC - fraud, DTPA violation, breach of contract, unfair competition - settled $275,000; (2) James Biggs v. UG Franchise Operations, LLC - breach of contract, rescission, declaratory relief - settled $125,000; (3) UG Franchise Operations, LLC v. Frank Carranza - declaratory judgment with counterclaim for fraud and unfair trade practices - settled $30,000
Largest disclosed settlement: $275,000
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Baker Tilly US, 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: No
- Must buy proprietary products: Yes
- Restricted to system-approved products: Yes
- Can negotiate own supplier terms: No
Score breakdown · what drove the 34 / 100 verdict
- 01HIGHThree settled cases including franchisee fraud claims ($275K, $125K)
- 02MINORSystem contraction: -15.3% net growth
- 03MEDMitigant: strong financials, $16.99M net worth, $2.62M net income, Item 19 disclosed
Severity inferred from the FDD text · not a regulatory classification
What are you signing up for?
Ongoing fees run about 8.0% 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 | Radius |
| Protected territory | Yes |
| Exclusive territoryℹ | No |
| Online sales rightsℹ | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Optional |
| Non-compete (years)ℹ | 1 year |
| Right of first refusalℹ | Yes |
| Termination notice | 30 days |
| Mandatory arbitration | Yes |
| Jury trial waiver | Yes |
| Governing law | California |
| Litigation count | 3 |
View Item 3 litigation summary
Three cases: (1) Jeffrey Mathews et al v. UG Franchise Operations, LLC - fraud, DTPA violation, breach of contract, unfair competition - settled $275,000; (2) James Biggs v. UG Franchise Operations, LLC - breach of contract, rescission, declaratory relief - settled $125,000; (3) UG Franchise Operations, LLC v. Frank Carranza - declaratory judgment with counterclaim for fraud and unfair trade practices - settled $30,000
Items 10, 11
Training & Operations
- Classroom training
- 22 hrs
- On-the-job training
- 71 hrs
- Training location
- On-site and corporate
- Ongoing training
- Required
- Time to open
- 9 mo
- From signing to launch
- POS system
- Gym Management System and POS
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: Gym Management System and POS
Item 20 · call current owners
Franchisee Contacts
79 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
UFC GYM · FDD (2023) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a UFC GYM franchise?
The total investment to open a UFC GYM franchise ranges from $1.1M – $5.0M, with an initial franchise fee of $50K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do UFC GYM franchise owners earn?
UFC GYM 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 UFC GYM 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 UFC GYM FDD and qualifies whose outlets they describe.
What is UFC GYM's franchise failure rate?
Based on SBA 7(a) loan data, UFC GYM has a charge-off rate of 38.1% across 31 loans, meaning 38.1% 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 UFC GYM franchise locations are there?
As of their most recent FDD filing, UFC GYM has 81 total units in the United States, including 61 franchised units and 20 company-owned units. 13 new units were opened in the latest reporting year.
Is UFC GYM a good franchise to buy?
FranchiseVerdict rates UFC GYM as a D-grade franchise with a verdict score of 34 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
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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.