We Rock The Spectrum Kid’s Gym Franchise Cost, Revenue & Review 2026
- Investment
- $163K – $337K
- Disclosed sales
- not disclosed
- SBA charge-off
- 20.7%
- on 66 loans
Data from FDD filing + SBA 7(a) records
Analysis by FranchiseVerdict Research · Methodology
We Rock The Spectrum is a children's-gym franchise offering inclusive, sensory-safe play and movement for kids of all abilities, including those with autism. Franchisees run a facility with sensory equipment, classes, and parties, managing staff and memberships.
FranchiseVerdict summary · 2026
A We Rock The Spectrum Kid’s Gym franchise requires a total initial investment of $163K – $337K, including a $40K – $65K franchise fee and an ongoing 5.0% royalty[2]. This franchisor makes no financial performance representation in Item 19 of its FDD. Item 19 is voluntary under the FTC Franchise Rule, and this filing states that it makes none, so no revenue or earnings figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that. SBA 7(a) loans show a 20.7% charge-off rate across 66 loans[1]. FranchiseVerdict grade: B (Above average), an editorial assessment, not investment advice. Run a live ROI scan →
Sources, dates and evidence
FDD issued: · Data extracted: · Last cited check: · Staleness risk: medium - issued 12 to 24 months ago; a newer filing is likely on file
Evidence: strong✓ Investment (Item 7)✓ Item 19 status✓ Units and owners (Item 20)✓ SBA loan coverage✓ Litigation (Item 3)✓ Financial statements (Item 21)✓ Franchisor identityhow this is scored4 of 5 headline figures on this page cite a page of the filing; the rest are marked “Not cited” beside the figure.
Overview
- Investment
- $163K – $337K
- 28th pct Health & Fitn…
- Avg gross sales
- N/A
- Royalty
- 5.0%
- 2nd pct Health & Fitn…
- Units
- 97
- 78th pct Health & Fitn…
- SBA charge-off
- 20.7%
- % 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 median · 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 $163K – $337K including a $65K franchise fee, 5.0% ongoing royalty.
- RETURNSThis franchisor makes no financial performance representation in Item 19 of its FDD. Item 19 is voluntary under the FTC Franchise Rule, and this filing states that it makes none, so no revenue or earnings figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that.
- RISKVerdict B (Above average), verdict score 56/100 (higher is better). SBA loan charge-off rate of 20.7% across 66 loans (well above the 16% franchise average, based on all SBA 7(a) franchise lending, 2010–2025).
- GROWTHPositive: net +20 franchised outlets in the latest year (22 opened, 2 closed); 49 signed but not yet open (Item 20).
- GROWTHSystem growing at 71.4% CAGR over 3 years with 97 total units. Strong expansion trajectory.
Item 1 · who you're contracting with
The Franchisor
Corporate structure & franchisor financials
- Legal entity
- We Rock The Spectrum, LLC
- CEO title
- Founder and Chief Executive Officer
- Dina Kimmel
- CEO experience
- 2010 yrs
- Years in role or industry
- Founder active
- Yes
- Original founder still leading the business
- Incorporated in
- California
- HQ
- 18816 Ventura Boulevard, Tarzana, California 91356
- Auditor
- DNJ & Associates
- Audited financials
- Franchisor revenue
- $2.9M
- vs $2.5M prior year
- Management churn noted
- Frequent turnover
- Item 2 disclosed frequent executive changes
Affiliated brands
- WRTS
Other brands the franchisor or its parent operates (Item 1).
Overview
About
- CEO
- Dina Kimmel
- Headquarters
- CA
- Founded
- 2013
- FDD year
- 2025
- States available
- 28
Can you afford it, and what does the money buy?
Entry cost runs 36% below the typical health & fitness franchise.
Source: FDD 2025 · Items 5–7
FDD Item 7 · 2025 filing
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $65K | $65K |
| Working capital (3–6 mo) | $15K | $30K |
| Equipment, build-out, other | $83K | $242K |
| Total initial investment | $163K | $337K |
Source: We Rock The Spectrum Kid’s Gym 2025 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
- $163K – $337K
- Top 40% of category vs category
- Liquid capital req'd
- $15K – $30K
- Top 40% of category vs category
- Franchise fee
- $40K – $65K
- Bottom third — review vs category
- Royalty
- 5.0%
- typical 6–8%
- Ad fund
- 0.0%
- typical 3–5%
- Total fee load
- 5.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 5.0% of gross sales |
| Marketing / ad fund | 0.0% |
| Technology fee | $450 |
| Training fee | $250 |
| Transfer fee | $10K |
| Renewal fee | $5K |
| Inventory (initial) | $4K – $4K |
| Total fee load | 5.0% of rev |
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
We Rock The Spectrum Kid’s Gym makes no financial performance representation in Item 19 of its FDD - a voluntary item under the FTC Franchise Rule - so no unit revenue figures are disclosed. The return models need a revenue figure to start from, and the operating costs that turn gross sales into a profit are in no FDD. Enter your own and the calculator runs on your assumptions — nothing here is modelled until you do.
Returns model · single-unit ROIC
What would one We Rock The Spectrum Kid’s Gym unit return on the cash you put in?
Illustrative category typicals — not sourced to any filing, survey or sample. Replace them with figures from franchisee validation calls before you rely on the output.
Unlevered ROIC · per unit
Your modelled return on total invested capital, before any debt financing.
—
An FDD discloses gross sales, not profit. We hold no sourced figure for annual revenue, COGS, labour, rent / occupancy and other operating costs, and will not substitute an assumed one. Enter your own and the model runs on your assumptions.
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: 2025 FDD
Financial Performance
No financial performance representation
This franchisor makes no financial performance representation in Item 19 of its FDD. Item 19 is voluntary under the FTC Franchise Rule, and this filing states that it makes none, so no revenue or earnings figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that.
Item 20 of the FDD lists current and former franchisees; asking them directly is the standard way to fill this gap.
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 5.0% — below the Health & Fitness median of 9.0%.
Disclosure
This franchisor makes no financial performance representation in Item 19 of its FDD. Item 19 is voluntary under the FTC Franchise Rule, and this filing states that it makes none, so no revenue or earnings figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that. Item 20 of the FDD lists current and former franchisees; asking them directly is the standard way to fill this gap.
Operator retention
System expanding at 71.4% CAGR over 3 years across 97 units — operators are staying and new ones are joining.
Multi-unit rate
Only 1% 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 medians
How We Rock The Spectrum Kid’s Gym Compares
Category median of published Health & Fitness brands that report the figure; the middle half spans the 25th to 75th percentile and n counts the brands behind it. Medians are used because a few very large systems pull an average far from the typical brand. Revenue is disclosed gross sales, not profit.
Is the system healthy?
Source: FDD 2025 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 97
- Opened
- 22
- Last reporting year
- Closed
- 2
- Terminated
- 2
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 0
- Term expired, not renewed (per Item 20)
- Turnover rate
- 2.1%
- Company-owned
- 1
- Corporate units in the system
- % franchised
- 99%
- vs corporate-owned
- Multi-unit owners
- 1.0%
- Net growth (3-yr)
- +71.4%
- Net unit change over 3 years
- 3-yr CAGR
- +71.4%
- Compounded over last 3 years
Last fiscal year · Item 20 exits and transfers
- Terminated
- 2
- Not renewed
- 0
- Transferred
- 8
- Reacquired
- 0
- Franchisor bought back
- Signed, not yet open
- 49
- 0.51 per open outlet · Item 20 Table 5
- Projected new
- 26
- Franchisor's next-year forecast
- Transfer rate
- 8.3%
- Owners selling to other franchisees
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 26 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.
Available to sell in · Item 12
- California
- South Dakota
States where the franchisor is registered to sell new franchises (FDD registration filings).
Where the owners are · Item 20 owner list
97 current owners across 26 states.
- FL 13
- TX 10
- CA 8
- TN 8
- NJ 5
- OK 5
- IL 4
- MI 4
- NC 4
- NY 4
- OH 4
- WI 4
- +14 more states
Counts only, from the list the franchisor prints in Item 20. Names and phone numbers are for your own due diligence and are not shown here.
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
- 66
- Loan volume
- $14.7M
- Median loan
- $164K
- 50th percentile
- Charge-off rate
- 20.7%
- on 66 loans · 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)
- 79.3%
- 5-yr charge-off
- 0.0%
- Loans approved 2021+
- Active lenders
- 38
- Defaults
- 6
- Typical loan rate
- 8.1%
- avg rate to borrowers
- vs industry
- N/A
- NAICS 7139
- Jobs supported
- 467
- 3.2 per loan
- Lender concentration
- 21%
- top lender's share
Borrower mix: 87% went to startups / new businesses, 13% to established operators
Vintage analysis
We Rock The Spectrum Kid’s Gym charge-off rate by loan vintage
Top lenders financing We Rock The Spectrum Kid’s Gym franchisees
Showing 3 of 38 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.
Lender network · 7(a) + 504
SBA Lending Report
Full lending analysis for We Rock The Spectrum Kid’s Gym from SBA 7(a) FOIA data.
- Principal loss rate
- 3.9%
- Avg SBA guarantee
- 73%
- Avg interest rate
- 8.14%
- Avg chargeoff amount
- $96K
- Lender concentration
- 21.2%
- Job velocity
- 3.2 per $100K
- Jobs supported
- 467
Top SBA lendersTop lender holds 21% of loans
| # | Lender | Loans | Volume | Default % |
|---|---|---|---|---|
| 1 | 14 | N/A | N/A | |
| 2 | 7 | N/A | N/A | |
| 3 | 3 | N/A | N/A | |
| 4 | 2 | N/A | N/A | |
| 5 | 2 | N/A | N/A |
Geographic failure vector
| State | Loans | Defaults | Rate |
|---|---|---|---|
| TNTennessee | 10 | 0 | 0.0% |
| TXTexas | 8 | 2 | 66.7% |
| CACalifornia | 5 | 1 | 20.0% |
| OHOhio | 5 | 0 | 0.0% |
| NJNew Jersey | 4 | 0 | 0.0% |
| FLFlorida | 3 | 0 | -- |
| INIndiana | 3 | 1 | 33.3% |
| LALouisiana | 3 | 0 | 0.0% |
| COColorado | 2 | 1 | 100.0% |
| GAGeorgia | 2 | 0 | -- |
SBA 7(a) lending trend
Borrower profile
Source: SBA 7(a) + 504 FOIA loan-level data, matched by FranchiseVerdict
A 20.7% charge-off rate means roughly 1 in 5 franchisees failed to repay their SBA loan. Investigate what changed.
What could kill this investment?
SBA loans charge off at 20.7% — 29% 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
Financially healthy: positive net worth $1.4M, net income $423,616 on $2.89M revenue, 97 units with strong 71.4% net growth and low 2.1% turnover. Two disclosed cases are routine (a franchisor-initiated non-compete suit that settled, and a 2018 CA matter). Only concern is no Item 19.
Litigation (Item 3)
Subject: the franchisor is a named party (defendant).
Case 1 (17-cv-03055-RBJ-NYW): We Rock the Spectrum, LLC v. 5 Hearts, LLC et al. in U.S. District Court, District of Colorado, filed December 18, 2017. Franchisor sued franchisee and guarantors for breach of franchise agreement, covenant not to compete, and guarantee. Settled January 31, 2018 with franchise termination, de-identification, and refunds. Case 2 (BC716981): Aleksandr Zeltser and Yelena Zeltser v. We Rock The Spectrum, LLC in Los Angeles Superior Court, filed August 7, 2018. Franchisees sued franchisor for breach of contract and breach of implied covenant of good faith and fair dealing under settlement agreement. Claims paid in full before summary judgment. Motion for attorney fees denied; costs and prejudgment interest awarded to plaintiffs totaling approximately $5,350.87 as of September 9, 2021 with no collection efforts to date.
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · DNJ & Associates
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Item 8: approximately 50% of start-up expenses and 85% of ongoing expenses must be purchased from WRTS Approved Suppliers or per franchisor specifications; Operating Company derived $61,336.66 (15% of its FY2024 revenue) from franchisee purchases of required products/services
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 56 / 100 verdict
- 01MINORNo Item 19 earnings disclosure
- 02HIGHTwo routine litigation matters, both resolved/franchisor-initiated
- 03MINORStrong financials: $423,616 net income, $1.4M net worth, 71.4% growth
Severity inferred from the FDD text · not a regulatory classification
What are you signing up for?
Ongoing fees run about 5.0% of sales (royalty + ad fund), before rent and labor.
Source: FDD 2025 · 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 | Exclusive territory |
| Protected territory | Yes |
| Exclusive territoryℹ | Yes |
| Territory sizeℹ | geographic |
| Online sales rightsℹ | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Required |
| Non-compete (years)ℹ | 2 years |
| Non-compete (miles)ℹ | 20 mi |
| Right of first refusalℹ | Yes |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Curable defaultsℹ | 4 |
| Mandatory arbitration | No |
| Jury trial waiver | Yes |
| Governing law | California |
| Litigation count | 2 |
View Item 3 litigation summary
Case 1 (17-cv-03055-RBJ-NYW): We Rock the Spectrum, LLC v. 5 Hearts, LLC et al. in U.S. District Court, District of Colorado, filed December 18, 2017. Franchisor sued franchisee and guarantors for breach of franchise agreement, covenant not to compete, and guarantee. Settled January 31, 2018 with franchise termination, de-identification, and refunds. Case 2 (BC716981): Aleksandr Zeltser and Yelena Zeltser v. We Rock The Spectrum, LLC in Los Angeles Superior Court, filed August 7, 2018. Franchisees sued franchisor for breach of contract and breach of implied covenant of good faith and fair dealing under settlement agreement. Claims paid in full before summary judgment. Motion for attorney fees denied; costs and prejudgment interest awarded to plaintiffs totaling approximately $5,350.87 as of September 9, 2021 with no collection efforts to date.
Items 10, 11
Training & Operations
- Classroom training
- 0 hrs
- On-the-job training
- 40 hrs
- Training location
- On-site at franchisee location
- Ongoing training
- Required
- Field support
- 56 hrs/yr
- On-site visits per year
- Site selection
- franchisee
- Franchisor financing
- Offered
- Item 10
- POS system
- Mindbody
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: Mindbody
Item 20 · call current owners
Franchisee Contacts
97 owners to call
Name · phone · city · state. Extracted from FDD Item 20
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a We Rock The Spectrum Kid’s Gym franchise?
The total investment to open a We Rock The Spectrum Kid’s Gym franchise ranges from $163K – $337K, with an initial franchise fee of $65K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do We Rock The Spectrum Kid’s Gym franchise owners earn?
We Rock The Spectrum Kid’s Gym makes no financial performance representation in Item 19 of its FDD - a voluntary item under the FTC Franchise Rule - so no unit revenue figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that. Item 20 of the FDD lists current and former franchisees; asking them directly is the standard way to fill this gap.
Who owns We Rock The Spectrum Kid’s Gym?
We Rock The Spectrum Kid’s Gym is franchised by We Rock The Spectrum, LLC. Source: FDD Item 1, 2025 filing.
What is Item 19 in the We Rock The Spectrum Kid’s 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 We Rock The Spectrum Kid’s Gym FDD and qualifies whose outlets they describe.
What is We Rock The Spectrum Kid’s Gym's franchise failure rate?
Based on SBA 7(a) loan data, We Rock The Spectrum Kid’s Gym has a charge-off rate of 20.7% across 66 loans, meaning 20.7% 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 We Rock The Spectrum Kid’s Gym franchise locations are there?
As of their most recent FDD filing, We Rock The Spectrum Kid’s Gym has 97 total units in the United States, including 96 franchised units and 1 company-owned units. 22 new units were opened in the latest reporting year.
Is We Rock The Spectrum Kid’s Gym a good franchise to buy?
FranchiseVerdict rates We Rock The Spectrum Kid’s Gym as a B-grade franchise with a verdict score of 56 out of 100 (higher is better). The grade is a deterministic score built from six weighted dimensions — financial health, unit economics, unit growth, scale, legal, and transparency — then calibrated against SBA loan charge-off rates and FDD age. Transparency is one of the six, so a filing that discloses less scores lower on that dimension than one that discloses more. 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.
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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.