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FranchiseVerdict

How Much Does a Ufc Gym Franchise Cost?

Data from the 2023 Franchise Disclosure Document

Investment Summary

Total Investment

$209K – $5.0M

Franchise Fee

$30K

Royalty

6.0%

Ad Fund

2.0%

Cost Breakdown

Initial Franchise Fee

The initial franchise fee for Ufc Gym is $30K. This one-time payment covers the right to operate under the brand, access to proprietary systems, and initial training programs.

Total Investment Range

Opening a Ufc Gym franchise requires a total investment of $209K – $5.0M. This range typically includes real estate or leasehold improvements, equipment and fixtures, initial inventory, signage, insurance, and working capital to sustain operations during the ramp-up period.

Working capital alone ranges from $18K to $700K.

Ongoing Costs

Beyond the initial investment, Ufc Gym franchisees pay ongoing fees. The royalty fee is 6.0% of gross sales (Gross Revenues). The advertising or brand fund contribution is 2.0% of gross sales. There is also a technology fee of $1K.

Net Worth & Liquid Capital Requirements

Ufc Gym requires working capital of $18K – $700K to cover initial operating expenses. This is the liquid cash you should have available beyond the franchise fee and buildout costs.

What Can You Earn?

According to Ufc Gym's Item 19 financial performance representation:

$3.7MAvg. Gross Sales

Median gross sales: $3.6M

This figure comes from Item 19 of the FDD. Gross sales are not the same as take-home profit. After deducting royalties, ad fund fees, rent, labor, and COGS, net income is typically a fraction of gross revenue.

How Do Banks View Ufc Gym?

SBA Loans Issued

25

Default Rate

38.1%

The SBA (Small Business Administration) tracks loan performance for franchise brands. Ufc Gym has 25 SBA-backed loans on record. The default rate is 38.1%, which is above the franchise industry average, suggesting higher lending risk. A lower default rate generally indicates that lenders view the franchise as a safer investment, though past performance does not guarantee future results.

Next Steps

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