Crunch Fitness

The franchise fee of $35,000 is 12.5% lower than typical for fitness franchises. What specific startup costs or equipment packages are included in this lower fee compared to competitors?

With a royalty rate of 5.0% (1.0-2.5 percentage points below typical), what specific support or services does this rate fund, and are there any planned increases?

The technology fee of $75/month is 62-73% below typical range for fitness franchises. Does this cover all digital platforms, member management systems, and mobile app functionality, or are there additional technology costs?

Gross sales performance ($2.45M median) is 3.4x higher than the typical range for fitness franchises. What specific operational factors or market conditions drive this exceptional performance?

The 40-year total potential contract term exceeds typical ranges by 100%. How many franchisees have actually exercised all 3 renewal options, and what percentage complete their initial 10-year term?

The non-compete clause is only 1 year / 5 miles compared to the typical 2 years / 10-25 miles. Can franchisees open competing fitness concepts after 1 year within 5 miles of their former location?

11 units closed in 2024 versus 7 in 2022, representing a 57% increase. What were the primary reasons for these closures, and were any related to the 2 pending/resolved litigation cases?

Regarding the 2 litigation cases initiated against the franchisor, what were the specific claims, outcomes, and has any settlements or judgments affected franchise operations or policies?

Renewal Conditions Count is 6, below the typical 7-9. What are the specific conditions for renewal, and how frequently are renewals denied or not offered?

The termination clause includes 10 non-curable defaults with some cure periods as short as 48 hours. Can you provide examples of what constitutes a non-curable default versus curable defaults?

Personal guarantees are unlimited in scope covering all franchise obligations. Does this apply equally to all owners, and are there any circumstances where guarantees can be limited or released?

Franchisees must purchase from 5 categories of products (fitness equipment, tanning beds, flooring, etc.) from franchisor or approved suppliers only. What percentage of franchisees' gross revenue typically goes toward mandated purchases?

Has the franchisor established pricing controls on mandated product purchases, and how are pricing disputes between franchisees and approved suppliers resolved?

Transfer Fee is $10,000. What contingencies or franchisor approvals must be satisfied before a unit can be transferred, and what percentage of transfer requests are denied?

With a Transfer Rate of 5.5%, what are the typical reasons franchisees sell or transfer their units, and what is the average resale multiple (sale price relative to initial investment)?

System Health score of 85 is above typical range. Which specific metrics contributed most to this above-average score, and what operational benchmarks should a new franchisee expect to maintain?

Support & Training score of 95 is above typical. What specific training and ongoing support is provided, and are there additional support services or consulting available at extra cost?

How are the 55 net new units in the past year distributed geographically, and are there any territories currently oversaturated or experiencing higher closure rates?

Item 19 financial performance data is provided—how many franchisees are represented in the reported sales figures, and what percentage of franchisees submitted data?

Renewal Fee is $15,000. Are there any other material fee changes upon renewal, and what happens if a franchisee declines renewal but continues operating?