IMPACT-X Performance

The royalty rate of 5.5% is below the typical 6.0-7.5% range for fitness franchises—what accounts for this lower rate compared to competitors?

With a transfer rate of 14.3%, significantly above the typical range of 0.0-5.93%, what are the primary reasons franchisees are transferring ownership rather than renewing?

Sales performance metrics show average gross sales of $364,128 below the typical range of $386,914-$796,352—what is the breakdown of sales by unit, and are there units significantly underperforming?

The initial term is 7 years, which is shorter than the typical 10-year range—what is the rationale for this shorter initial commitment period?

With 25 termination causes listed in the agreement, above the typical 15-21 range, what are the most frequently cited reasons for franchise termination in practice?

The agreement includes 10 renewal conditions, above the typical 7-9 range—what are the most challenging or costly conditions for franchisees to meet upon renewal?

Has the franchisor identified any patterns explaining why the transferred unit changed hands, and what support was provided to the new owner?

The agreement requires binding arbitration in Bradford County, Pennsylvania—what is the average cost and timeline for franchisees who have pursued arbitration disputes?

The $7,500 renewal fee applies to a 7-year renewal—are there other renewal-related costs such as required renovations or system updates that typically apply?

With 6 categories of supplier relationships controlled by the franchisor, including potential affiliate relationships, what is the typical markup or margin impact on franchisees from these mandatory vendor arrangements?

Given the non-compete covers any existing franchise location within 25 miles, how is this enforced if the franchisor continues to expand into a former franchisee's territory?

The personal guarantee covers 'all monetary obligations' under this and any other franchisor agreements—what other agreements commonly exist and what additional financial exposure do franchisees face?

Can you provide the Item 19 financial performance data, including the number of reporting units, median sales figures, and profitability metrics by unit age?

What specific support and training services are provided that scored 100/100 (above the typical 82-93 range), and are there additional costs associated with these services?

Since this is a young franchise system (7 current units), what is the franchisor's unit growth plan for the next 5 years, and how is territory allocation managed?

The system shows zero litigation history—has the franchisor had any regulatory actions, complaints to state franchise regulators, or resolved disputes outside of litigation?

Of the 1 transferred unit in 2024, was this due to franchisee choice, franchisor facilitation, or other circumstances, and did the original franchisee complete their initial 7-year term?

What is the actual customer acquisition cost and member retention rate, given that average sales of $364,128 is notably below typical fitness franchise performance?

Are there any geographic or demographic patterns in unit performance that explain the sales variance, and how does the franchisor support underperforming locations?

The curable defaults include an 8-type list and non-curable defaults include a 21-type list—can you provide clarification on what constitutes each category and typical enforcement actions taken?