Jazzercise

The franchise fee of $1,250 is significantly lower than typical for fitness franchises ($40,000-$60,000). What does this fee cover, and what additional startup costs should a franchisee expect before opening?

The 20.0% royalty rate is nearly 3 times higher than the typical 6.0-7.5% range for fitness franchises. How is this royalty calculated, and does it include any rebates or incentives for high-performing locations?

The system lost 282 units over 3 years despite zero transfers reported. Can you provide specific reasons for the 1,488 total exits during this period, particularly the 'ceased other' category which accounts for most closures?

With a 7.4% annual exit rate, how does Jazzercise support struggling franchisees, and what intervention strategies exist before a unit closure?

Two litigation cases were filed against the franchisor historically. What were the nature of these cases, and have they been resolved?

The non-compete clause is 0 years and 0 miles, the lowest allowed. Once a franchisee exits, are there any restrictions on operating a competing fitness concept in the same location, and for how long?

The franchise agreement lists 30 termination causes, nearly double the typical range. Can you provide the complete list of termination triggers and explain how 'material breach' is defined and enforced?

With 999 renewal options and a 5,000-year potential term, what are the actual expectations for renewal? How often is renewal denied, and under what circumstances?

The initial term is 5 years versus the typical 10 years. What is the renewal fee (if any), and are renewal terms negotiable or locked at the same royalty rate?

Support and Training scores 73, below the typical range of 82.0-93.0. What specific training and ongoing support does Jazzercise provide to franchisees, and how frequently?

Territory is non-exclusive with no encroachment protection. Could Jazzercise open additional company-owned or franchised locations within my service area?

The franchise lacks Item 19 financial performance data. Can you provide examples of actual franchisee revenues, expenses, and profitability for 1st year, 3rd year, and mature locations?

What percentage of franchisees are profitable by year 2, and what is the average time to break-even?

The 11 renewal conditions are above typical. What specific performance or financial metrics must be met to qualify for renewal, and what happens if conditions aren't met?

With 387 closures in 2024 alone, how many of these were voluntary closures versus involuntary terminations, and what were the primary cited reasons?

Are there any ongoing litigation cases or regulatory investigations involving the franchisor that should be disclosed?