Pure Sweat Studios

What specific circumstances led to the 4 unit closures and 3 terminations in 2024, and were there common operational or market factors?

The technology fee of $125/month is notably below industry standards—what services and support does this fee cover, and are there any planned increases?

With a transfer rate of 9.1% exceeding the typical range of 0.0-5.93%, what are the primary reasons franchisees are transferring their units, and what is the franchisor's approval process?

Can you provide details on the 1 unit transferred in 2025 and whether the new operator retained the location and concept?

The 3-year turnover rate of 40.0% is significantly above the typical range—what retention initiatives has the franchisor implemented to address this?

How many of the current 11 units are profitable, and what percentage of franchisees meet or exceed the average gross sales figure of $509,033?

Given the post-term non-compete clause (2 years, 25 miles), how does the franchisor enforce this, and have there been any disputes?

The franchise agreement requires binding arbitration and waives jury trials—in the event of disputes, what have been typical resolution timelines and outcomes?

What are the 8 renewal conditions referenced in the agreement, and what percentage of franchisees have successfully renewed or been denied renewal?

Are there any pending disputes, complaints filed with state authorities, or investigations related to the franchise system that are not reflected in formal litigation?

How is the support and training score of 77/100 (below the typical range of 82-93%) reflected in the actual onboarding and ongoing support provided to franchisees?

What specific operational or financial metrics must franchisees meet to qualify for renewal of their franchise agreement?

The investment score of 62/100 falls below the typical range (73-77%)—what are the primary cost drivers, and are there financing options available?

Can you explain the difference between the 1-year exit rate of 0.0% and the elevated historical turnover rates, and what changed between 2024 and 2025?

How does the non-exclusive territory protection work in practice, and has the franchisor encroached on any franchisee territories or opened company-owned locations nearby?

What is the historical approval rate for franchise transfers, and what criteria must potential transferee operators meet?

Have there been any changes to the technology fee, royalty structure, or other ongoing fees since the franchise was first offered?

What specific personal guarantees and indemnification obligations are required from franchise owners and their spouses under the current agreement?