F45 Training Franchise Costs, Fees & FDD

Year Business Began: 2010

Franchising Since: 2014

U.S. Headquarters: Austin, Texas

Country of Origin: Australia

Estimated Number of Units: 1,580

Franchise Description: The franchisor is F45 Training Incorporated. The franchise is for the establishment and operation of an F45 training studio, which provides exercise training that involves alternating periods of short, intense anaerobic exercise.
Training Overview: After the execution of: (i) the Franchise Agreement and (ii) a lease approved by the franchisor, franchisees (or the key person if the franchisee is an entity) must attend the induction seminar in Austin, Texas, which is currently conducted over a period of 8 days. At least 30 days after the franchisee and the franchisor have entered into a Franchise Agreement, franchisees (or the key person if the franchisee is an entity), the general manager (if applicable), and studio manager must complete, to the franchisor’s satisfaction, the initial online training program. The key person, general manager, if applicable, and studio manager, and any other personnel the franchisor designates, must attend and complete any additional training and meetings or conferences that the franchisor may from time to time require, and franchisees must pay the franchisor or third parties all fees assessed in connection with such training, meetings, and/or conferences.

Territory Granted: Although the franchisor grants franchisees some territorial protection, they will not receive an exclusive territory. The Franchise Agreement gives franchisees the right to operate an F45 studio at a site the franchisor accepts as meeting its site selection guidelines. Franchisees must select the site for their studio from within a geographic area the franchisee and the franchisor agree on (the designated area), which will be identified in the Franchise Agreement when franchisees sign the Franchise Agreement. Franchisees will not acquire any rights in and to the designated area, other than the right to select a site for the studio from within the boundaries of the designated area. If franchisees are in compliance with the Franchise Agreement and any other agreement they have with the franchisor or its affiliates, the franchisor and its affiliates will not establish or authorize anyone except them to establish a F45 Studio in the protected area during the term of the Franchise Agreement. The protected area will generally be an area with a population of at least 15,000 as determined by the most recent, published U.S. census data, but the actual size and shape of the protected area will vary from franchisee to franchisee.

Obligations and Restrictions: When franchisees sign the Franchise Agreement, they must designate an individual to serve as their “key person.” If franchisees are individuals, they will be the key person. If franchisees are not an individual, their key person must maintain a direct or indirect ownership interest in the franchise of not less than 10%, unless the franchisor consents otherwise. The key person must meet the franchisor’s qualifications and must be approved by the franchisor. Franchisees may, at their option and subject to the franchisor’s written consent, designate a general manager to supervise their operations. Even if the franchisor permits franchisees to designate a general manager to supervise their operations, their key person remains ultimately responsible for the general manager’s performance and the performance of the studio and compliance with the Franchise Agreement. Franchisees may only market, offer, sell and provide the products and services within their protected areas in a manner that meets the franchisor’s standards and complies with its manuals and other writings. Franchisees must offer and sell all products and services the franchisor requires. Franchisees must sell only the products and services that the franchisor has expressly approved of in writing. Franchisees must open and operate the studio during the hours the franchisor specifies in the manuals or otherwise in writing.

Term of Agreement and Renewal: The length of the initial franchise term is 10 years. Two additional, consecutive 10-year terms are available if requirements are met.

Financial Assistance: The franchisor has one arrangement with a third-party financing lead source to assist franchisees who are seeking third-party lending sources. Other than this arrangement, neither the franchisor nor any of its agents or affiliates offer any direct or indirect financing to franchisees or guarantee any note, lease, or obligation for franchisees.

Estimated Initial Investment

Name of Fee	Low	High
Establishment (Initial Franchise) Fee	$60,000	$60,000
Document Preparation Fee	$2,500	$2,500
Equipment Pack	$115,000	$115,000
Equipment Pack Taxes	$0	$15,000
Real Property	$5,000	$25,000
Architectural Floor Plan Design, Engineering, and Construction/ Permit Documents	$10,000	$20,000
Leasehold Improvements	$1,000	$300,000
Utility Deposits	$1,000	$2,000
Exterior and Interior Signage	$5,000	$10,000
Furniture, Fixtures, Other Equipment	$4,000	$10,000
Office Equipment and Supplies	$1,000	$3,000
Computer System	$1,000	$2,000
Business Licenses and Permits	$1,000	$3,000
Training Expenses	$1,000	$2,000
Professional Services	$1,000	$5,000
Insurance	$1,000	$4,000
Grand Opening	$25,000	$25,000
Nutritional Supplements	$3,000	$3,000
AED	$1,500	$2,100
Optional Recovery Amenities	$40,000	$67,000
F45 Body Fat Scanner (plus shipping and handling charges and taxes)	$8,500	$8,500
Music Licenses	$1,700	$2,000
Additional Funds (initial 3 month period)	$60,000	$100,000
ESTIMATED TOTAL	$342,200	$786,100

 

Other Fees

Type of Fee	Amount
Royalty Fee	The greater of 7% of gross sales or $2,500 per month.
Brand Fund	Up to 2% of gross sales, or $200 per month, whichever is higher.
Marketing Fee	$2,500 per month.
Local Cooperative Advertising (Co-op)	As determined by Co-op; currently, there are no Co-ops.
Promotional Programs	Cost of programs and related fees, but no more than the monthly royalty fee.
Non-Compliance Fee	Not to exceed $2,000 per notice of violation.
Technology Service Fee	Currently, $500 per month.
Induction Seminar	Up to $1,000 for attendance at the induction seminar (for two attendees).
Nutritional Supplements for Resale and Promotional Merchandise	Currently, an initial amount equal to $3,000; ongoing amount will vary.
Merchandise for Resale	Currently, not less than $1,500 every three months (does not including shipping, taxes, and duties (if any), which franchisees must pay).
LionHeart Bands	Currently $54 per monitor, plus shipping and handling charges.
Interest	18% per year or the maximum lawful rate.
Additional Training	A reasonable fee based on the franchisor’s costs of providing the training; currently, $250 per day per person trained.
On-site Remedial Training	The then-current per diem fee for remedial training, plus costs; current per diem rate is $250.
On-site Evaluation Fee	Currently, $160 per on-site evaluation if the franchisor determines that the studio is not in compliance with the terms of the Franchise Agreement, plus the current per diem rate of $250.
Transfer Fee	25% of the then-current initial franchise fee, plus the franchisor’s reasonable costs and expenses associated with the transfer, including training costs and legal and accounting fees.
Securities Offering Fee	$3,000, plus our reasonable costs and expenses associated with the proposed offering.
Renewal Fee	The greater of (a) $5,000, or (b) 10% of the then-current establishment fee (or similar initial fee).
Annual Conference	$600 per ticket; a minimum of two tickets must be purchased unless the franchisor otherwise approves in writing.
Non-Attendance Fee	Varies based on costs the franchisor incurs to prepare for attendance; currently, $100 to $300 per person.
DJ Fee	Actual cost of the DJ; currently, $25-$400 per session if the franchisor supplies franchisees with a DJ to play at their studio on a Saturday.
Inspection and Testing	Cost of inspection, if applicable, and cost of test.
Indemnification	Varies according to loss.
Audit Fee	Cost of audit.
Insurance Fee	If franchisees fail to maintain the required insurance, the franchisor may (but need not) obtain it for then. If the franchisor does, it will charge franchisees a fee, plus its expenses.
Enforcement Costs	Franchisees must pay the franchisor’s costs of enforcement (including attorney’s fees and costs) if they do not comply with the Franchise Agreement.

The above information has been compiled from the FDD of F45 Training. Year of FDD: 2025.
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