9Round Franchise Costs, Fees & FDD

Year Business Began: 2007

Franchising Since: 2009

Headquarters: Simpsonville, South Carolina

Estimated Number of Units: 400

Franchise Description: 9Round Franchising, LLC is the franchisor. The franchisor has developed a proprietary business format and system for operating a fitness center that features a specialized program developed around a system of nine challenging circuit training stations, that incorporates boxing and kickboxing exercises, and that includes personal trainer assistance and nutrition services, and that is offered 24 hours a day, subject to legal requirements. The 9Round program combines strength, cardiovascular exercises and circuit training for the entire body to achieve results. The franchisor grants qualified candidates the right to operate one or more 9Round centers according to its Franchise Agreement and its standards which will be communicated to franchisees via its confidential operations manuals.
Training Overview: The franchisor will provide initial training to at least two people in the franchisee’s organization. Unless the franchisor agrees in writing that franchisees may designate someone else to attend training, the franchisee (or each owner of the franchisee entity) must complete the initial training program to the franchisor’s satisfaction within 30 days of signing the location lease. If franchisees have a general manager, he or she must also complete training to the franchisor’s satisfaction. The training program is five days. Periodically, the franchisor may offer ongoing training programs and it may charge a fee for attending these training programs. The franchisor also currently offer a personal training service that offers boxing and kickboxing training and certification to franchise owners. In addition, the franchisor may hold and require that the franchise’s principal owner (a person who owns a 25% or greater interest in the franchise entity) and general manager or other designated employees attend, at the franchisee’s expense, any conference, meeting, convention or seminar to present new methods and programs for operation, training, management, sales or marketing.

Territory Granted: When the Franchise Agreement is signed, franchisees will select a general geographic area in which they intend to operate the center. The franchisor generally will approve the selection unless it determines, in its sole judgment, that it may negatively affect the interest of another 9Round franchisee or is otherwise unavailable for development under current policies, including 24 hour access. A minimum designated area will consist of one city block and, in suburban and rural areas, may be as large as a three-mile driving distance from the anticipated location. The actual size and boundaries of the designated area will depend upon a variety of factors, including the shared territory with another 9Round center, if any; the population base; density of population; growth trends of population; the density of residential and business entities; and major topographical features which clearly define contiguous areas, like rivers, mountains, major freeways, and underdeveloped land areas. Franchisees will not receive an exclusive territory. During the term of the agreement, however, neither the franchisor nor its affiliates will develop or operate, or grant to anyone else, the right to develop or operate, a 9Round center physically located in the designated area.

Obligations and Restrictions: During the term of the Franchise Agreement, franchisees (if the franchisee is an individual) or their general manager must devote sufficient time and best efforts to the management of the center. Franchisees are expected to stay informed about the franchisor’s organizational plans, initiatives and direction by regular review of communications sent to franchisees electronically or otherwise. Franchisees or their general manager must provide direct on-premises supervision to the center. Franchisees must offer at the center all of the products, equipment and services that the franchisor periodically requires, and franchisees may not offer at the center any unapproved products or use the premises for any purpose other than the operation of the center. If permitted by state and local law, franchisees must be open for business for the numbers of days and hours the franchisor requires, currently 24 hours per day throughout the year, which includes a minimum of 22 instructional staffed (“trainer led”) hours per week, Monday to Saturday (equivalent of four staffed hours per day, Monday to Friday, and two staffed hours on Saturday).

Term of Agreement and Renewal: The length of the initial franchise term is 10 years. Renewal for one additional 10-year term if requirements are met.

Financial Assistance: The franchisor may periodically arrange with third party finance companies or banks to make financing programs available to franchisees. These arrangements ordinarily involve no more than arranging to put franchisees in contact with sources of financing available to individual franchisees.

Estimated Initial Investment

Name of Fee	Low	High
Initial Franchise Fee	$14,900	$24,900
Computer, Technology System, and Sound System	$2,500	$20,000
Security System	$13,000	$17,000
Lease Deposits, Utilities, and Insurance	$2,000	$7,500
Leasehold Improvements	$10,000	$110,200
Leasehold Finishes and Fixtures	$6,000	$25,000
Sound Proofing (optional)	$0	$10,000
Grand Opening Marketing	$11,000	$25,000
Opening Equipment and Inventory Package	$39,800	$41,700
Stretching Station Package	$0	$2,500
Free Weight Station Package	$0	$5,000
Cable Machine Package	$0	$3,000
Digital Advertising Screen (optional)	$0	$1,500
Exterior Signage	$2,000	$12,000
Heart Rate Zone System	$1,400	$2,400
Daily Workout Screens System	$10,000	$15,000
Low Voltage Data	$2,000	$10,000
Customized Managed Network System	$2,600	$3,600
Body Composition Analyzer	$349	$5,500
Shipping and Handling (for the grand opening marketing materials, opening equipment and inventory package, and daily workout screens system)	$5,500	$8,000
Travel, Lodging and Meals for Initial Training Program	$1,000	$4,000
Business Licenses and Other Professional Fees	$400	$1,500
Additional Funds – 3 months	$25,000	$61,000
ESTIMATED TOTAL	$149,449	$416,300

 
Other Fees

Type of Fee	Amount
Royalty Fee	$600 per month.
Brand Building Fund Fee	$250 or 2% of net sales, whichever is greater, per month.
Local Advertising Spend, Local Marketing Fund, or Cooperative Advertising Contribution	The higher of 8% of gross revenue or $4,500 per rolling three-month period.
Technology Fee	Currently $499 per month.
Insurance	$126 - $240 per month.
Audits	Cost of audit plus interest at 12% or the maximum rate allowable by law.
Annual Convention Tickets	Will vary under the circumstances (currently $399 per franchise owner).
Live Training Event Tickets	Will vary under the circumstances (currently $99 - $199 per franchise owner).
Assignment Fee	$500
Transfer Fee	$5,000 for existing franchisees acquiring an existing center; $10,000 for new franchisees acquiring an existing center.
Employee Transfer Fee	$7,500 for an existing manager or trainer who worked for an existing franchisee for at least 6 months.
Graphic Design Fee	$100 per hour.
Relocation Fee	$1,500 - $5,000
Costs and Attorneys’ Fees	Will vary under circumstances.
Interest	12% per annum.
Indemnification	Will vary under circumstances.
Supplier Review Fee	The franchisor’s costs and expenses, which it expects will range from $1,000 to $5,000, but may exceed this range depending on the product.
Quality Assurance Inspections	The franchisor’s out of pocket costs which will vary.
Modernization and Maintenance Costs	The franchisor’s reasonable costs and expenses which will vary.
Securities Offering Costs	Will vary under the circumstances.
Ongoing Training	$99 to $500 per person plus the franchisee’s travel expenses. If the franchisor’s representative provides additional training at the center, it may require the franchisee to reimburse its related travel and lodging costs for its representative.
Renewal Fee	25% of the then current initial franchise fee.
Administrative Fee	$250 per enforcement effort (i.e., written or verbal notification and follow up).
Management Fee	5% of the center’s gross revenues, plus reimbursement of the franchisor’s reasonable costs and expenses.
Liquidated Damages	Varies; see FDD.

The above information has been compiled from the FDD of 9Round. Year of FDD: 2025.
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