1 thing to verifyFranchisor financials: moderate concern

The Exercise Coach — full diligence report

The average The Exercise Coach unit reports $25k/mo in revenue.

Opening one costs $263k–$481k.

DisclosedItem 19 · 210 units reporting · Item 7 · 221 open units

Both figures are the franchisor’s own, straight out of the disclosure document. What is masked below is the rest of the analysis — and the capital check that follows measures your cash against that opening range.

13 sections · 106 cited figures · 4 operational tripwires · 14 diligence questions

Everything below is in the report. Every figure is cited to an FDD Item and page, and labelled with where the number came from. The labels are free. The numbers are what you are buying.

Franchise Edge automates franchise diligence. We read the franchisor’s own Franchise Disclosure Document — the filing a franchisor is legally required to hand you at least 14 days before you sign anything or pay anything — and run the work that takes a buyer weeks by hand: every disclosed cost, the unit economics behind the headline, the full fee stack, and what happened to the units that opened before you.

Your analysis is ready. The framework is below — every section, every cited figure, every question, exactly as it appears in the report.

New to FDDs? Here is what is in one

An FDD runs to 23 numbered Items and a few hundred pages. Four of them do most of the work in this report:

Item 7— what it costs to open, low to high. That is the range above, and it is the franchisor’s own estimate.
Item 19 — what units actually earn. A franchisor is not required to publish one at all; when it is missing, or when it reports profit where you expected revenue, that is itself a finding.
Item 20 — openings, closures, transfers and terminations, year by year. This is where churn shows up, and where a growth story either holds or does not.
Item 6 — the ongoing fees. Royalty and ad fund get quoted on a discovery call; the rest of the list usually does not.

Every figure in the report is cited to its Item and page, so you can check any of it against the document yourself.

Questions before you buy? jason@foundersplinko.com — a person, not a ticket queue.

Disclosedstated in this FDDDerivedour calculation from disclosed figuresBenchmarkour industry range, because the FDD does not disclose itInferredAI classification

Capital available

Drag to enter the capital you have available.

Against the total investment the franchisor discloses in Item 7. What it means for your loan, your coverage ratio and your payback is locked.

What it costs to open

22 locked

Item 7, as the franchisor states it. 22 line items.

Initial Franchise FeeDisclosedItem 7, pp. 11-12Locked

Initial Training FeeDisclosedItem 7, pp. 11-12Locked

Initial Training ExpensesDisclosedItem 7, pp. 11-12Locked

Legal Fee Reimbursement (lease review)DisclosedItem 7, pp. 11-12Locked

Lease Deposit & Rent (3 Months)DisclosedItem 7, pp. 11-12Locked

Utilities DepositsDisclosedItem 7, pp. 11-12Locked

ConstructionDisclosedItem 7, pp. 11-12Locked

Interior & Exterior SignageDisclosedItem 7, pp. 11-12Locked

Decorating, Cleaning Station, Furniture, Fans & FurnishingsDisclosedItem 7, pp. 11-12Locked

Equipment PackageDisclosedItem 7, pp. 11-12Locked

Technology SystemsDisclosedItem 7, pp. 11-12Locked

First Aid EquipmentDisclosedItem 7, pp. 11-12Locked

Opening InventoryDisclosedItem 7, pp. 11-12Locked

UniformsDisclosedItem 7, pp. 11-12Locked

Grand Opening Marketing CommitmentDisclosedItem 7, pp. 11-12Locked

Business LicensesDisclosedItem 7, pp. 11-12Locked

Professional FeesDisclosedItem 7, pp. 11-12Locked

InsuranceDisclosedItem 7, pp. 11-12Locked

Pre-opening PayrollDisclosedItem 7, pp. 11-12Locked

Surety Bond Premium (Initial)DisclosedItem 7, pp. 11-12Locked

Additional Funds (3 months)DisclosedItem 7, pp. 11-12Locked

Total investmentDisclosedItem 7, pp. 11-12Locked

Buyer-fit underwriting

5 locked

What the deal asks of you, against what you told us you have.

Capital gapDerivedLocked

Loan neededDerivedLocked

Net worth requirementDisclosedItem 5Locked

Liquid capital requirementDisclosedItem 5Locked

Margin after fees, rent and debtDerivedLocked

The cash ladder — All Franchised Studios Gross Sales

13 locked

13 rungs, monthly, from disclosed revenue down to what the operator actually keeps. Every rung is labelled with where its number came from.

1. Gross revenueDisclosedLocked

2. − Franchise feesDisclosedLocked

3. − Fixed monthly feesDisclosedLocked

4. − Rent & occupancyDisclosedLocked

5. = Margin after fees & rentDerivedLocked

Not profit. Cost of goods, labor and operating costs have not been subtracted yet.

6. − Cost of goodsBenchmarkLocked

7. − LaborBenchmarkLocked

8. − Other operating costsBenchmarkLocked

9. = Operating EBITDABenchmarkLocked

Before debt service, owner compensation, depreciation and taxes.

10. − Debt serviceDerivedLocked

11. = Cash after debt, before owner drawBenchmarkLocked

The operator has not been paid out of this yet.

12. Debt-service coverage ratioBenchmarkLocked

Lenders typically want 1.25 or better: $1.25 of operating profit for every $1.00 of loan payment.

13. Years to recover the build-outBenchmarkLocked

Recovery of the build-out only. It does not include the operator's own time.

How you pay for it

9 locked

The loan this unit would need, and whether the unit can carry it.

Loan amountDerivedLocked

RateBenchmarkLocked

TermBenchmarkLocked

Monthly paymentDerivedLocked

Cash you put inDerivedLocked

Cash after debtDerivedLocked

Return on your cashDerivedLocked

Debt-service coverage ratioDerivedLocked

What this unit could supportDerivedLocked

Ongoing fees and hidden costs

11 locked

11 separate charges in the agreement. Most buyers find four.

RoyaltyDisclosedItem 6Locked

Brand fundDisclosedItem 6Locked

Royalty Fee MinimumDisclosedItem 6Locked

Digital Marketing FeeDisclosedItem 6Locked

Local Marketing CommitmentDisclosedItem 6Locked

Technology Fee (proprietary technology)DisclosedItem 6Locked

Technology Fee (third-party technology)DisclosedItem 6Locked

EXERBOTICS Balance Tracker RentalDisclosedItem 6Locked

Balance Tracker RentalDisclosedItem 6Locked

Proprietary Technology FeeDisclosedItem 6Locked

Third-Party Technology FeeDisclosedItem 6Locked

What units actually make

15 locked

The franchisor's own numbers, and how wide the spread really is.

All Franchised Studios Gross SalesDisclosedItem 19, pp. 41-45Locked

Franchised Studios Quartile 1 Gross SalesDisclosedItem 19, pp. 41-45Locked

Franchised Studios Quartile 2 Gross SalesDisclosedItem 19, pp. 41-45Locked

Franchised Studios Quartile 3 Gross SalesDisclosedItem 19, pp. 41-45Locked

Franchised Studios Quartile 4 Gross SalesDisclosedItem 19, pp. 41-45Locked

Company-Owned Studios Gross SalesDisclosedItem 19, pp. 41-45Locked

All Qualifying Studios Combined Gross SalesDisclosedItem 19, pp. 41-45Locked

Franchised Strength Plus Studios 2025 Baseline Gross SalesDisclosedItem 19, pp. 41-45Locked

Company-Owned Strength Plus Studios 2025 Baseline Gross SalesDisclosedItem 19, pp. 41-45Locked

All Strength Plus Studios Combined 2025 Baseline Gross SalesDisclosedItem 19, pp. 41-45Locked

All Reporting Studios Marketing ExpenseDisclosedItem 19, pp. 41-45Locked

All Reporting Studios Payroll ExpenseDisclosedItem 19, pp. 41-45Locked

All Reporting Studios Rent ExpenseDisclosedItem 19, pp. 41-45Locked

All Reporting Studios Utilities ExpenseDisclosedItem 19, pp. 41-45Locked

Units reportedDisclosedItem 19, pp. 41-45Locked

What we found in the document

0 locked

7 Items located and parsed. Every figure above cites one of them.

Item 1Item 5Item 6Item 7Item 19Item 20Item 21

Before you commit

1 locked

1 things this document cannot settle, and how to settle them.

Item 19 earnings basis

Locked finding

Franchisor financial condition

5 locked

5 findings from the audited statements.

1 medium

Locked finding

Operational tripwires

4 locked

4 clauses that change what you signed up for.

4 medium

Locked finding

System scale and turnover

5 locked

Item 20, year-end.

Total unitsDisclosedItem 20, p. 46Locked

OpenedDisclosedItem 20, p. 46Locked

ClosedDisclosedItem 20, p. 46Locked

Changed handsDisclosedItem 20, p. 46Locked

Owner turnoverDerivedLocked

215 outlets is this record's reconstruction of the starting count, worked back from the year-end total and the year's openings and closures rather than read from Item 20 Table 1. Every rate below is a share of that starting count, not of today's. Check the reconstruction against Table 1 in your own copy.

Leaving — renewal, exit and transfer

Not yet read for this brand

Item 17 — how long you are in, what ends the agreement, what it takes to sell the business, and what you are still bound by after you leave.

How long you are inHow it endsHow you sell itWhat happens after

Who to call, and what to ask

13 locked

14 questions, grouped for operators running a unit today, operators who left last year, placing whoever answers the phone.

What do you actually run for cost of goods, as a percent of sales?

Locked finding

Who runs it

3 locked

3 executives, with tenure and prior operating history.

Chief Executive Officer and ManagerChief Operating OfficerWellness Director

Locked finding

Unlock the full diligence report

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