Crunch Fitness offers health club franchises in two formats—Crunch Fitness and Crunch Select. Known for fitness and wellness programs, it operates across multiple locations, providing comprehensive gym services to members.
Crunch Fitness is a US-based brand of over 500 franchised and corporate owned fitness clubs located in the United States, Puerto Rico, Canada, Spain, Portugal, Costa Rica, and Australia. Founded by Doug Levine in 1989, its current Worldwide CEO is Jim Rowley.
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The total initial investment necessary to begin operation of a Crunch Fitness health club franchise ranges from $2,147,500 to $5,367,000. For a Crunch Select health club franchise, the range is between $3,192,500 and $5,277,000 [p.1].
The initial franchise fee is $35,000 and it must be paid in one lump sum at the time you sign the Franchise Agreement [p.16]. It is fully earned and non-refundable upon receipt [p.113].
The ongoing royalty is a fixed percentage of the Franchised Business' Gross Sales, as specified in Exhibit 1 [p.113]. Advertising fees are not directly mentioned for ongoing operations but initial advertising expenses before opening are outlined [p.31], including mailings, internet, billboards, radio, and TV. The FDD does not specify exact amounts for ongoing advertising fees.
The initial term of the franchise agreement is 10 years following either the Effective Date or the date your Franchised Business completes its first workout and initiates member billing activities if it is a newly developed health club [p.101]. You are entitled to one additional renewal term of up to __ years each upon renewing your agreement, but the exact duration needs to be agreed upon as specified in Section 4.2 of the FDD [p.329].
The franchisor can refuse to permit a transfer of ownership of the franchise except for good cause, which includes but is not limited to unspecified factors [p.6]. This restriction on selling or transferring your franchise is detailed in section 56 of the provided excerpts.
The franchisor may terminate the franchise agreement on any grounds available by law [p.340]. Additionally, the franchisor has the discretion to terminate the agreement if the franchisee fails to meet their development obligations under the Area Development Schedule, leading to a default [p.186].
This isn't specified in the excerpts. The provided FDD does not detail specific net worth or liquid capital requirements for franchisees to qualify.
Yes, you receive a protected territory under your Franchise Agreement [p.50]. However, it's not an exclusive marketing territory; you may face competition from other franchisees and channels of distribution controlled by the franchisor [p.51].
The franchisor provides initial training courses without cost to you, except for travel, living, meal expenses, and salaries for yourself or any Owner and any manager attending the training classes [p.41]. This training will be conducted at locations and times designated by the franchisor. While specific details about ongoing support are not provided in these excerpts, it can be inferred that additional training may be offered as deemed appropriate by the franchisor [p.40-41].
As of December 31, 2025, there were 536 Crunch franchised locations open or engaged in presale activities. Among these, one location had closed in Q1 2026. This isn't specified in the excerpts for a more precise number of terminated or closed outlets, but it indicates that at least one location was no longer operational by that date. [p.68]
The franchisor may provide financial performance information if it has a reasonable basis for the information and includes it in the disclosure document [p.68]. However, the franchisor does not make representations about future financial performance or past performance of company-owned or franchised outlets [p.74], except that actual records of an existing outlet being considered may be provided upon purchase [p.74].
You are not restricted to selling specific products; however, you must purchase certain items such as construction services, fitness equipment, furniture and fixtures, uniforms, t-shirts, drinks, promotional items, and recovery modalities only from the franchisor or approved suppliers [p.32]. Additionally, you may be required to buy products or services from the franchisor when remodelling or refurbishing your franchise [p.32]. This isn't specified in the excerpts regarding what you are restricted to selling.