We Rock the Spectrum Kid s Gym for All Kids
We Rock the Spectrum offers franchises for kid's gyms providing a safe, nurturing environment with unique equipment and sensory-based activities to support children's growth and development. Known for inclusive play spaces, this franchise operates in the special needs and early childhood education sectors.
We Rock the Spectrum Kid s Gym for All Kids franchise FAQ
How much does it cost to open one — the total initial investment?
The total initial investment necessary to begin operation of a single WRTS Kid's Gym ranges from $178,525.30 to $388,425.30 [p.1]. This includes an initial franchise fee of $66,860 that must be paid to the franchisor or affiliate [p.22].
What is the initial franchise fee?
The initial franchise fee is $65,000 and it represents the fee that a Franchisee must pay to Franchisor for the right to operate a WRTS Kid's Gym under the agreement [p.70].
What are the ongoing royalty and advertising fees?
The ongoing royalty fee is 5% of Gross Revenue from each franchisee [p.75]. Advertising costs are expensed as incurred by the Company, with expenses varying between years, but amounting to approximately $83,000 in 2024 [p.281].
How long is the initial franchise agreement, and can I renew it?
This isn't specified in the excerpts. The provided FDD excerpts do not detail the length of the initial franchise agreement or the renewal terms beyond mentioning that notice may be required by law for certain scenarios [p.74].
Can I sell or transfer my franchise, and what does that require?
According to the FDD, a franchisor can refuse to permit the transfer of ownership of a franchise except for good cause [p.236]. Good cause includes factors such as the proposed transferee not being a current owner or family member of a current owner of Franchisee [p.147]. Additionally, if consent is required for any transfer (full or partial), the franchisor will not unreasonably withhold such consent [p.147].
On what grounds can the franchisor terminate the agreement?
The franchisor can terminate the agreement on any grounds available by law [p.244]. Additionally, according to [p.236], the franchisor may terminate the agreement prior to expiration only for good cause, which includes the franchisee's failure to comply with lawful provisions of the franchise agreement and not curing such failure within a reasonable time frame (not more than 30 days).
What financial requirements — net worth and liquid capital — do I need to qualify?
This isn't specified in the excerpts. The provided FDD excerpts do not detail specific net worth or liquid capital requirements for qualifying as a franchisee.
Do I get an exclusive or protected territory?
Yes, you receive an exclusive territory as described in your Franchise Agreement ('Exclusive Territory') [p.38]. However, the franchisor retains the right to develop and operate WRTS Kid's Gyms outside of your Exclusive Territory without compensating you [p.40, p.39, p.72].
What training and ongoing support does the franchisor provide?
The franchisor provides an Initial Training Program prior to opening, which includes disclosing the WRTS System and related manuals. For the first WRTS Kid's Gym, the franchisor also offers up to seven days of on-site opening assistance after the gym opens to the public [p.79]. This support is not provided if the franchisee already owns or operates a WRTS Kid's Gym as of the Effective Date or if this is a Renewal Franchise Agreement.
How many franchised outlets are there, and how many have closed or been terminated?
This isn't specified in the excerpts.
Does the franchisor share any financial performance or earnings information?
The franchisor can provide financial performance information if there is a reasonable basis for it and if it is included in the Disclosure Document. However, the franchisor does not make any representations about a franchisee's future financial performance or the past financial performance of company-owned or franchised outlets, nor do they authorize their employees or representatives to make such representations. [p.55]
What am I restricted to selling, and where must I buy supplies?
You are not specifically restricted to selling only certain items, but there are operating restrictions that control your location, access to customers, what you sell, how you market, and your hours of operation [p.3]. For supplies, you may have to buy or lease items from the franchisor or a limited group of suppliers designated by them, which can be more expensive than other options [p.3]. Additionally, approximately 50% of start-up expenses and 85% of ongoing expenses will be for purchases from WRTS Approved Suppliers or according to their specifications [p.23]. You must also purchase a Bus or RV from an approved third-party supplier [p.24]. If you wish to use a supplier other than the franchisor or an approved source, you need prior written approval [p.24].