Hudson Valley Swim logo

Hudson Valley Swim Franchise

Audited Financials
EducationEst. 2003Hopewell Junction, NY
www.hudsonvalleyswimfranchise.com

Risk Score

Pending analysis

Investment Range

$93,745 - $121,995

Franchise Fee

$47,600

Total US Locations

13

Business Summary

Hudson Valley Swim businesses offer classes that teach proper swim techniques and water safety for all age groups and abilities. These businesses operate from approved swimming pools, often located within third-party facilities such as hotels or fitness centers. Hudson Valley Swim provides a structured system to help franchisees teach these essential swim skills.

Corporate History

HV Swim Franchise LLC was formed in New York on May 17, 2021, and began offering Hudson Valley Swim franchises in January 2022. The business concept itself has a longer history through an affiliate, Hudson Valley Swim Inc., which has operated a Hudson Valley Swim Business since June 2011. This affiliate's predecessor, Set & Swim Aquatics, Inc., operated a similar business from 2003 to 2011, establishing the foundation for the current Hudson Valley Swim brand.

Financial Overview

Investment Range

$93,745 - $121,995

Franchise Fee (Low)

$47,600

Franchise Fee (High)

$59,500

Royalty %

8%

Marketing %

2%

Equipment Costs (Low)

$1,500

Equipment Costs (High)

$2,600

Working Capital

$1,200

Audited Financials

Yes

Offers Financing

No

Audit Opinion

Going concern qualification

Financial Health Notes

Hudson Valley Swim's financial condition, as noted in a special risk, raises questions about its ability to provide services and support to franchisees. The company has experienced operational losses and has a working capital deficit. The independent auditor's report includes a going concern qualification, indicating substantial doubt about Hudson Valley Swim's ability to continue operations.

Financing Details

Hudson Valley Swim does not offer any direct or indirect financing to its franchisees, nor does it guarantee any notes, leases, or other financial obligations for franchisees. Franchisees are responsible for securing their own funding through third-party lenders.

Performance Metrics

Total US Locations

13

Franchised Units

6

Corporate Units

7

Franchising Since

2022

Agreement Terms

Initial Term

10 years

Renewal Term

10 years

Renewal Conditions

To renew their franchise agreement, Hudson Valley Swim franchisees must meet several conditions. They need to provide written notice of their intent to renew between 60 and 180 days before their current term expires. Franchisees must not be in default of their agreement or any other agreements with Hudson Valley Swim or its affiliates at the time of notice or signing, and must not have received more than three default notices in the preceding 12 months. They are required to sign Hudson Valley Swim's then-current franchise agreement and all related documents, which may have different terms, and must sign a general release of all claims against Hudson Valley Swim. A non-refundable renewal fee, equal to 20% of the then-current Initial Franchise Fee, is also required. Additionally, franchisees must renovate and upgrade their equipment, tools, and technology to meet current brand standards at least 60 to 180 days before expiration, and they must have the right under their lease to operate from their approved Pool(s) for the duration of the successor term.

Training & Support Program

Franchisor Assistance

Hudson Valley Swim provides various forms of support and assistance to its franchisees. Before opening, the franchisor offers an initial training program for up to three people at no charge, which can be remote or in-person for the Lead Instructor and Responsible Owner at designated training centers. Hudson Valley Swim also loans franchisees a confidential operations manual, provides criteria for selecting and approving pool locations, reviews pool rental agreements, and offers materials and consultation for grand opening marketing. After opening, ongoing assistance includes informing franchisees of mandatory operating standards, providing criteria for adding additional pools, reviewing new pool agreements, and offering advice based on reports or inspections. Optional assistance may include modifying the system, periodic on-site visits (for a fee), maintaining and administering the Brand Fund, holding national or regional conferences, and establishing pricing guidelines.

Initial Training Hours

52

Training Location

Remote and Newburgh, NY or Hopewell Junction, NY

Ongoing Support

After opening, Hudson Valley Swim provides ongoing support to its franchisees by informing them of mandatory operating standards, specifications, and procedures. The franchisor also offers criteria for adding additional pools and reviews new pool agreements within the franchisee's territory. Upon reasonable request, Hudson Valley Swim provides advice and guidance on business operations through written materials, electronic media, or telephone. Additional training courses for new personnel, refresher training, or specialized assistance may be offered, potentially requiring additional fees. Franchisees continue to use confidential materials and the brand's trademarks, and Hudson Valley Swim provides a list of designated and approved suppliers. Optionally, Hudson Valley Swim may conduct periodic on-site visits to assist with operations, prepare reports with suggested improvements (for a fee if requested by the franchisee), and organize national or regional conferences for franchisees (with a conference fee).

Franchise Requirements

Industry Experience Required

No

Management Experience Required

No

Sales Experience Required

No

Technical Skills Required

No

Operational Details

Location Type

Commercial

Owner Participation

Hands-On

Territory Type

Non-Exclusive

Territory Size Requirements

Each Hudson Valley Swim territory typically consists of an area defined by one or more zip codes and has a population of approximately 36,000 to 44,000 children, which generally corresponds to a total population of about 100,000 people. The specific size can vary based on demographics, population density, income levels, and other market factors.

Staffing Notes

Hudson Valley Swim franchisees are responsible for determining appropriate staffing levels for their business and must designate an experienced Lead Instructor approved by the franchisor to oversee programs and other swim instructors. If the franchisee does not act as the Lead Instructor, they must hire one. Franchisees are solely responsible for hiring, training, directing, scheduling, and supervising all employees and independent contractors, and must ensure all employees, including swim instructors, undergo criminal background checks. Hudson Valley Swim does not control the day-to-day activities of franchisee employees and requires franchisees to use their legal business entity name on all employment-related documents. Employees and independent contractors must review and sign an acknowledgment explaining the franchise relationship, clarifying that the franchisee is the sole employer, and sign a confidentiality agreement to protect proprietary information.