Hydralive logo

Hydralive Franchise

Audited Financials
HealthcareEst. 2019Birmingham, AL
www.Hydralivetherapy.com

Risk Score

Pending analysis

Investment Range

$257,150 - $496,400

Franchise Fee

$42,075

Total US Locations

4

Business Summary

Hydralive offers a franchise to own and operate Hydralive clinics, which provide hydration therapy and related services. These services may include medications and vitamins aimed at replenishing fluids and electrolytes in the body for comfort and hydration.

Corporate History

Hydralive Franchising LLC was organized in Georgia on December 2, 2019. Previously, K & B Wellness Group, LLC offered Hydralive franchises starting in 2017. On December 31, 2019, K & B transferred ownership of the Hydralive name, marks, and franchising rights to Hydralive Holdings LLC. Hydralive Holdings LLC then transferred all franchise rights to Hydralive Franchising LLC and licensed the use of its marks. Hydralive Holdings LLC currently owns 100% of Hydralive Franchising LLC and operates three similar Hydralive locations in Alabama.

Financial Overview

Investment Range

$257,150 - $496,400

Franchise Fee (Low)

$42,075

Franchise Fee (High)

$49,500

Royalty %

7%

Marketing %

1%

Equipment Costs (Low)

$141,900

Equipment Costs (High)

$321,900

Working Capital

$22,500

Audited Financials

Yes

Offers Financing

No

Audit Opinion

Unqualified opinion

Financial Health Notes

Hydralive Franchising LLC's financial statements for 2024 show a net loss of $204,611 and a negative member's equity of $259,751. In 2023, the company also reported a net loss of $58,358 and negative member's equity of $55,140. Although management is required to evaluate potential going concern issues, the auditors did not express a going concern qualification in their report.

Financing Details

Hydralive Franchising LLC does not offer any direct or indirect financing arrangements to its franchisees. This means the company will not provide loans or payment plans for any part of the franchise investment. Hydralive Franchising LLC also does not guarantee any notes, leases, or other financial obligations for its franchisees, nor does it receive payments for arranging third-party financing.

Performance Metrics

Total US Locations

4

Franchised Units

1

Corporate Units

3

Avg Square Footage

1,625

Franchising Since

2017

Agreement Terms

Initial Term

10.5 years

Renewal Term

5 years

Renewal Conditions

To renew their Hydralive franchise, franchisees must either maintain their current site or secure a new approved location. They must ensure their Hydralive business complies with all current specifications and standards. Franchisees are required to sign a new franchise agreement and any related agreements, including general releases, though these are subject to state law. They must also satisfactorily complete any required training and refresher programs, and pay the specified renewal fee. It's important to note that the successor contract may have terms and conditions that are materially different from the original franchise agreement.

Training & Support Program

Franchisor Assistance

Hydralive Franchising LLC provides extensive support to its franchisees. Before opening, Hydralive helps with site approval, providing layout designs and specifications, and lists of approved suppliers. Franchisees also receive a loan of the Confidential Operating Manual, detailed initial training, suggested pricing, and pre-opening telephone support. Hydralive also offers one day of on-site assistance for the grand opening. After opening, Hydralive offers continuing advisory support for operations and promotion, as well as additional or refresher training programs (for an additional fee). General guidance is provided on System Standards, purchasing, product and service preparation, supplier use, advertising and marketing, employee training, and administrative procedures.

Initial Training Hours

85

Training Location

Tuscaloosa, Alabama or Birmingham, Alabama

Ongoing Support

Hydralive Franchising LLC offers ongoing advisory assistance for the operation and promotion of the Hydralive clinics. This includes providing advice and materials on management and operational techniques. Hydralive also makes additional or refresher training programs available, upon request, at the franchisee's expense, charging a daily rate plus travel and living costs. Franchisees or their operating managers are required to attend an annual National Conference, for which there is a yearly fee.

Franchise Requirements

Ideal Candidate Profile

Hydralive seeks qualified applicants who possess sufficient business experience and financial qualifications. For single-unit franchisees, candidates should demonstrate strong character, skill, aptitude, attitude, business ability, and financial capacity. An Operating Manager, who may be a principal owner (holding at least 10% voting securities), must successfully complete the initial training program and be capable of managing and overseeing the clinic's day-to-day operations. For Area Developers, Hydralive looks for individuals or entities with sufficient business experience and financial qualifications to develop multiple locations, requiring them to designate an Operations Executive who will devote full-time, dedicated attention to the Hydralive clinic operations and complete the training program.

Industry Experience Required

No

Management Experience Required

Yes

Sales Experience Required

No

Technical Skills Required

No

Operational Details

Location Type

retail

Owner Participation

full-time

Territory Type

Protected

Territory Size Requirements

Each Hydralive franchise receives a Protected Territory defined as an area around the clinic location. This territory will have a minimum population of 75,000 people with a minimum annual income between $75,000, as determined by Hydralive Franchising LLC's third-party mapping software. Alternatively, the territory will be a three-mile radius around the clinic, whichever area is smaller.

Staffing Notes

Hydralive Franchising LLC requires the franchisee or an approved Operating Partner, along with a managerial employee who has completed the initial training program, to oversee the day-to-day management and supervision of the Hydralive clinic's personnel. The franchisee or Operating Partner must dedicate a minimum of 40 hours per week to the business. The clinic must always be under the direct supervision of the franchisee, Operating Partner, or a qualified management-level employee during all operating hours. The company also provides guidance on employment relationships, overall staffing for the franchise, necessary employee certifications, licenses, experience, and employee classifications.