Risk Score
Pending analysis
Investment Range
$296,500 - $2,550,500
Franchise Fee
$50,000
Total US Locations
14
Business Summary
Los Campeones Franchising LLC offers individual unit franchises for the development and operation of a Los Campeones gym business. Los Campeones businesses are gyms that focus on strength and conditioning, but also provide standard fitness equipment and machinery to members. Additionally, Los Campeones businesses lease space or authorize trainers to offer exercise and fitness sessions to members and non-members within the gym. The typical customer base for a Los Campeones business consists of adults seeking muscle gain and general exercise in a no-frills environment, distinct from traditional fitness centers.
Corporate History
Los Campeones Franchising LLC was formed on June 16, 2020, as a Minnesota limited liability company. Its predecessor and affiliate, Los Campeones Gym, LLC, began operating Los Campeones businesses in January 2010 and assisted in developing the Los Campeones concept. Los Campeones Franchising LLC began offering franchises for Los Campeones businesses in December 2020.
Financial Overview
Investment Range
$296,500 - $2,550,500
Franchise Fee (Low)
$50,000
Franchise Fee (High)
$50,000
Royalty %
6%
Equipment Costs (Low)
$182,000
Equipment Costs (High)
$1,950,000
Working Capital
$85,000
Audited Financials
Yes
Offers Financing
No
Audit Opinion
Unqualified opinion
Financial Health Notes
The financial statements for Los Campeones Franchising LLC show that the company has an unqualified audit opinion for the years ended December 31, 2024, 2023, and 2022, indicating that the financial statements present fairly, in all material respects, the financial position and results of operations. However, the balance sheets show a Member's Deficit, which increased from $(10,662) in 2022 to $(125,976) in 2024, meaning the company has negative equity. Despite this, the auditor's report does not include a going concern qualification, suggesting there isn't substantial doubt about Los Campeones Franchising LLC's ability to continue as a going concern.
Financing Details
Los Campeones Franchising LLC does not offer any direct or indirect financing to its franchisees. Additionally, it does not guarantee any notes, leases, or other obligations for franchisees.
Performance Metrics
Total US Locations
14
Franchised Units
5
Corporate Units
9
Avg Square Footage
16,500
Franchising Since
2020
Legal & Compliance Analysis
Recent Litigation
No
Bankruptcy
No
Litigation Summary
Los Campeones Franchising LLC has no litigation to report. Item 3 of its Franchise Disclosure Document states that no litigation is required to be disclosed.
Bankruptcy History
Los Campeones Franchising LLC has no bankruptcy history to report. Item 4 of its Franchise Disclosure Document states that no bankruptcy information is required to be disclosed.
Agreement Terms
Initial Term
5 years
Renewal Term
5 years
Renewal Conditions
To renew their franchise agreement, Los Campeones Franchising LLC franchisees must provide written notice 180 to 360 days before their current agreement ends. They must be in good standing, having complied with all material provisions of their existing agreement and paid all financial obligations. Franchisees are required to complete any new or refresher training programs, remodel and modernize their business premises to meet current brand standards, provide proof of continued possession of the business location, and pay a renewal fee of $15,000. Additionally, they must sign Los Campeones Franchising LLC's then-current standard franchise agreement, which may have materially different terms, and sign a general release of claims.
Training & Support Program
Franchisor Assistance
Before a Los Campeones business opens, Los Campeones Franchising LLC provides reasonable assistance with site selection and evaluation, offers an initial training program for the Operating Principal and general manager, grants access to its confidential Operations Manual, and provides lists of approved suppliers and products. Los Campeones Franchising LLC may also offer the services of a representative to assist with the grand opening and initial operations, though this is not guaranteed. Ongoing assistance includes advisory services related to business operations (such as product and service offerings, purchasing, marketing, and administrative procedures), periodic updates to the Operations Manual, and potentially additional training programs and onsite support for a fee.
Initial Training Hours
40
Training Location
Minneapolis, MN or another location we designate
Ongoing Support
After opening, Los Campeones Franchising LLC provides ongoing advisory services to franchisees regarding business operations, including approved products and services, purchasing, marketing assistance, and general administrative procedures. Los Campeones Franchising LLC also periodically provides updated materials for the Operations Manual. The franchisor may offer further mandatory or optional training programs and refresher courses, for which franchisees may be charged a reasonable fee. Upon request and subject to availability, Los Campeones Franchising LLC may also provide additional onsite assistance, which may incur a reasonable fee covering travel, room, and board expenses.
Franchise Requirements
Industry Experience Required
No
Management Experience Required
No
Sales Experience Required
No
Technical Skills Required
No
Operational Details
Location Type
Retail
Owner Participation
Full-Time
Territory Type
Exclusive
Staff Count
10
Territory Size Requirements
Los Campeones Franchising LLC generally defines its Protected Territory as an 8-mile radius around the Los Campeones business location. This radius may be adjusted to be larger or smaller depending on whether the business is situated in a less populated rural area or a densely populated urban area, respectively.
Staffing Notes
Los Campeones Franchising LLC requires its franchisees to hire all employees for their Los Campeones business, making them solely responsible for employment terms, scheduling, benefits, discipline, and compensation. Franchisees must maintain a sufficient staff of trained employees to operate the business in line with Los Campeones Franchising LLC's standards. All employees must comply with necessary licenses and certifications for the business and the services they provide. The business must always be under the direct, on-site supervision of an approved Operating Principal or a general manager. Franchisees must also ensure that any trainers who lease space or offer sessions within the business have proper certifications, personal injury, property damage, and general liability insurance, naming Los Campeones Franchising LLC as an additional insured, and provide documentation of these.