Risk Score
Pending analysis
Investment Range
$36,750 - $385,000
Franchise Fee
$25,000
Total US Locations
161
Business Summary
My Gym Enterprises franchises My Gym Businesses, which emphasize children's physical education through teaching pre-gymnastics, tumbling, fine and gross motor skills, sports skills, group interactive activities, and stretching. My Gym Businesses operate either as Fixed Centers in a dedicated building or as Mobile Businesses providing services and products to institutional facilities like schools and daycare centers.
Corporate History
Gym Consulting, LLC, doing business as My Gym Enterprises, was originally incorporated as Gym Consulting, Inc. in 1994. It converted to a limited liability company in October 2014. My Gym Enterprises began franchising Fixed Centers in February 1995 and Mobile Businesses in July 2006. In April 2015, My Gym Enterprises sold its trademark rights in the Asia region to Mega Education Inc., which also became a minority owner in the company. An affiliate, RBMBT, LLC, operates four My Gym-branded centers in California, and some former and current executives also operate eight My Gym-branded centers in California.
Financial Overview
Investment Range
$36,750 - $385,000
Franchise Fee (Low)
$25,000
Franchise Fee (High)
$55,000
Royalty %
8%
Marketing %
1%
Equipment Costs (Low)
$2,500
Equipment Costs (High)
$217,500
Working Capital
$26,500
Audited Financials
Yes
Offers Financing
No
Audit Opinion
Unqualified opinion
Financial Health Notes
The FDD's Special Risks section states that My Gym Enterprises' financial condition, as shown in its financial statements, raises questions about its ability to provide services and support to franchisees. The company reported a net loss of $418,097 in 2022, but a net income of $170,819 in 2023. Total members' equity decreased from $1,364,559 in 2022 to $1,185,378 in 2023, partially due to distributions.
Financing Details
My Gym Enterprises does not offer any direct or indirect financing to franchisees, nor does it guarantee their notes, leases, or other financial obligations.
Performance Metrics
Total US Locations
161
Franchised Units
161
Corporate Units
4
Avg Square Footage
2,250
Franchising Since
1995
Legal & Compliance Analysis
Recent Litigation
No
Bankruptcy
No
Litigation Summary
My Gym Enterprises has no litigation history to report in this FDD.
Bankruptcy History
My Gym Enterprises has no bankruptcy history to report in this FDD.
Agreement Terms
Initial Term
12 years
Renewal Term
12 years
Renewal Conditions
To renew, My Gym Enterprises franchisees must provide notice, satisfy all monetary obligations, upgrade their location to current standards, comply with the Franchise Agreement, execute a general release of claims, and sign a new franchise agreement which may have materially different terms.
Training & Support Program
Franchisor Assistance
My Gym Enterprises provides pre-opening assistance, which for Fixed Centers includes demographic data, lease approval, guidance on Designated Equipment, consultation on center construction and facility space plans, and a pre-opening inspection. For Mobile Businesses, it includes demographic data, assistance with Designated Equipment, and guidance on My Gym Design Standards. For both Fixed Centers and Mobile Businesses, My Gym Enterprises provides initial training for the Managing Owner and Center Manager (plus one additional employee), access to confidential operating manuals, and pre-opening advertising/marketing guidance. Ongoing support includes guidance on My Gym System standards, purchasing, local advertising and promotional programs, administrative procedures, and employee training. My Gym Enterprises also conducts inspections, reviews and approves advertising materials, administers the Marketing Fund, and establishes maximum prices for products and services.
Initial Training Hours
143
Training Location
My Gym Enterprises' formal training programs are mainly held at its Encino, Pasadena, Valencia, and Toluca Lake My Gym Business locations in California. Pre-formal training may also occur at these or other existing My Gym Business locations, or via an online video communications platform like Zoom.
Ongoing Support
My Gym Enterprises provides ongoing support through guidance on system standards, purchasing, local advertising and promotional programs, administrative procedures, and employee training. This guidance is delivered via manuals, bulletins, written reports, recommendations, refresher training programs, and telephonic or in-office consultations. The company also conducts inspections of franchisee locations and administers the Marketing Fund. Additionally, My Gym Enterprises may form franchisee advisory councils for consultation, and franchisees are encouraged to attend annual conventions and other national or regional meetings at their own expense. Additional on-site assistance is available for a per diem fee plus expenses.
Franchise Requirements
Industry Experience Required
No
Management Experience Required
No
Sales Experience Required
No
Technical Skills Required
No
Operational Details
Location Type
Hybrid
Owner Participation
Absentee Allowed
Territory Type
Protected
Territory Size Requirements
My Gym Enterprises defines a franchisee's territory as a circle with its center at the business location, typically having a radius of 1-7 miles. The territory is intended to include a minimum of 7,500 children aged thirteen years old or younger, based on U.S. Census Bureau data. The radius may be smaller in urban centers with high population concentrations.
Staffing Notes
My Gym Enterprises requires that each My Gym Business location be managed full-time by either the franchisee (or Managing Owner) or an approved Center Manager who has successfully completed all required training. Franchisees must conduct background checks for all personnel interacting with children and customers, and employees are required to sign confidentiality agreements. While My Gym Enterprises may offer assistance in hiring and training, franchisees are solely responsible for compliance with all applicable laws and make final staffing decisions.