Risk Score
Pending analysis
Investment Range
$175,450 - $550,250
Franchise Fee
$35,000
Total US Locations
34
Business Summary
NuSpine Franchise Systems, LLC grants the right to own and operate NuSpine Chiropractic Clinics. These clinics specialize in providing affordable chiropractic services to the general public at a specific location. Franchisees are responsible for either operating and/or managing these clinics, often involving a structure where a licensed professional corporation (P.C.) provides the actual chiropractic services, while the franchisee offers management and administrative support.
Corporate History
NuSpine Franchise Systems, LLC, a Delaware limited liability company, was created on August 23, 2019. Its predecessor, NuSpine Franchise Systems, Inc., a Nebraska corporation, began offering franchises for chiropractic clinics, the same type of business, in October 2013. NuSpine Franchise Systems, LLC assumed all franchise operations and began offering Unit Franchises and Area Representative Businesses in January 2020.
Financial Overview
Investment Range
$175,450 - $550,250
Franchise Fee (Low)
$35,000
Franchise Fee (High)
$49,000
Royalty %
7%
Marketing %
1%
Equipment Costs (Low)
$80,500
Equipment Costs (High)
$326,000
Working Capital
$55,000
Audited Financials
Yes
Offers Financing
No
Audit Opinion
Unqualified opinion
Financial Health Notes
NuSpine Franchise Systems, LLC's financial statements reflect a significant members' deficit, with total liabilities exceeding total assets, which raises questions about NuSpine Franchise Systems, LLC's financial ability to provide services and support to its franchisees. This is noted as a special risk in the FDD, although the independent auditor's report for 2024 and 2023 issued an unqualified opinion.
Financing Details
NuSpine Franchise Systems, LLC does not offer any direct or indirect financing to its franchisees. This means that NuSpine Franchise Systems, LLC will not provide loans or guarantee notes, leases, or other obligations for franchisees to start or operate their businesses.
Performance Metrics
Total US Locations
34
Franchised Units
34
Corporate Units
0
Avg Square Footage
1,250
Franchising Since
2013
Legal & Compliance Analysis
Recent Litigation
No
Bankruptcy
No
Litigation Summary
NuSpine Franchise Systems, LLC has no litigation that is required to be disclosed in Item 3 of its FDD. This indicates a clean legal record for the franchisor and its key personnel regarding material litigation.
Bankruptcy History
NuSpine Franchise Systems, LLC has no bankruptcy information required to be disclosed in Item 4 of its FDD. This means there is no record of bankruptcy proceedings for the franchisor or its key management.
Agreement Terms
Initial Term
10 years
Renewal Term
10 years
Renewal Conditions
To renew their franchise agreement, NuSpine Chiropractic franchisees must provide written notice of their intent to renew between 6 and 13 months before the current term expires. They must also have the right to lease the premises for an additional 5 years or secure an approved substitute location. Franchisees are required to complete all maintenance, refurbishing, renovating, and remodeling to bring the clinic to current NuSpine Chiropractic image standards. They must not be in default of any agreement with NuSpine Franchise Systems, LLC or its affiliates, and must have paid all outstanding monetary obligations. Additionally, franchisees must sign NuSpine Franchise Systems, LLC's then-current franchise agreement, satisfy current training requirements for new franchisees, pay a renewal fee equal to the lesser of 25% of the then-current initial franchise fee or $10,000, and execute a general release of all claims against NuSpine Franchise Systems, LLC and its related parties.
Training & Support Program
Franchisor Assistance
Before opening, NuSpine Franchise Systems, LLC assists franchisees by reviewing and approving proposed clinic sites and leases, providing a prototypical floor plan design, and offering initial tuition-free training for up to three people (the franchisee/operating principal and staff). NuSpine Franchise Systems, LLC also provides information for selecting suppliers, initial inventory, and grand opening marketing plan guidelines, including a print and signage bundle. A representative also provides at least two days of support during the clinic launch. Ongoing assistance includes periodic consultation and advice on merchandising, inventory, sales techniques, and personnel development via phone, email, intranet, and occasional on-site visits. NuSpine Franchise Systems, LLC also manages and administers the Brand Development Fund to which franchisees contribute for collective advertising and marketing efforts. Franchisees also get access to and support for proprietary software necessary to operate the business.
Initial Training Hours
41
Training Location
Virtually and/or a designated franchise location
Ongoing Support
After opening, NuSpine Franchise Systems, LLC provides ongoing consultation and advice to franchisees on merchandising, inventory, sales techniques, personnel development, and other business, operational, and advertising matters. This support is available through telephone, fax, email, intranet postings, and periodic on-site assistance from appropriate personnel. NuSpine Franchise Systems, LLC also administers contributions to the Brand Development Fund for the collective benefit of the system, determining how funds are used for advertising, marketing, and promotional programs. The franchisor reserves the right to hold periodic, mandatory refresher training programs, typically annually, and may also require attendance at franchisee meetings or conventions (no more than annually) to discuss new procedures, marketing strategies, or products.
Franchise Requirements
Ideal Candidate Profile
NuSpine Franchise Systems seeks franchisees who are interested in operating and/or managing NuSpine Chiropractic Clinics. This opportunity is open to both licensed chiropractic professionals, who can directly own and operate a clinic, and non-licensed individuals. If the franchisee is not a licensed professional, they are required to establish a management company to provide business and administrative support to a Professional Corporation (P.C.) that owns the clinic and employs licensed chiropractors. The franchisor recommends that the franchisee, or their appointed Operating Principal (who must be an equity owner of at least 10% of the business and have full authority over operational decisions), personally participates in the day-to-day operations. If direct participation by the franchisee or Operating Principal is not feasible, an approved Manager must be in charge of on-premises supervision during all operating hours. All management and staff are required to complete mandated training programs and meet all necessary state and local licensing and certification requirements. NuSpine Chiropractic franchisees must be committed to operating in full compliance with all applicable federal and state medical and chiropractic regulations, upholding high ethical standards and sound business practices.
Industry Experience Required
No
Management Experience Required
No
Sales Experience Required
No
Technical Skills Required
No
Operational Details
Location Type
Retail
Owner Participation
Supervisory
Territory Type
Protected
Staff Count
3
Territory Size Requirements
NuSpine Chiropractic provides a Protected Territory around the approved clinic site, which typically includes 10,000 to 30,000 households based on the natural traffic and trade patterns. This territory is defined using either a two-mile radius or fixed geographical boundaries like rivers, streets, or highways on a map. The actual size varies depending on population density and demographic factors, potentially being a city block or less in dense urban areas, or an entire municipality in less dense suburban areas. For Non-Traditional Sites, the territory may be limited to the site of the unit franchise itself.
Staffing Notes
NuSpine Chiropractic requires franchisees to employ a sufficient number of qualified and competent staff, including office personnel, to meet patient demand. Franchisees are solely responsible for all employment decisions, such as hiring, firing, discipline, and setting compensation. They must implement a staff training program that adheres to the franchisor's standards and ensure that all employees understand they are employed by the franchisee, not NuSpine Franchise Systems, LLC. All management and other personnel working at the clinic must complete required state and local government training, and meet mandatory licensing and certification requirements. If the franchisee is not a licensed chiropractor, a Professional Corporation (P.C.) will employ and control the chiropractors and other professionals who provide direct patient services at the clinic.