Rockbox Fitness logo

Rockbox Fitness Franchise

Audited Financials
FitnessEst. 2017Huntersville, NC
www.RockBoxFitness.com

Risk Score

Pending analysis

Investment Range

$431,183 - $587,627

Franchise Fee

$54,900

Total US Locations

59

Business Summary

RockBox Fitness operates a membership-based, state-of-the-art group fitness studio. The studios offer functional fitness training regimens that are based on boxing and kickboxing workouts. These studios typically feature a specific layout and integrate energizing music to enhance the client's workout experience.

Corporate History

SLLR Enterprises, LLC, operating as RockBox Fitness, was formed on March 16, 2017, in North Carolina. The company began offering franchises for its membership-based group fitness studios on December 14, 2017. RockBox Fitness also offered area development franchises starting in April 2021, though it no longer awards franchises under that specific Area Developer FDD. An affiliate, Leverage Nutrition, LLC, established on March 27, 2019, serves as the sole approved supplier for nutritional supplements and related products. Another affiliate under common ownership, Get Lit Concepts, LLC, formed on April 30, 2021, operates and franchises infrared sauna studios called 'beem Light Sauna'.

Financial Overview

Investment Range

$431,183 - $587,627

Franchise Fee (Low)

$54,900

Franchise Fee (High)

$59,900

Royalty %

7%

Marketing %

1%

Equipment Costs (Low)

$282,733

Equipment Costs (High)

$381,027

Working Capital

$37,500

Audited Financials

Yes

Offers Financing

No

Audit Opinion

Unqualified opinion

Financial Health Notes

The financial condition of RockBox Fitness, as detailed in its financial statements, raises concerns about the franchisor's ability to provide ongoing services and support to its franchisees. The company reported a net loss of $765,745 for 2023 and $488,145 for 2022, resulting in a members' equity deficit of $765,745 as of December 31, 2023.

Financing Details

RockBox Fitness does not offer any direct or indirect financing options to its franchisees. The franchisor also does not guarantee any notes, leases, or other obligations for franchisees.

Performance Metrics

Total US Locations

59

Franchised Units

58

Corporate Units

1

Avg Square Footage

2,000

Franchising Since

2017

Agreement Terms

Initial Term

10 years

Renewal Term

10 years

Renewal Conditions

To renew the franchise agreement, RockBox Fitness franchisees must provide written notice of their intent to renew between 90 and 180 days before the current term expires. They must demonstrate the right to operate the business from an approved location for the new term, complete all required renovations to meet current system standards, be in compliance with all agreements with RockBox Fitness and its affiliates or approved suppliers, and satisfy all monetary obligations. Additionally, franchisees must sign RockBox Fitness's then-current franchise agreement, which may have different terms, meet any current training requirements for renewing franchisees, sign a general release, and pay a renewal fee of $10,000.

Training & Support Program

Franchisor Assistance

Before opening, RockBox Fitness assists franchisees with reviewing potential locations against its standards and specifications, providing standard building plans and decor specifications, suggesting staffing levels and hiring guidelines, and offering an initial training program. Franchisees also receive an operations manual, a list of specifications and approved suppliers for equipment and supplies, and advice on business plans and marketing introduction plans. RockBox Fitness provides 1-2 representatives for 3-5 days of on-site support during the business opening, and supplies initial inventory for the first 300 members. After opening, RockBox Fitness offers ongoing consultation and advice via phone or electronic communication regarding business management and operations. For additional on-site assistance requested by franchisees, a fee of $600 per day plus expenses may apply. RockBox Fitness may also conduct refresher and ongoing training courses, and maintains a brand website that includes franchisee business information.

Initial Training Hours

74

Training Location

Charlotte, North Carolina, or virtual

Ongoing Support

After opening, RockBox Fitness provides continuing consultation and advice regarding business management and operations, offered by phone or electronic communication as deemed necessary. Franchisees can request additional on-site assistance from RockBox Fitness personnel, which will incur a fee of $600 per day plus travel and lodging expenses. RockBox Fitness may also hold refresher and ongoing training courses, as well as an annual conference, which franchisees are required to attend and for which they pay a registration fee. RockBox Fitness administers a National Brand Fund for advertising and marketing, and maintains a brand website that includes franchisee business information.

Franchise Requirements

Ideal Candidate Profile

RockBox Fitness expects its franchisees, or at least one of their principals, to personally supervise the day-to-day operations of the business. Franchisees must dedicate their full-time attention and best efforts to managing and operating the business. While they can delegate day-to-day management to a 'Designated Manager', this manager must be approved by RockBox Fitness and successfully complete the initial training program before taking on responsibilities.

Industry Experience Required

No

Management Experience Required

Yes

Sales Experience Required

No

Technical Skills Required

No

Operational Details

Location Type

retail

Owner Participation

Hands-On

Territory Type

Protected

Territory Size Requirements

RockBox Fitness territories are typically defined as the lesser of a geographic area with a population of approximately 50,000 to 150,000 people, or a 3-mile radius from the business location. These territories are mapped based on market research, census data, and various factors such as population, median age, median household income, competition, and buyer capabilities. Each territory is defined by zip codes on a map, and while not exclusive, RockBox Fitness commits not to establish another brick-and-mortar business using its proprietary marks and system within a franchisee's designated territory as long as the franchisee complies with their agreement. The size of the territory will not be altered if the population changes.

Staffing Notes

RockBox Fitness provides suggested staffing levels, hiring guidelines, and operational instructions in its manual, which franchisees can use to train new employees. The franchisee or a designated manager must personally supervise the day-to-day operations and staff the business at all times. If a designated manager is used, they must be approved by RockBox Fitness and successfully complete the initial training program. All hiring decisions and employment conditions are the sole responsibility of the franchisee.