THE WELLNESS WAY logo

THE WELLNESS WAY Franchise

Audited Financials
WellnessEst. 2001Green Bay, WI
www.thewellnessway.com

Risk Score

Pending analysis

Investment Range

$75,400 - $245,298

Franchise Fee

$10,000

Min Cash Required

$10,000

Total US Locations

43

Business Summary

The Wellness Way is a network of health restoration clinics that helps people solve health challenges. The Wellness Way franchises allow individuals or entities to establish and operate chiropractic and health restoration clinics that provide chiropractic and wellness services through licensed chiropractors. The clinics use The Wellness Way's unique business system and trademarks.

Corporate History

The Wellness Way's founder, Dr. Patrick Flynn, established the first The Wellness Way Clinic in Green Bay in April 2001. The franchisor entity, The Wellness Way Franchise LLC, was formed in Wisconsin in March 2022 to offer franchises and began offering them as of July 1, 2022. The Wellness Way, LLC is the parent company, formed in November 2020.

Financial Overview

Investment Range

$75,400 - $245,298

Franchise Fee (Low)

$10,000

Franchise Fee (High)

$15,000

Minimum Cash Required

$10,000

Royalty %

5%

Marketing %

1%

Equipment Costs (Low)

$23,450

Equipment Costs (High)

$136,800

Working Capital

$15,000

Audited Financials

Yes

Offers Financing

No

Audit Opinion

Unqualified opinion

Financial Health Notes

The Wellness Way's financial statements show a member's equity deficit of $(22,780) at the end of 2023, following a significant member draw of $1,191,375 despite a net income of $1,149,350 for the year. Regulatory bodies in Illinois and California have determined that The Wellness Way has not demonstrated adequate capitalization and may rely on franchise fees to fund operations. As a result, initial fees for franchisees in these states are deferred until pre-opening obligations are fulfilled and the clinic is operational.

Financing Details

The Wellness Way does not offer any direct or indirect financing to its franchisees. The franchisor also does not guarantee any leases or other obligations for its franchisees.

Performance Metrics

Total US Locations

43

Franchised Units

20

Corporate Units

23

Avg Square Footage

1,350

Franchising Since

2022

Agreement Terms

Initial Term

7 years

Renewal Term

7 years

Renewal Conditions

To renew their franchise agreement, The Wellness Way franchisees must have fully complied with all material provisions of their agreement throughout the entire term. They need to pay a renewal fee, make any necessary capital expenditures to keep their clinic uniform with current system standards, and satisfy all monetary obligations to The Wellness Way and its affiliates. Franchisees must not be in default of any agreement, provide timely written notice of their intent to renew, and sign the then-current franchise agreement, which may have different terms. They also need to meet current qualifications and training requirements and sign a general release of claims.

Training & Support Program

Franchisor Assistance

The Wellness Way provides various types of assistance to its franchisees. Before opening, The Wellness Way helps with site selection criteria, provides equipment and supply guidelines, and offers an initial training program. Franchisees also receive a copy of The Wellness Way Confidential Operations Manual. After opening, The Wellness Way provides access to its System Software and a list of approved suppliers. The franchisor offers general guidance and advice by phone, email, and other electronic methods, and may conduct periodic visits to clinics for consultation. The Wellness Way also offers ongoing training and assistance, approves local marketing materials, and provides updates to the operations manual.

Initial Training Hours

76

Training Location

Corporate headquarters in Green Bay, Wisconsin, or an Approved Clinic, and online

Ongoing Support

After opening, The Wellness Way franchisees receive ongoing assistance and guidance, which may include periodic advice by phone, video conference, email, intranet, newsletters, and in-person visits to the clinics for consultation. The franchisor provides access to its System Software and a list of approved suppliers. Franchisees must also attend ongoing training programs and a mandatory annual or bi-annual conference, for which fees may apply in addition to travel and lodging expenses. The Wellness Way also approves local marketing materials and provides updates to the operations manual.

Franchise Requirements

Ideal Candidate Profile

The Wellness Way seeks individuals or legal entities that can meet the investment and effort required to operate a chiropractic and health restoration clinic. If the franchisee is an individual, they must also be a licensed chiropractor, serving as both the Designated Managing Owner and Designated Managing Chiropractor. If the franchisee is an entity, they must appoint a licensed chiropractor as the Designated Managing Chiropractor, who will work at least 25 hours per week at the clinic. The franchisor does not offer franchises to management companies that do not meet the legal requirements to own and operate such a clinic, emphasizing active engagement over passive investment.

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

Staff Count

2

Territory Size Requirements

The Wellness Way territories are typically defined as a 3-mile or greater radius from the approved clinic location. The exact geographic size is determined by factors like population density and other demographic considerations. Boundaries are described using coordinates or fixed geographical features on a map.

Staffing Notes

The Wellness Way requires each clinic to have a Designated Managing Owner, Designated Managing Chiropractor, Designated Office Manager, and a Designated Marketing Coordinator. An individual may hold multiple of these positions, but the Designated Managing Chiropractor and Designated Office Manager must each commit to spending 25 or more hours weekly at the clinic. Franchisees, or their designated managers, are responsible for selecting, training, evaluating, and supervising all clinic staff, ensuring compliance with all applicable professional licensing and employment laws. Every practitioner providing patient care must complete a mandatory 60-hour online training program within six months of being hired.