We Rock The Spectrum Kid's Gym for all Kids Franchise
Audited FinancialsRisk Score
Pending analysis
Investment Range
$98,850.3 - $361,291.3
Franchise Fee
$40,000
Total US Locations
97
Business Summary
We Rock The Spectrum Kid's Gyms provide a safe, nurturing, and fun environment for all children. We Rock The Spectrum Kid's Gyms include unique equipment designed to help children with neurological growth, sensory-based swings and toys, indoor and mobile play structures, motor play equipment, and areas for arts, crafts, and physical fitness programs. The aim is to promote learning, exploration, and safe sensory experiences for children. We Rock The Spectrum offers three franchise programs: Single Gym, Area Development, and We Rock on Wheels (mobile gyms).
Corporate History
We Rock The Spectrum, LLC was organized in September 2013 and is the franchisor for We Rock The Spectrum Kid's Gyms. An affiliated company, We Rock The Spectrum Kid's Gym, LLC (the Operating Company), was established in September 2010 and opened the first We Rock The Spectrum Kid's Gym in Tarzana, California, in September 2010. We Rock The Spectrum, LLC began offering franchises for these gyms in October 2013.
Financial Overview
Investment Range
$98,850.3 - $361,291.3
Franchise Fee (Low)
$40,000
Franchise Fee (High)
$65,000
Royalty %
5%
Equipment Costs (Low)
$50,000
Equipment Costs (High)
$136,700
Working Capital
$22,500
Audited Financials
Yes
Offers Financing
No
Audit Opinion
Unqualified opinion
Financial Health Notes
We Rock The Spectrum's financial statements for the years ended December 31, 2024, and 2023, have received an unqualified audit opinion, meaning the financial position, operations, and cash flows are presented fairly in all material respects. The company does not anticipate any material adverse effects from legal actions on its financial position. Management also believes all outstanding accounts receivable will be collected.
Financing Details
We Rock The Spectrum does not offer any direct or indirect financing options to its franchisees. The company also does not guarantee any loans, leases, or other financial obligations for its franchisees. Franchisees are responsible for securing their own funding.
Performance Metrics
Total US Locations
97
Franchised Units
96
Corporate Units
1
Avg Square Footage
6,750
Franchising Since
2013
Legal & Compliance Analysis
Recent Litigation
Yes
Bankruptcy
No
Litigation Count
3
Litigation Summary
We Rock The Spectrum has been involved in three legal disputes. Two cases from 2017 and 2018 involved former franchisees. One, filed in 2017, concerned a franchisee opening a competing business and was settled in 2018, resulting in We Rock The Spectrum refunding a territory development fee. The other, filed in 2018, involved a dispute over a gym purchase and operations with a franchisee, which was reclassified to a limited jurisdiction action and settled, with only costs and prejudgment interest of approximately $5,350 awarded to the plaintiff in 2021. No collection efforts have been made to date. More recently, in June 2023, a third party initiated a proceeding with the Trademark Trial and Appeal Board, seeking to cancel one of We Rock The Spectrum's trademark registrations. This trademark dispute is currently pending and in the discovery phase.
Bankruptcy History
We Rock The Spectrum has no bankruptcy history to report.
Agreement Terms
Initial Term
10 years
Renewal Term
5 years
Renewal Conditions
To renew, We Rock The Spectrum franchisees must have complied with all their obligations during the previous franchise term. They will need to sign We Rock The Spectrum's then-current form of Franchise Agreement, which may include terms and conditions that are materially different from their original agreement. Franchisees are also required to pay a renewal fee and sign a General Release Agreement. The fees for the renewal franchise agreement will be set at the rates applicable to new We Rock The Spectrum Kid's Gyms at that time.
Training & Support Program
Franchisor Assistance
We Rock The Spectrum offers comprehensive support to its franchisees. Before opening, We Rock The Spectrum provides assistance with site selection and design, grants access to operations manuals, and conducts an initial training program for up to two people, including the Principal Owner and General Manager. They also provide lists of approved suppliers for merchandise, equipment, and mobile gym specifications, and may offer virtual training. After opening, We Rock The Spectrum offers on-site training assistance for the first week, additional training programs for new or managerial staff as needed, and regular consultation on administrative and operational issues. They continually update manuals and lists of approved suppliers, perform inspections, and offer pricing guidelines. Franchisees also gain access to We Rock The Spectrum's proprietary programs, trademarks, and confidential information. The franchisor may also establish a toll-free customer service number and conduct virtual training and inspections.
Initial Training Hours
40
Training Location
Tarzana, California; Jacksonville, Florida; Philadelphia, Pennsylvania; Cincinnati, Ohio; Sugarland, Texas; Forest Hill, Maryland; Bristol, Tennessee; Jupiter/Tequesta, Florida; Triad, North Carolina; and/or at the franchisee's WRTS Kid's Gym location; and/or remotely via virtual communication platforms like Zoom, Skype, and FaceTime.
Ongoing Support
We Rock The Spectrum provides ongoing support to its franchisees after their gyms open. This includes up to seven days of on-site assistance for the first gym, and additional training programs for new or replacement supervisory staff as needed. We Rock The Spectrum offers regular consultation and advice on administrative and operational matters and provides updates to its operations manuals and approved supplier lists. The franchisor conducts inspections to ensure adherence to brand standards and offers pricing guidelines. Franchisees also maintain access to We Rock The Spectrum's proprietary programs, trademarks, and confidential information. The company may also establish a toll-free number for customer service and utilize virtual platforms for ongoing training and inspections. Additionally, the Principal Owner and General Manager must attend an Annual Franchise Conference, with an in-person fee applicable.
Franchise Requirements
Ideal Candidate Profile
We Rock The Spectrum seeks franchisees who can pass a background and credit check deemed acceptable by the franchisor. The ideal candidate must be able to demonstrate the necessary skills to operate a We Rock The Spectrum Kid's Gym successfully. Franchisees must designate a Principal Owner who will be responsible for operational decisions, commit full-time to a management role, and own at least a 51% interest in the franchise's equity. A General Manager is also required to oversee operations in the Principal Owner's absence. Both the Principal Owner and General Manager must either be certified as a Registered Behavior Technician (RBT) or successfully complete RBT certification training.
Industry Experience Required
No
Management Experience Required
Yes
Sales Experience Required
No
Technical Skills Required
No
Operational Details
Location Type
Hybrid
Owner Participation
Full-Time
Territory Type
Exclusive
Staffing Notes
We Rock The Spectrum Kid's Gyms require a Principal Owner who is responsible for operational decisions and dedicates full-time effort to a management capacity, rather than working as a staff member. A General Manager must also be designated to supervise the gym in the Principal Owner's absence. All locations must be directly supervised by either the Principal Owner, General Manager, or other trained managerial personnel. We Rock The Spectrum requires franchisees to provide comprehensive initial and ongoing training for their employees to ensure the gym is always under the direct control of fully trained staff. Additionally, all Owners, Principal Owners, and General Managers must successfully complete Registered Behavior Technician (RBT) Certification Training.