FILING · MN · 2025 FDD
HOTWORX FDD (Franchise Disclosure Document) — 2025
The FDD is the 23-item legal disclosure every U.S. franchisor must hand you at least 14 days before you sign or pay anything (FTC Franchise Rule, 16 CFR 436). HOTWORX's most recent FDD tracked here is the 2025 FDD, filed with the Minnesota Department of Commerce (public CARDS portal). Registration-state filings are public records, so you can read it free, with no sign-up.
PUBLIC RECORD · FILED 2025 · SOURCE STATE MN
| ITEM 5 | Initial franchise fee | $19,950 |
| ITEM 7 | Total initial investment | $289K–$830K |
| ITEM 3 | Disclosed litigation matters | 2 |
| ITEM 19 | Earnings disclosure (FPR) | Yes — median unit volume $354K (population and period as defined in the filing's Item 19) |
| ITEM 20 | Outlets (fiscal 2025) | 797 franchised at year end · 1 exits (exit rate 0.1%, fiscal 2025) |
| ITEM 21 | Franchisor financial statements | Unmodified (clean) opinion — KPMG LLP |
Item 19's tables are images in this filing, so we could read who is included but not every figure.
| What is measured | Total Revenue (revenue) |
| Period | FY2025 |
| Whose results | Franchised outlets |
| Units included | 700 of 797 open franchise outlets during 2025 fiscal year |
| Left out |
|
| Average (mean) | not printed |
| Median | not printed |
| Met or beat the average | 300 (42.9%) |
| Costs shown | Yes — through a profit line |
| Where | p. 83 (Item 19 runs pp. 77–87) |
| The filing's words | “The 700 studios accounted for below in Table 19.2 are comprised of franchised businesses that were opened between 2017 and 2024 and were fully operational for all 12 months in 2025.” |
KPMG LLP gave an unmodified (clean) opinion on the statements in the 2025 FDD; revenue rose 50% from FY2023 to FY2025 and it reported a net loss in FY2024.
Audit opinion
Unmodified (clean) opinion
KPMG LLP
Revenue · FY2025
$13.6M
extracted · not cross-checked
Net income · FY2025
$4.4M
extracted · not cross-checked
Where FY2025 revenue came from
20% royalties
initial-fee share not extracted
- Fiscal years covered: FY2023, FY2024, FY2025 (2025 FDD)
- Statements are for: not extracted
- Parent / owner: not identified in the statements
| Fiscal year | FY2023 | FY2024 | FY2025 |
|---|---|---|---|
| Total revenue | $9.1Mextracted · not cross-checked | $12.1Mextracted · not cross-checked | $13.6Mextracted · not cross-checked |
| Royalty revenue | $2.6Mextracted · not cross-checked | $3.4Mextracted · not cross-checked | $2.7Mextracted · not cross-checked |
| Net income (loss) | $3.7Mextracted · not cross-checked | −$770Kextracted · not cross-checked | $4.4Mextracted · not cross-checked |
How to read this: royalties recur as long as franchisees trade; initial and development fees arrive only when new franchises are sold. A franchisor whose revenue leans on initial fees is funding itself by selling territories, and that revenue stops when sales slow. Under ASC 606 most franchisors recognize initial fees over the agreement term, so the line understates the cash collected in a strong selling year. Ad-fund revenue, where reported, is included in total revenue as the statements present it.
Each figure links to its page in the filed PDF. “Matched to statement” means our extraction and a second, rule-based read of the statement page agree; “extracted · not cross-checked” means the statement page is a scanned image or could not be read as text. Figures we could not place on a consistent scale are withheld, not guessed. Spotted an error? Report a correction.
Every figure above was extracted by software from the 2025 HOTWORX FDD as filed (figures are not individually checked by a person) and links back to that document. Fields that could not be extracted are omitted; no figure here is estimated. Extraction errors are possible: the filing controls, and FDDs are reissued annually; verify against the current issuance before relying on any number. Spotted an error? Franchisors and owners can report it via the contact on our Terms page.
HOTWORX FDD questions, answered
Where can I download the HOTWORX FDD for free?
HOTWORX's 2025 Franchise Disclosure Document is a public record, filed with the Minnesota Department of Commerce (public CARDS portal). It can be downloaded free from the source link on this page — no broker form, no email signup required.
What year is HOTWORX's most recent FDD on file?
The most recent HOTWORX FDD tracked here is the 2025 FDD, filed with the Minnesota Department of Commerce (public CARDS portal). Franchisors must update their FDD annually; confirm you are reading the current issuance before signing.
Does HOTWORX's FDD disclose earnings (Item 19)?
Yes — HOTWORX makes a financial performance representation in Item 19 of its 2025 FDD, reporting a median unit volume of $354K. Read the basis fine print: franchisors choose which units and metrics to include.
What does HOTWORX's FDD Item 20 show?
In fiscal 2025, HOTWORX ended with 797 franchised outlets; 1 of 712 open at the start of the year left the system (exit rate 0.1%, fiscal 2025) through terminations, non-renewals, and "ceased operations — other reasons".
The HOTWORX validation checklist
questions built from this brand's own filings · read them all on the profile
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