From the filed FDD — automated extraction, check the source
2026 FDD
SBA-eligible · directory code S1592 since 2017
Snap Fitness
Gyms & health clubs · parent company: not identified
Snap Fitness is a 24/7 gym franchise offering compact clubs with cardio and strength equipment and keycard access at all hours. A franchisee operates a fitness club with lean staffing, selling monthly memberships and personal training to members who value convenience and around-the-clock access.
Snap Fitness net unit count declined 10.0% over 2023–2025 per its FDD Item 20.
New to franchising? Start here
A franchise is a business where you (the franchisee) pay a company (the franchisor) for the right to open and run a location using their brand and system — think a local Anytime Fitness or Taco John's owned by a small-business owner, not the corporation.
Before you can buy in, U.S. law requires the franchisor to give you a Franchise Disclosure Document (FDD) — a long legal filing covering its fees, finances, and history. Most numbers on this page come from that document; others come from federal SBA loan records and labor and census data, each labelled with its source:
- Franchise fee — the one-time cost to buy in.
- Royalty — the ongoing cut of your sales you pay the franchisor.
- Item 20 — how many locations opened, transferred and left the system, the main basis for our verdict, which rates how strong the disclosed record is, or says when the system is too new, the filing too old, or the disclosure too thin to judge.
Our rating · opinion
Weaker disclosed record
As we extracted it, the audited financial statements in this brand's 2026 FDD include going-concern language — a statement of "substantial doubt" that the franchisor (or, in some filings, its parent) can continue operating for a year. Where it appears (the auditor's report, management's notes, or the state cover page) is shown in the franchisor-finances section below; confirm it in the FDD's financial-statement exhibit. We cap the rating whenever it appears.
Exit rate · fiscal 2025
5.2%
vs 4.6% median across 6 comparable systems (gyms & health clubs)
Cost to open
$555K–$828K
Item 7 total investment range
SBA loan losses · vs same-year loans
0.8×
27 of 233 charged off vs ~36 expected
Market density · Minnesota
Typical density
3% denser than the national average
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Data as of 2026-10-29. Figures come from Snap Fitness's public FDD filings (latest: MN 2026, extracted 2026-07-23) and SBA FOIA loan records (through FY2026), extracted by us and possibly containing errors. The rating is our opinion, not investment, legal, or tax advice. Franchisor or owner and see something wrong? Report a correction — we review every request.
What each source says
FDD record · SBA loans · model · auditor
The going-concern disclosure in Item 21 comes first: whatever the unit or loan record says, the filing itself raises doubt that the company selling the franchise, or the parent behind it, can keep operating.
FDD record · Item 20
Weaker operating record
Units fell 10% (2023–2025: 520 → 468); exit rate 5.2% (fiscal 2025) vs 4.6% median.
SBA loans · vs same-year loans
About as expected (0.8×)
27 charge-offs among 233 resolved loans approved FY2005–2020; about 36 expected.
Modeled risk
Moderate
Safer than 63% of scored systems.
Auditor opinion · Item 21
Auditor's report flags the parent's going-concern doubt
The 2026 auditor's report points to the parent company's substantial doubt about its own ability to continue.
Behind the verdict
the record, factor by factor · Item 20
latest consecutive years · Item 20 Table 1
terminations + ceased-ops vs. all exits · Table 3
transfers vs. base · Table 3
actual vs. projected openings · Table 5
Item 19 disclosure + completeness · shown, not counted in the verdict
Systemwide units
2023–2025
Survival record
FDD Item 20 · outlet status by year
In fiscal 2025, 25 of 484 franchised outlets left the system — an exit rate of 5.2% (fiscal 2025), vs a 4.6% median across 6 comparable systems (gyms & health clubs). An exit is not a failure: this counts terminations, non-renewals and "ceased — other reasons" as reported, and excludes transfers to new owners.
Show the outlet tables ↓Hide the evidence ↑
| Status (FTC) | 2017 | 2018 | 2019 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|---|
| Outlets at start | 994 | 933 | 880 | 559 | 520 | 493 |
| Opened | 35 | 22 | 7 | 2 | 6 | 1 |
| Transfers | 69 | 72 | 52 | 33 | 31 | 19 |
| Terminations | 23 | 43 | 69 | 0 | 1 | 0 |
| Non-renewals | 5 | 1 | 3 | 20 | 21 | 13 |
| Reacquired by franchisor | 2 | 0 | 0 | 0 | 0 | 0 |
| Ceased — other reasons | 40 | 15 | 4 | 19 | 10 | 12 |
| Outlets at end | 933 | 880 | 809 | 520 | 493 | 468 |
| Net change | -61 | -53 | -71 | -39 | -27 | -25 |
The franchisor's own finances
FDD ITEM 21 · AUDITED STATEMENTS · 2026 FDD
Deloitte & Touche LLP's report in the 2026 FDD points to the parent company's own statement of substantial doubt about its ability to continue; revenue rose 18% from FY2023 to FY2025.
Deloitte & Touche's report on Snap Fitness, Inc. has an Emphasis of Matter paragraph (p. 77): the parent, Lift Brands, Inc., has stated substantial doubt about its own ability to continue, and its term note is guaranteed by substantially all of Snap Fitness's assets. Opinion not modified.
Revenue · FY2025
$62.4M
p. 81 · matched to statement
Net income · FY2025
$7.6M
p. 81 · matched to statement
Where FY2025 revenue came from
68% royalties
initial-fee share not extracted
Show the statement figures ↓Hide the evidence ↑
| Fiscal year | FY2023 | FY2024 | FY2025 |
|---|---|---|---|
| Total revenue | $52.8Mp. 81 · matched to statement | $56.8Mp. 81 · matched to statement | $62.4Mp. 81 · matched to statement |
| Royalty revenue | $30.9Mextracted · not cross-checked | $35.8Mextracted · not cross-checked | $42.2Mextracted · not cross-checked |
| Net income (loss) | $5.0Mp. 81 · matched to statement | $7.5Mp. 81 · matched to statement | $7.6Mp. 81 · matched to statement |
| Equity (deficit) at year end | not extracted | $24.1Mp. 80 | $34.6Mp. 80 |
The lender's view
SBA 7(a)/504 loan outcomes · compared with franchise loans of the same years
Banks have made 327 SBA-backed loans to Snap Fitness franchisees since 2005. Of the 233 approved FY2005–2020 that have resolved, 27 charged off — where about 36 would be expected for franchise loans made in the same years. That is 0.8× the expected rate: these loans defaulted at a rate not clearly different from comparable franchise loans (a gap this size on this many loans could be chance).
All-time, 27 of 237 resolved loans charged off (11.4%). That raw figure mixes every approval year since 2005 — loans made in 2006–08 failed at several times the rate of loans made in 2010–13 across all franchises — so it is shown as evidence, not as the score.
0.8×
27 of 233 resolved (FY2005–2020) vs ~36 expected
11.4%
27 of 237 resolved, every approval year
62.3%
charged-off $ ÷ approved $, defaulted loans
$229,816
what recent franchisees borrowed
53 mo
approval → charge-off, defaulted loans
22 vs 48
distinct banks — fewer than FY16–20 (loan volume and SBA name coding affect this)
Charge-off rate by loan approval year (%) · dashed line = all franchise loans that year
SOURCE: SBA 7(a)/504 FOIA LOAN DATA (DATA.SBA.GOV), FY1991–PRESENT · MATCHED TO SNAP FITNESS BY SBA FRANCHISE NAME/CODE · RESOLVED = CHARGED-OFF + PAID-IN-FULL · EXPECTED = SAME-YEAR RATE ACROSS ALL SBA FRANCHISE LOANS, LOANS ≥ ~6 YEARS OLD
The owner's side of the deal
FDD × federal loan record
Who finances it
The Huntington National Bank
5.9% of this brand's loans
That lender charges off 10.0% of its resolved SBA loans to other franchise brands in the FOIA file, vs 14.8% nationally — a read on that lender's portfolio mix, not a finding about the bank.
Who buys it
58.6%
borrowers with no other franchise SBA loan on record
The rest already owned at least one other franchise. Across the corpus, brands bought mostly by repeat operators have charged off less often than brands sold mostly to newcomers (see methodology).
Does experience help here?
−10.9pp
multi-unit vs single-unit owners
Owners of multiple units default at 4.1%; single-unit owners at 15.0% (each on 15+ resolved loans, owners identified by borrower-name matching).
Computed from 327 SBA 7(a)/504 loans matched to Snap Fitness by SBA franchise code in the SBA FOIA file. Debt service assumes level amortization at the average disclosed term and rate. Owner-level splits rely on borrower-name matching and may misclassify. A lender's rate excludes its loans to this brand, so it reads the lender, not the brand.
What it costs — and what it drags
FDD Items 5–7 · fees, investment, royalty
Buying in means a $39,500 franchise fee (Item 5) and a total investment of $555K–$828K (Item 7). The franchisor publishes an earnings claim (Item 19) — read its methodology closely.
To open (Item 7)
$555K–$828K
all-in investment range
Franchise fee (Item 5)
$39,500
upfront, one-time
Royalty (Item 6)
See Item 6
not a single flat % — read the fee table
This is not profit. It covers what the FDD fixes: what you put in, and the royalty you owe on sales. Your take-home depends on rent, staff pay, equipment payments, and the months to breakeven, none of which the FDD fixes for your unit (some Item 19s include cost data — read it).
Build a real pro-forma for Snap Fitness with a buyer-paid CPAHow the earnings claim is built
FDD ITEM 19 · BASIS · 2026 FDD
The headline figure is Sales per Year for CY2025, for 459 of 460 units, leaving out corporate-owned clubs, clubs opened Jan 1, 2026 or later. The mean is 18% above the median, so a minority of high-volume units pulls the average up. It shows no costs, so it says nothing about what an owner keeps.
Graded on three things the filing states: coverage (2 points if the figure covers at least 75% of the units it is compared with, 1 point for 50–75%), centre (2 points if it prints both a median and a mean, 1 for one of them), and costs (2 points for costs through a profit line or full cost detail, 1 for some cost items). 5–6 points = More complete, 3–4 = Partial, 0–2 = Limited. The grade describes the disclosure, not the business.
Show the basis ↓Hide the evidence ↑
| What is measured | Sales per Year (revenue) |
| Period | CY2025 |
| Whose results | Franchised outlets |
| Units included | 459 of 460 U.S. Snap Fitness Clubs as of Dec 31, 2025 |
| Left out |
|
| Average (mean) | $278K |
| Median | $234K |
| Mean vs median | mean 18.4% above median |
| Met or beat the average | 170 (37%) |
| Costs shown | None — sales only |
| Where | p. 48 (Item 19 runs pp. 42–50) |
Labor record
US Dept. of Labor enforcement · franchisee-level · FY2005–present
Federal investigators have concluded 15 wage cases against operators of this system, recovering $4K in back wages for 12 workers. These cases name franchisee-owned locations, not the franchisor itself.
Concluded cases
15
Back wages owed
$4K
Employees affected
12
Since 2020
0
Read this carefully. The employers in these cases are individual Snap Fitness franchisees — separately owned businesses operating under the brand name — not Snap Fitness itself. The franchisor is not the respondent and in most cases is not a party. What the record shows is how this system's operators run their payrolls, which is worth knowing before you become one of them. Counts rise with system size and with age: a 20-year-old, 10,000-unit system will out-count a young one regardless of conduct. Cases are matched to the brand by trade name and may include misattributed employers. Source: DOL Wage and Hour Division concluded compliance actions, FY2005–present, most recent finding 2014.
Modeled risk
FDD Risk Score · a prediction from disclosure and loan-file features
Modeled from the public record, this brand looks safer than 63% of the systems we score (moderate band).
Observed · vs same-year loans
0.8×
27 of 233 seasoned loans charged off
Risk percentile
37th
Checkable · higher = riskier
Modeled · vs same-year loans
1.0×
≈ 16.2% at the all-loan vintage mix
Top drivers: Non-clean audit opinion (raises) · System size (log units) (lowers) · Share financed by high-loss lenders (lowers) · Item 3 litigation (log) (lowers). The brand has 30+ seasoned resolved SBA loans, so the score can be checked against its own record. A linear scorecard trained on brands' vintage-adjusted SBA loss records; full spec and cross-validated accuracy on the methodology page. A score is context, not a verdict.
Public records
Bankruptcy, closure & federal court records · coverage is selective · dockets are not scored
We have no verified public-record signals published for Snap Fitness. This is not evidence that no events exist. Check PACER, the FDD's Item 3 (litigation) and Item 4 (bankruptcy), and recent news yourself.
11 questions to ask a Snap Fitness franchisee
Built from this brand's own disclosures · take it to your validation calls
The franchisor will give you a list of owners to call. Most buyers ask whether they like it. These questions come from what Snap Fitness has disclosed. Each one carries the number it came from, so you can check the answer against the record.
- 01
Snap Fitness’ own Item 20 shows 25 of 484 franchised outlets left the system in fiscal 2025 — about 5.2%. Do you know any of those owners, and do you know why they left?
A franchisor will call these “transitions.” An owner three doors down usually knows whether they sold at a profit or handed the keys back.
FDD Item 20 · FY2025
- 02
19 units transferred to new owners in fiscal 2025. When you look at those, were they people cashing out a good business — or getting out of a bad one?
Item 20 counts transfers as neutral, but a transfer can be a good sale or a reluctant exit — the filing does not say which.
FDD Item 20 · FY2025
- 03
The system went from 520 units to 468 over 3 disclosed years. What's the explanation you've been given, and do you believe it?
A shrinking system means fewer owners funding the ad fund and support staff you're paying for.
FDD Item 20 · FY2023–FY2025
- 04
SBA loans to Snap Fitness franchisees approved 2005–2020 defaulted at a rate not clearly different from franchise loans made in the same years: 27 charge-offs among 233 resolved loans, where about 36 would be expected (0.8×). Did you finance with an SBA loan, and how close did your first two years come to trouble?
This is the lender's view of how these loans ended, from public federal records matched by SBA franchise code — independent of anything the franchisor discloses — compared with franchise loans made in the same years. A charge-off is a loan outcome, not proof the business closed.
SBA 7(a)/504 loan record, seasoned loans FY2005–FY2020 · 0.8× of same-vintage franchise loans
- 05
Snap Fitness makes an earnings claim in Item 19. Does your unit look like that number — and do you know which units they included to build it?
Item 19 is legal to build from a flattering subset. Ask whether they excluded new units, closed units, or company stores.
FDD Item 19 · 2026
- 06
How many months did it take to cover your own costs, and how much cash did you burn getting there?
Ramp-to-breakeven working capital is the most underestimated line in any franchise purchase, and the most common reason otherwise-good units fail.
Not disclosed in any FDD — ask an owner
- 07
Our extraction of the franchisor's audited financials (Item 21) found going-concern language — confirm it in the filing. Has support or supply changed for you in the last year?
If the franchisor fails, your agreement, your supply chain and your brand can be sold to someone whose plans you never agreed to.
FDD Item 21 · audited financials
- 08
Item 3 discloses 9 legal matters. Do you know what those were about, and were any brought by franchisees?
Franchisee-brought suits over territory, fees or support tell you how the franchisor behaves when there's a disagreement.
FDD Item 3 · 2026
- 09
What does the franchisor charge for that you didn't expect — required tech fees, mandatory remodels, approved-supplier pricing?
Required spending appears across Items 6, 8 and 11 rather than in one place, so buyers routinely miss the total.
FDD Items 6, 8, 11
- 10
If your agreement came up for renewal tomorrow at current terms, would you sign again?
The single most predictive question you can ask. A hesitation is the answer.
Ask every owner you speak to
- 11
Who else should I call — including someone who left?
The franchisor's list is curated by definition. Former franchisees are where the unflattering truth lives, and current owners usually know how to reach them.
Ask every owner you speak to
Want this as a checklist you can take to the calls?
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A broker is usually paid by the franchisor to place you. I'm paid only by you, never by a franchisor you're considering — and the job is pressure-testing Snap Fitness’ numbers, including talking you out of a bad deal.
This page is what buyers see before they call you for validation. If the record above is wrong — or right in a way the numbers can't show — say so. Franchisors: send corrections with the page reference and we will review them against the filing and update or annotate the page. Corrections are checked against the filings; nothing you write is published with your name unless you agree to it.
Snap Fitness franchise questions, answered from the filings
How many Snap Fitness franchised outlets left the system last year?
In Snap Fitness's latest FDD Item 20 (fiscal 2025), 25 of 484 franchised outlets left the system — an exit rate of 5.2% — compared with a 4.6% median across 6 comparable systems (gyms & health clubs) tracked here. That counts terminations, non-renewals, and "ceased operations — other reasons" as the franchisor reported them; it excludes transfers to new owners. The FDD does not say why each outlet left, and an exit is not the same as a failure.
How much does a Snap Fitness franchise cost?
Per Snap Fitness's 2026 FDD, buying in requires an initial franchise fee of $39,500 (Item 5) and a total initial investment of $555K–$828K (Item 7).
Does Snap Fitness disclose earnings (Item 19)?
Yes — Snap Fitness makes a financial performance representation in Item 19 of its 2026 FDD, reporting a median unit volume of $234K. Read it closely: franchisors choose which units and which metrics to include.
How often do SBA loans for Snap Fitness franchises default?
SBA loans to Snap Fitness franchisees approved 2005–2020 defaulted at a rate not clearly different from franchise loans made in the same years: 27 charge-offs among 233 resolved loans, where about 36 would be expected (0.8×). All-time, 27 of 237 resolved loans since 2005 charged off (11.4%); that raw figure mixes every approval year, so we compare with same-year loans instead. A charge-off is a loan loss, not proof the business closed. Source: public SBA 7(a)/504 FOIA data.