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Listing #5239

HEALTH FITNESS SPA PLUS NATIONWIDE FRANCHISOR

Price: $2,000,000
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 HEALTH FITNESS SPA PLUS NATIONWIDE FRANCHISOR

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A health and wellness fitness spa located in the heart of Silicon Valley.
 
An approved established active franchisor, with opportunities to expand nationwide.

Can support a semi-absentee or 'investment' ownership.

The business offers fitness, pain management, workout recovery, and beauty treatments, including cryotherapy, compression therapy, LED light therapy, electrical stimulation, and Celluma light facials.  Located inside and adjacent to a prestigious health club, the business enjoys a growing and lucrative recurring income from steady and repeat monthly memberships.

The cryotherapy industry is expanding, estimated to be worth almost $300 million by 2022, just over 3 years from now.  The business trademark is well-recognized, with publicity in 'Forbes' and 'Entrepreneur' magazines and on national TV.  In addition, it has an exclusive space-rental contract with a national health club chain to support the rapid sale of franchises.

This Silicon Valley location is the 'proof-of-concept' site; but, the business includes the entire franchisor enterprise.  The company's franchise disclosure document (FDD) is registered with the Federal Trade Commission (FTC) and most states, one franchise has already been sold, and a contract is in place with a national health club chain to support franchise sales throughout the country.

This is a rare opportunity to not only purchase a profitable, growing, in-demand business; but also, to have everything in place for rapid expansion by selling franchises nationwide.

Opened last November, this local company-owned site has hundreds of monthly members plus a steady stream of 'walk-in' clients, keeping it busy six days a week (M-F, 12-9; Sat., 10-2).  Revenues are increasing at about 24%, month-over-month. The owners estimate that by its one-year anniversary an owner-manager will easily realize single-site SDE of over $100,000.  And, that does not include income from franchise sales revenue and monthly royalties.

Training & Transition:  The Seller will provide extensive training and an orderly transition.  Seller would also be open to a long-term continuing relationship on an employment and/or equity basis.

Assets:  Tangible assets include leasehold improvements, furniture & fixtures, and specialized equipment with a cost basis of $208,000.  The franchisor registration alone (FDD, franchise agreement, operating manuals, multi-state registration, and initial franchise marketing) has a fair market cost of at least $100,000.  The trademark, branding, unique designs, nationwide name recognition and media exposure, and exclusive contract with a major national health club chain are worth hundreds of thousands of dollars.

The Transaction: The price for the business is open to negotiation; we are soliciting responsible offers from serious buyers. This would for the entire business, the flag-ship Silicon Valley site and the franchisor operation, including all related assets & equipment, employment relationships, customer contracts, database, intellectual property, franchise documents and registration, nationwide health club contract.  It does not include cash, accounts payable, or accounts receivable.

Note:  All data on this business is provided by the Seller for information purposes only, and no representations are made by the Broker as to accuracy. The Broker has made NO independent verification of the data contained herein. The Broker represents the Seller and does NOT represent the Buyer. The Buyer is advised to perform independent due diligence and seek the advice of professionals prior to purchasing the Business.


This is a listing.
Managing Broker & Owner Tim Cunha DRE License #01919755
   
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General Information
Listing Status: Available
Price: $2,000,000
Location: San Jose Metro
San Francisco South Bay
Lease Information: 3 year with 3 year option
Monthly Rent: $3,500
# of Working Owners: 2
Hours Open: Monday-Friday: 12:00 PM – 9:00 PM Saturday: 10:00 AM – 2:00 PM Sunday: Closed
Year Established: 2014
Inside Sq. Ft.: 521
Highlights
  • Including cryotherapy, compression therapy, LED light therapy, electrical stimulation, and Celluma light facials.

  • Located inside and adjacent to a prestigious health club

  • This Silicon Valley location is the 'proof-of-concept' site

  • the business includes the entire franchisor enterprise.

  • Thriving "state-of-the-art" health & wellness fitness spa in the heart of Silicon Valley, with cryotherapy, light therapy, & compression therapy. Recurring monthly revenue. PLUS an approved established active franchisor, with opportunities to expand natio



DISCLAIMER & NOTICE: The User (that's you reading this) of this Website understands that Timothy Cunha, J.D. ("Broker"), his agent(s), and EvergreenGold do not audit or verify any above information given to or gathered by Broker or its agent(s) from Seller, our Client, or make any warranties or representations as to its accuracy or completeness of the information provided, nor in any way guarantee future business performance. The User should perform a complete and detailed due diligence on the business and or real estate before buying it in addition to seeking professional advice from an attorney as well as a CPA.  In some cases, forward looking statements may have been made but these statements are absolutely no guarantees of future performance of the business as each User has differing skills sets to either grow the business or kill the business.  Owning a business is a risky venture, but can also be a rewarding one.  The User of this website is solely responsible to examine and investigate the Business and or real estate (if included in the sale), its assets, liabilities, financial statements, tax returns, and any other facts which might influence the User's purchase decision or the price the User is willing to pay. In most cases, the Broker represents the Seller who is our principal, but the Broker owes the User a duty of fair and honest dealings.  Any decision by User to purchase the Business shall be based solely on User's own investigation and the User's legal, tax, and other advisors and not that of Broker or its agent(s). Any listing information may change at any time without any notice to User and User should often review the listing on the website to keep up to date.

The information contained in this offering profile was provided by the Seller and is believed to be accurate. Broker has not verified the information and therefore makes no representations or warrantees as to its accuracy or completeness. This profile is subject to the Confidentiality Agreement and Disclaimer as agreed to and acknowledge by the Buyer. Please note: typically (1) Sq. ft. is estimated, and (2) Annual Payroll is last year's and does not include any owner wages.

THE PROSPECTIVE BUYER OR LESSEE SHOULD CAREFULLY AND INDEPENDENTLY VERIFY TO THEIR SATISFACTION EACH ITEM OF INCOME, EXPENSE, AND ASSET, AND ALL OTHER INFORMATION CONTAINED HEREIN.  The information contained herein and contained in any supplemental documents has been furnished by sources believed to be reliable.   While we intend to provide accurate information, no warranty or guarantee, either expressed or implied, is made as to any information provided on this property, business, and/or franchise. Any information concerning the sale of a business has been provided by the Seller, Buyer, or some other third  party to the Broker. Broker and Broker’s agents have not and do not verify the accuracy, veracity, or completeness of this information, and the recipient of this information is advised to conduct its own independent due diligence investigation as to accuracy, veracity, and completeness. The Broker and Broker’s agents are not responsible for misstatements of facts, errors, omissions, prior sale, change of price, or withdrawal from the market. We do not accept liability for any errors, omissions, corruption, or virus in the contents of this message or any attachments that arise as a result of email transmission.

AGENCY & REPRESENTATION DISCLOSURE: The Broker, whether acting as a listing broker or potential selling broker, hereby discloses that Broker is acting solely as agent for the seller in the marketing, negotiation, and sale  (or lease) of the property, business, and/or franchise.  Unless there is a clear, precise, explicit written agreement to the contrary, the Broker does not represent and is not acting as an agent for any prospective buyer(s).  This disclosure covers the Broker, any agent operating under the Broker’s license, and any employee or independent contractor of the Broker.

RESTRICTION ON BUYERS:   In no event shall a prospective buyer visit the property and/or communicate with the owner/seller or employees of the property, business, or franchise via phone, fax, email, postal mail, or any other means outside the presence of the Broker or Broker’s agent.  All information provided about any business is CONFIDENTIAL and PROPRIETARY, and not for further disclosure except in accordance with a signed Non-Disclosure Agreement (“NDA”).

ADVICE & COUNSEL:  Neither the broker nor any agent operating under the Broker’s license, nor any employee or independent contractor of the Broker is acting as an attorney, accountant, or tax/financial advisor, and no communication from them should be considered as legal, accounting, or tax/financial advice.

 



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