Earnings Claims of Top Franchises Revealed

Earnings Claims of Top Franchises Revealed

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FDD Talk 2014: Our Latest Views on Moms on the Run’s Average Sales for New and Existing Franchised Locations

by Franchise Chatter on July 19, 2014

in Fitness Franchises, Franchise Earnings, Low Cost



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Highlights of Moms on the Run’s Item 19 Financial Performance Representations (2014 FDD)

  • Moms on the Run franchised businesses operate a group fitness and training business providing, among other things, group walking, running, training, fitness, strength, and toning classes and programs. The franchised business will primarily operate from a park, reserve, trail, or outdoor recreational location that the franchisor approves.
  • Moms on the Run began offering franchises in February 2012. Since 2011, the franchisor has operated a business similar to the one offered under the Disclosure Document in Forest Lake, Minnesota.
  • The total estimated initial investment necessary to begin operation of a Moms on the Run franchise is from $3,605 to $9,780. This includes $2,500 to $3,000 that must be paid to the franchisor or its affiliates.
  • The historical financial performance information contained in this Item 19 is divided into two sections.
  • Section I includes the average historical first year sales information experienced by Moms on the Run’s 11 franchisees that started operating their Moms on the Run franchised businesses in April 2013 (the “New Franchised Locations”).
  • The financial performance information contained in Section I for the New Franchised Locations reflects average sales information during the time period of April 1, 2013 through December 31, 2013 (the “Measurement Period”).
  • Section II of this financial performance representation includes the average historical sales information experienced by Moms on the Run’s 10 franchisees that have operated their Moms on the Run franchised businesses for 3 or more years as of December 31, 2013 (the “Existing Franchised Locations”).
  • The financial performance information contained in Section II for the Existing Franchised Locations reflects average sales information experienced by the Existing Franchised Locations during the Measurement Period.
  • Moms on the Run does not represent that you can expect to attain these same results. There is no assurance that you will achieve the same figures detailed in the tables below. You must bear in mind that a newly opened business should not be expected to achieve sales volumes similar to that of an established business.
  • The financial performance figures do not reflect all of the costs of sales, operating expenses, or other costs or expenses that must be deducted from net revenue or net sales figures to obtain your net income or profit. For example, this Item 19 does not include costs associated with paying any Monthly Fees.

Section I – New Franchised Locations

  • The average historical sales information experienced by New Franchised Locations during the Measurement Period is as follows:


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