In this FDD Talk 2015 post, you’ll learn the following:
- Section I – Background information on the TITLE Boxing Club franchise opportunity, including relevant news updates
- Section II – Estimated initial investment for a TITLE Boxing Club franchise, based on Item 7 of the company’s 2015 FDD
- Section III – Presentation and analysis of TITLE Boxing Club’s financial performance representations, based on Item 19 of the company’s 2015 FDD, including information on the:
- average, high, low, and median first full calendar month gross sales after opening for TITLE Boxing Club facilities that opened in 2012, 2013, and 2014
- average first 30 day sales and pre-sales for TITLE Boxing Club facilities that opened between January 1, 2014 and December 31, 2014
- average, high, low, and median monthly gross sales for the first quarter of 2014 versus the first quarter of 2015 for the 111 TITLE Boxing Club facilities that were open and operating during both entire time periods
- product mix (membership revenue, retail sales, and personal training sales) of all the TITLE Boxing Club facilities’ gross revenue during the entire 2014 calendar year
Section I – Background Information
Explosive Growth Drives TITLE Boxing Club
TITLE Boxing Club has grown rapidly since its inception in 2008 as a company offering fitness and training opportunities featuring cardio, boxing and kickboxing, and selling boxing apparel and equipment.
Retired professional boxer and promoter Danny Campbell started TITLE Boxing Club in 2008 with Kansas businessman Tom Lyons and David Hanson and Tony Carbajo, owners of Kansas-based TITLE Boxing Company, a boxing, kickboxing and mixed martial arts equipment company. The first TITLE Boxing Club opened in Overland Park, Kansas, in January 2008.
TBC International LLC is now owned by Campbell, Lyons, Hanson, Carbajo, Kansas businessman Rich Washburn and franchise expert John Rotche, who became company president in 2013 and moved into the CEO spot in 2014.
Franchising began in 2009 after opening three successful TITLE Boxing Clubs. The first franchise location opened in April 2010 in Prairie Village, Kansas. The company currently has about 150 locations.
More than 400 franchises are in development nationwide, and the company has agreements to move into several other countries, including a master franchise agreement that led to its first international location in Cancun, Mexico, in January 2014. The company also has plans to expand in Canada, Chile, Columbia, Dubai and Peru.
Growth Drives Honors
TITLE Boxing Club continues to be recognized for its strong growth. In 2015, it ranked No. 230 on Entrepreneur’s Franchise 500 list, up from 235 in 2014, and was No. 90 on Entrepreneur’s list of Fastest-Growing Franchises.
2014 saw TITLE Boxing Club reach the No. 202 spot on the Inc. 5000 list of the fastest-growing privately-owned American companies, where it was also the No. 3 Kansas-based company.
Also in 2014, the company was No. 9 among Entrepreneur’s Top New Franchises for 2014, No. 36 on Entrepreneur’s list of Fastest Growing Franchises, and No. 347 on the 2014 Franchise Times Top 200 (Plus 300) list.
Calorie-Blasting Workout Sessions
Workout sessions for men and women last 30, 60 or 75 minutes and focus on fitness rather than fighting. The group sessions, which TITLE Boxing Club says can burn up to 1,000 calories in an hour, combine cardio and boxing exercises with brief active-rest periods for highly effective interval training. The trainer-led classes and techniques are shared with the TITLE Trainer community through an app that engages members and encourages participation in the clubs.
Products in Retail Stores
TITLE Boxing has long sold its products in its clubs and to its members, but in August 14 the company announced that it would make its products available in retail stores.
Boresow Hired as President
Susan Boresow was hired as company president in July 2015 as Rotche, who led company growth from 50 locations to 500 open and planned clubs, was promoted from president to CEO. Alex Roberts was added as chief development officer.
Boresow, most recently chief marketing officer for therapeutic massage provider Massage Envy, has done marketing for businesses such as McDonald’s, Cold Stone Creamery and Godfather’s Pizza. Roberts has held leadership positions with franchisor Service Brands International for a decade.
Lyons assumes the role of chairman. As co-founder, he will continue to hold a leadership role in the company.
Section II – Estimated Costs
- Please click here for detailed estimates of TITLE Boxing Club franchise costs, based on Item 7 of the company’s 2015 FDD (updated).