Rumble Boxing: $1.05M Average Sales vs. $3.38M-$4.16M Franchise Cost (Signature Footprint)

In this exclusive Franchise Chatter FDD Talk post, you’ll learn the following:

Section I – Estimated initial investment (franchise costs) for a Rumble Boxing franchise, based on Item 7 of the company’s 2023 FDD

Section II – Initial franchise fee, royalty fee, and marketing fee for a Rumble Boxing franchise, based on Items 5 and 6 of the company’s 2023 FDD

Section III – Number of franchised and company-owned Rumble Boxing outlets at the start of the year and the end of the year for 2020, 2021, and 2022, based on Item 20 of the company’s 2023 FDD

Section IV – News updates on the Rumble Boxing franchise opportunity

Section V – Presentation and analysis of Rumble Boxing’s financial performance representations (average revenues and/or profits), based on Item 19 of the company’s 2023 FDD, including information on the:

• average monthly gross sales for the 12 Rumble Boxing studios operating under the Signature Footprint that were owned and operated by a franchisee for the entire Measurement Period (except for permitted temporary closures), and that were in operation for at least 6 calendar months when their results began to be included in the data set and as of the end of the calendar month for which their results were included

• average month 1-3 gross sales for the 3 Rumble Boxing studios operating under the Boutique Footprint owned and operated by a franchisee for at least 3 calendar months prior to February 28, 2023

Section VI – Key ratios, comparables, computations, and analyses for the Rumble Boxing franchise opportunity (exclusive content for Platinum subscribers)

Section I – Rumble Boxing Franchise Costs

• Rumble Boxing franchise costs (Signature Footprint), based on Item 7 of the company’s 2023 FDD:

• Initial Franchise Fee:  $60,000
• Initial Training Program Fees:  $0
• Travel and Living Expenses While Training:  $0 to $2,500
• Real Estate/Lease and Professional Fees:  $133,333 to $258,333
• Net Leasehold Improvements:  $2,500,000 to $3,000,000
• Signage:  $45,000 to $60,000
• Insurance:  $3,000 to $7,500
• Purchase of Furniture, Fixtures, and Related Supplies Package:  $309,000 to $372,170
• Additional Operating Supplies and Accessories:  $20,000
• Pre-Sale and Soft Opening Retail Inventory Package:  $25,000
• Audio-Visual (“AV”) Package and Computer System:  $207,000 to $247,000
• Initial Marketing Spend (including amounts on Opening Support Program):  $30,000
• Bootcamp Tuition Fee:  $10,000
• Technology Fee:  $3,000
• Additional Funds – 3 Months:  $36,000 to $69,000
• Total Estimated Rumble Boxing Franchise Costs (Signature Footprint):  $3,381,333 to $4,164,503

Section II – Rumble Boxing’s Initial Franchise Fee, Royalty Fee, and Marketing Fee

• Rumble Boxing’s initial franchise fee, royalty fee, and marketing fee, based on Items 5 and 6 of the company’s 2023 FDD:

• Initial Franchise Fee:  $60,000
• Royalty:  7% of Gross Sales generated by your franchised Studio
• Contributions to Brand Development Fund:  currently, 2% of Gross Sales
• Regional Co-Op:  as the Co-Op determines

Section III – Number of Franchised and Company-Owned Rumble Boxing Outlets

Franchised

2020

• Outlets at the Start of the Year:  0
• Outlets at the End of the Year:  0
• Net Change:  0

2021

• Outlets at the Start of the Year:  0
• Outlets at the End of the Year:  14
• Net Change:  +14

2022

• Outlets at the Start of the Year:  14
• Outlets at the End of the Year:  35
• Net Change:  +21

Company-Owned

2020

• Outlets at the Start of the Year:  11
• Outlets at the End of the Year:  12
• Net Change:  +1

2021

• Outlets at the Start of the Year:  12
• Outlets at the End of the Year:  0
• Net Change:  -12

2022

• Outlets at the Start of the Year:  0
• Outlets at the End of the Year:  1
• Net Change:  +1

Section IV – News Updates on the Rumble Boxing Franchise

• Rumble Boxing Is a Hit With Female Franchisees

• How Franchising Positioned This Entrepreneur to Become Rumble Boxing’s First Franchisee

• Women (and Men) Are Ready to Throw Down With Rumble

• Rumble Boxing Expanding Into Arkansas With Two Studios

• Rumble Knocks Out 200 Signed Franchise Agreements

• Build a Multi-Million Dollar Fitness Empire

• Rumble Boxing Fitness Franchise Opens on Union Avenue

• Rumble Boxing Did Not Rank on Entrepreneur’s 2024 Franchise 500 List

Section V – Financial Performance Representations (Average Revenues and/or Profits) for the Rumble Boxing Franchise (Item 19, 2023 FDD)

• “Gross Revenue” means the total revenue generated by a given Studio during a particular calendar month within the Measurement Period, including all revenue generated from the sale and provision of any and all approved services at, from, or otherwise through, that Studio. Gross Revenue excludes sales tax (that the Studio owner must pay directly to the appropriate taxing authority).

• Gross Revenue is defined differently than how “Gross Sales” is defined under the Franchise Agreement, and as such, the amount of Royalty fees you pay under the Franchise Agreement may be different than if applied to Gross Revenue data provided below.

• “Measurement Period” means the period beginning on March 1, 2022 and ending on February 28, 2023. Each month in the Measurement Period is an entire calendar month.

• “Non-Traditional Site” means any location that is situated within or as part of a larger venue or facility and, as a result, is likely to draw the predominance of its customers from those persons who are using or attending events in the larger venue or facility (for example, “big box” gyms and/or fitness facilities, cruise ships, military bases, shopping malls, airports, sports facilities and stadiums, industrial or office complexes, hotels, train stations and other transportation facilities, travel plazas, casinos, hospitals, theme parks, convention centers, colleges/universities, multi-unit residential properties, and other similar captive market locations).

• “Qualified Boutique Studio” means a Studio operating under the Boutique Footprint owned and operated by a franchisee for at least 3 calendar months prior to February 28, 2023. Qualified Boutique Studios do not include Studios that operated at Non-Traditional Sites.

• “Qualified Signature Studio” means a Studio operating under the Signature Footprint that was owned and operated by a franchisee for the entire Measurement Period (except for permitted temporary closures), and that was in operation for at least 6 calendar months when its results began to be included in the data set and as of the end of the calendar month for which its results were included. Qualified Signature Studios do not include Studios that operated at Non-Traditional Sites.

• This Item 19 contains certain historical data related to the operation of Qualified Studios.

• The chart in Part 1 below reflects the average Gross Revenue of Qualified Signature Studios during each calendar month in the Measurement Period.

• The chart in Part 2 below reflects the average Gross Revenue of Qualified Boutique Studios during their initial three-month opening phase.

• “Month 1” refers to the calendar month in which the Studio launched its soft opening, which refers to when the Studio opened to its members and new prospects. The data provided in Month 1 only includes Gross Revenue generated by the Studio after the soft opening and does not include pre-opening membership sales prior to the Studio’s soft opening, regardless of when the Studio opened during the particular calendar month.

• “Month 2” refers to the calendar month in which the Studio commenced its grand opening event.

• “Month 3” refers to the calendar month after Month 2.

• The data presented below is data Rumble obtained from monthly profit and loss reports provided to it by franchisees of Qualified Signature Studios and Qualified Boutique Studios. In each case, the data used was the franchisee’s data. Rumble does not anticipate the data provided by current franchisees in this Item 19 will materially differ from that of a new franchisee.

Part 1 – Qualified Signature Studios

• The below provides the data relevant to Qualified Signature Studios that, as of the particular calendar month, were open and operating for at least 6 months:

Average Gross Revenue of 12 Qualified Signature Studios

• March 2022:  $94,543
• April 2022:  $88,396
• May 2022:  $85,886
• June 2022:  $85,674
• July 2022:  $82,767
• August 2022:  $80,446
• September 2022:  $81,046
• October 2022:  $81,981
• November 2022:  $117,372
• December 2022:  $64,913
• January 2023:  $99,859
• February 2023:  $90,575
• Total:  $1,053,458

Part 2 – Qualified Boutique Studios

• The below provides the data relevant to Qualified Boutique Studios applicable to their 3-month opening period:

Average Gross Revenue of 22 Qualified Boutique Studios

• Month 1:  $18,300
• Month 2:  $47,733
• Month 3:  $50,562
• Total:  $116,595

• Does not include Studios that operated at Non-Traditional Sites.

• Some Studios have earned this amount. Your individual results may differ. There is no assurance that you’ll earn as much.

Section VI – Rumble Boxing Franchise Ratios, Comparables, Computations, and Analyses (Exclusive Content for Platinum Subscribers) ⬇️

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