In this FDD Talk 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 2020 FDD
- Section III – Initial franchise fee, royalty fee, marketing fee, and other fees for a TITLE Boxing Club franchise, based on Items 5 and 6 of the company’s 2020 FDD
- Section IV – Number of franchised and company-owned TITLE Boxing Club outlets at the start of the year and the end of the year for 2017, 2018, and 2019, based on Item 20 of the company’s 2020 FDD
- Section V – Presentation and analysis of TITLE Boxing Club’s financial performance representations, based on Item 19 of the company’s 2020 FDD, including information on the:
- 2019 average monthly revenue for the 175 TITLE Boxing Club Fitness Facilities that were open as of December 31, 2019, by year opened (0.1 to 1.9 years, 2.0 to 3.9 years, and 4.0+ years)
- 2019 average monthly revenue for the 175 TITLE Boxing Club Fitness Facilities that were open as of December 31, 2019, by location size in square feet (0 to 2,499 sq. ft., 2,500 to 3,499 sq. ft., 3,500 to 4,499 sq. ft., 4,500 to 5,499 sq. ft., and 5,500+ sq. ft.)
- 2019 average, median, high, and low annual gross revenue for the 143 TITLE Boxing Club Fitness Facilities that have been open for longer than 18 months as of December 31, 2019, by quartile
- 2019 average total population, unit annual volume, general operating expenses, labor, and EBITDAR (Earnings Before Interest, Taxes, Depreciation, Amortization, and Rent) for the 59 TITLE Boxing Club Fitness Facilities that have been open for longer than 18 months as of December 31, 2019 and submitted the disclosed information to the franchisor, by market type (low density, high density, and all)
Section I – Background Information
20 Things You Need to Know About the TITLE Boxing Club Franchise
Announces BOGO Deal for TITLE On Demand
1. In mid-January 2020, TITLE Boxing Club announced that it was offering a buy-one-get-one offer, just in time for 2020 resolutions. For the month of January, every new in-club membership came with a complimentary VIP TITLE On Demand subscription. The free TITLE On Demand subscription matched the term of any membership agreement purchased in January, up to one year.
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3. “TITLE Boxing Club is committed to helping everyone crush their fitness goals in 2020 – no matter where they are working out,” said Susan Boresow, president of TITLE Boxing Club. “Each TITLE Boxing Club across the country is a community, but we wanted to provide our members an option to work out while on the go. With TITLE On Demand, our busy members can get the best of TITLE Boxing Club – a great workout with an experienced trainer – on their own time and in their own environment.”
4. The deal was a great value, with a TITLE On Demand monthly subscription usually $24.99 per month, and an annual On Demand subscription coming in at $239.99. The complimentary TITLE On Demand subscription with the purchase of an in-club membership came with:
- Personalized classes that cater to a variety of ability and intensity levels – from mastering boxing basics to enhancing speed and agility to conquering quick cool-downs and recovery.
- Equipment-free workouts, so anyone can create an affordable, mobile-friendly studio anywhere they reside.
- The choice of sessions ranging from five to 45 minutes, so subscribers can design a fitness regimen that meets the demands of their own schedules, whether they’re time-crunched moms, busy business travelers, beginning boxers, or ex-athletes.
Announces Campaign to Fight for Nurses on the Front Lines of COVID-19
5. In late April 2020, TITLE Boxing Club launched its TITLE Fights for Nurses campaign, designed to give back to nurses who are working to help patients impacted by coronavirus, in time for National Nurses Week (May 6-12, 2020). Nominations for inspiring nurses were accepted on Facebook, Twitter, and Instagram from April 23, 2020 to April 30, 2020.
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Most franchise buyers spend months researching brands and building excitement — unaware that their preferred territory could be snapped up at any moment. By the time they contact the franchisor, their preferred territory may already be taken. Enter your ZIP code to see which franchises are still available near you — before someone else claims that territory.6. TITLE asked fans to share stories of any inspiring nurses they know. The first 500 nurses nominated were granted access to a website TITLE Boxing Club curated full of workouts and content specifically for nurses. Then, during National Nurses Week, franchisees from around the country showed how TITLE Gives Back by surprising some of the nominated nurses with special gifts and recognition.
7. Susan Boresow, president of TITLE Boxing Club, said, “While a global pandemic may be changing the world and our communities’ sense of normal, we still want to do everything in our power to continue helping people. Right now, it’s our country’s hardworking nurses who deserve an extra boost. They are putting their lives on the line every time they go to work, and we want to say a big ‘thank you’ to every nurse out there. We want to fight for those fighting on the front lines of this pandemic.”
8. TITLE Boxing Club called for friends, families, and loved ones to nominate on social media a nurse who inspires them. Those looking to nominate a deserving nurse had to post a video or photo to Facebook, Instagram, or Twitter sharing the nurse’s name, how the nurse has been an inspiration during these uncertain times, and what city the nurse lives in. To count as an entry, the nominator had to follow and tag @titleboxingclub and hashtag #TITLEFights4Nurses.
9. “We know that sometimes you just need to throw some punches to relieve stress, and we want to help nurses everywhere do exactly that!” added Boresow.
Awards Franchise in Brooklyn
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Every month we feature 6 standout franchises that could be the opportunity you've been looking for, each evaluated on disclosed financials and matched to the type of buyer most likely to succeed with it. You'll walk away knowing exactly how to analyze franchise fit. Join us live on October 27 at 6PM ET — or receive the recording the next day. Reserve your spot here.10. In late July 2020, TITLE Boxing Club announced that it had signed a franchise agreement with Henry Mendez. The 20-year veteran of the telecom industry will bring the club that provides “the best hour of your day” to the Park Slope neighborhood in Brooklyn.
11. Striving to live a healthy lifestyle and already a practitioner of Krav Maga, Mendez was looking for an upbeat cardio workout when he took his first class at the Forest Hills TITLE Boxing Club in late 2019. He immediately became enamored with the boxing workout, trainer, look and feel of the club, and especially the feeling he had after class. He quickly made it a weekly ritual to take a class.
12. At the same time, his company of the last decade was going through a reorganization, and then coronavirus pandemic hit New York. Mendez was let go and began working with a placement company and a franchise consultant to discover the next phase of his career. Mendez repeatedly asked himself, “What do you want to wake up every morning and do?”
13. It became increasingly clear the answer was provide his neighbors with that same great feeling he had after every class at TITLE Boxing Club. Not deterred by the pandemic-related shutdowns, Mendez anticipates opening his club in Park Slope, Brooklyn this winter.
14. Mendez said, “The experience of taking a class at TITLE Boxing Club has no comparisons. I want to provide the same community-driven environment, and a class that will get your heart pumping, to my Brooklyn neighbors. As the city reopens, I want my TITLE Boxing Club to be a safe haven for those looking to live healthier and be active in a post-pandemic world. When you come to TITLE Boxing Club, it’s you and your heavy bag – we’ll be the safest place to get in fighting shape.”
15. Susan Boresow, president of TITLE Boxing Club, added, “It’s always a great day when a passionate and dedicated member is at the right moment in his or her life to join TITLE Boxing Club as a franchisee. Henry’s desire to provide an exceptional experience for those looking to add health and fitness into their lives is exactly what makes him a great addition to our franchise family. Doing so in a city that had to go on full lockdown demonstrates Henry’s trust in the TITLE Boxing Club brand and game plan during these uncertain times.”
16. Over the last several months, TITLE Boxing Club has shifted its franchise sales to best suit prospective franchise partners. While there’s been an emphasis on health and wellness and a high demand for franchise ownership, the franchise has offered several virtual Discovery Days and virtual training so new owners can open successfully when restrictions in their area begin to ease.
Company History
17. TITLE Boxing Club was founded in 2008 by former professional fighter Danny Campbell and his business partners Tom Lyons and Rick Washburn in Overland Park, Kansas. Campbell spent years in the boxing and martial arts worlds, but decided to take a step back. He took on a management role at a boxing gym in Colorado before moving home to Kansas.
18. While Campbell had the fitness expertise, he needed a partner with business acumen to help create a profitable model. Lyons, an experienced hospitality and sporting events business owner, had the know-how to create a lucrative business plan. Lyons brought on Washburn, who had spent his career at large accounting firms and had also worked on other projects with Lyons.
19. Within a year, TITLE Boxing Club grew to three locations and Campbell, Lyons, and Washburn decided to start franchising the concept. Over the next decade, TITLE Boxing Club continued to expand and today, there are locations across the U.S., Mexico, the Dominican Republic, Puerto Rico, and Canada.
Entrepreneur’s Franchise 500
20. TITLE Boxing Club did not rank on Entrepreneur’s 2020 Franchise 500 list.
Section II – Estimated Costs
- Please click here for detailed estimates of TITLE Boxing Club franchise costs, based on Item 7 of the company’s 2020 FDD.
Section III – Initial Franchise Fee, Royalty Fee, Marketing Fee, and Other Fees
- Please click here for detailed information on TITLE Boxing Club’s initial franchise fee, royalty fee, marketing fee, and other fees, based on Items 5 and 6 of the company’s 2020 FDD.
Section IV – Number of Franchised and Company-Owned Outlets
Franchised
2017
- Outlets at the Start of the Year: 149
- Outlets at the End of the Year: 168
- Net Change: +19
2018
- Outlets at the Start of the Year: 168
- Outlets at the End of the Year: 178
- Net Change: +10
2019
- Outlets at the Start of the Year: 178
- Outlets at the End of the Year: 173
- Net Change: -5
Company-Owned
2017
- Outlets at the Start of the Year: 3
- Outlets at the End of the Year: 3
- Net Change: 0
2018
- Outlets at the Start of the Year: 3
- Outlets at the End of the Year: 2
- Net Change: -1
2019
- Outlets at the Start of the Year: 2
- Outlets at the End of the Year: 2
- Net Change: 0
Section V – Financial Performance Representations (Item 19, 2020 FDD) and Analysis
- As of December 31, 2019, there were 173 franchised locations and 2 affiliate-owned locations open.
- 143 of these locations (141 franchised and 2 affiliate-owned locations) were categorized as same-store operating units, having been open for longer than 18 months as of December 31, 2019.
Part 1 – 2019 Average Unit Monthly Volume by Year Opened for All Open Locations
- As of December 31, 2019, the average club has been open for 4.4 years.
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