FDD Analysis 2025 FDD

Bar Method Franchise Disclosure Document (FDD): Key Facts & Financials

The Franchise Disclosure Document (FDD) is a legal document that franchisors must provide to prospective franchisees at least 14 days before any agreement is signed or money changes hands.

This page summarizes the key facts and financials from Bar Method's FDD, including franchise costs (Item 7), ongoing fees (Item 6), financial performance data (Item 19), and unit growth trends (Item 20).

What the Bar Method FDD Covers

Required disclosure items from the franchisor

Franchisor Background

Items 1-4: Company history, litigation, bankruptcy

Fees & Costs

Items 5-7: Initial fees, ongoing fees, total investment

Obligations & Restrictions

Items 8-16: Purchasing, territory, trademarks

Financial Performance

Item 19: Revenue data provided

Franchise Costs (Item 7 Summary)

Initial investment required to open a franchise

Total Initial Investment$304,304 - $511,232
Franchise Fee$42,500

Investment Breakdown

Initial franchise fee (2)$42,500 - $42,500
Franchisee Training, Travel & Living Expenses (3)$1,260 - $9,240
Leasehold Improvements (4)$129,300 - $214,500
3 Months’ Rent + security deposit (4)$21,375 - $32,775
Construction Management Fees & Site Survey (4)—

+ 5 more categories

Ongoing Fees (Item 6 Summary)

Recurring fees paid to the franchisor

Royalty Fee6% of gross sales
Marketing/Advertising Fee7% of gross sales

Other Ongoing Fees

Grand Opening ProgramVaries
Mandatory Seminars, Conferences or ProgramsVaries
Ongoing product purchasesVaries
Technology FeeVaries
Teacher Manager Support Program FeeVaries

Item 19 Financial Performance

Revenue and financial data (if disclosed)

Median Revenue$352,656/year
Disclosure Year2025
Reporting Units—
Revenue VarianceHigh variance (wide performance range)

Unit Growth & Franchisee Behavior (Item 20)

Franchise system size and trends

73

Total Units

-1

Net Growth (YoY)

-1.4%

Growth Rate

Franchised Units73
Company-Owned Units—

What the FDD Doesn't Make Obvious

Key considerations beyond the disclosure

Legal History

This FDD discloses litigation history. Review Item 3 carefully to understand the nature and outcome of any legal proceedings.

Real Estate & Location

FDDs often understate the challenge of finding suitable real estate. Site selection, lease negotiation, and buildout timelines can significantly impact your total investment and time to open.

Working Capital Needs

Initial investment ranges often assume a best-case scenario. Many franchisees need additional working capital during the ramp-up period, especially in the first 6-12 months of operation.

Related Resources

Bar Method Overview

Full franchise profile and details

Is Bar Method Worth It?

Investment analysis and evaluation

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All Health & Fitness Franchises

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