co-op. (4) This fee is for maintenance for ongoing use of the software we require you to use, including our proprietary software (if any), third-party supplier software (currently Vagaro), your websit
From the filings
Hot Ground Gym
FitnessSoftware purchasing at Hot Ground Gym is controlled at the franchisor level, given the mandated use of Vagaro. The system currently consists of only 3 total units—2 company-owned and 1 franchised—making this a micro-cap target. Vendors evaluating this brand should understand that the tech stack is already prescribed, and any new software adoption would need to displace or integrate with the existing Vagaro mandate.
For software vendors selling into US franchise brands.
Live signals
Ongoing fee load
What the operator pays every month
The recurring percentage of gross sales named in this filing, before rent, labour or any technology fee.
8%of gross sales (FY2025)
15% reference
Mandated & recommended tech
The systems vendors compete with
1 of these are mandated in the franchise agreement. Each is named in Item 11 of the filing, the incumbents a challenger must displace or integrate with.
Franchisor behaviours
What the franchisor requires
25 requirements the franchisor states in this filing, each in its own words; 2 explicit no's; 7 questions the text does not settle, which is not a no.
Accounting
Must the franchisee use an accounting or bookkeeping system designated or approved by the franchisor?
YesItem 8
You will be required to exclusively use the accounting, scheduling, point of sale and business management software specified by us.
Does the franchisor have direct or independent electronic access to the franchisee's financial, sales or customer records?
YesItem 11
We will have independent access to your sales and other information in your POS system.
Must the franchisee submit periodic financial statements (monthly, quarterly or annual) to the franchisor?
YesFranchise agreement
No later than thirty (30) days following the end of each calendar month during the term of this Agreement, Franchisee agrees to furnish to Franchisor, in a form approved by Franchisor, a statement of the Location's profit and loss for the month and a balance sheet as of the end of the month.
How the franchisor buys
Is the franchisor or an affiliate itself a supplier of required products, services or systems?
YesItem 8
Our affiliate, HGE is currently our only approved supplier for certain proprietary obstacle course and training equipment, and digital marketing and print marketing, collateral material such as student shirts, patches, staff polos and shirts, sweatshirts, hats and other headgear, water bottles, towels, paracord…
Does the franchisor reserve the right to change designated suppliers or systems at any time?
YesItem 8
We have the right to change our approved and required vendors, distributors and suppliers in our discretion.
Does the franchisor or an affiliate receive rebates, commissions or other revenue from designated or approved suppliers?
YesItem 8
We may receive discounts, rebates, commissions, promotional allowances, and other benefits if you buy items from certain suppliers we designate based on the quantities of products you and other franchisees buy.
Can a franchisee propose a new supplier for the franchisor's approval?
YesFranchise agreement
Franchisor may approve other suppliers of required non-Proprietary Products that are not then designated by Franchisor as an approved supplier.
Communications
Does the franchisor own or control the business telephone numbers, or take them over when the agreement ends?
YesFranchise agreement
Franchisee acknowledges and agrees that Franchisor has the absolute right and interest in and to all telephone numbers and directory listings associated with the Marks
Franchise management
Does the franchisor conduct periodic inspections, audits or evaluations of the franchised business?
YesFranchise agreement
Franchisor or any of its authorized agents or representatives may at any time during normal business hours enter the Location to conduct an operational audit to determine compliance with this Agreement and with Franchisor's policies, procedures, programs, standards, specifications and techniques as set forth in its…
Can the franchisor change the operations manual and brand standards unilaterally?
YesFranchise agreement
Franchisor shall have the right to add to and otherwise modify the Confidential System Standards Manual from time to time to reflect changes in the specifications, standards, operating procedures and rules prescribed by Franchisor for Hot Ground Gym® Locations.
Must the franchisor approve the franchisee's site or location before opening?
YesItem 12
You will operate your Hot Ground Gym® Location only from the approved location within the Protected Territory, and you must receive our permission before relocating.
Marketing
Is the franchisee prohibited from operating its own website or social media accounts, or required to use pages the franchisor provides?
YesItem 11
Except for listing your Location on a local Internet directory, you are not permitted to have or advertise on the Internet or World Wide Web without our prior written consent (Franchise Agreement – Section 8.2).
Is a minimum grand opening advertising spend required?
YesItem 11
Beginning 2 months before the commencement of the operation of the Location, and continuing for two months thereafter, you must expend between $2,000 and $5,000 for the grand opening advertising and promotion of your Location (the “Grand Opening Advertising”).
Is the franchisee required to spend a minimum amount on local advertising or marketing, as a percentage of sales or a fixed amount?
YesFranchise agreement
Thereafter, Franchisee agrees to expend between $900 and $1,500 (depending on what options you choose) on, plus $300 to $600 per month of which must be spent on digital advertising.
Must the franchisee participate in a regional advertising cooperative when one exists?
YesFranchise agreement
Franchisee agrees to participate in any regional advertising cooperative (“Co-op”) established by Franchisor.
Operations
Must the franchisee buy products from a designated distributor?
YesItem 8
You must operate your Hot Ground Gym® Location to conform to our specifications and quality standards as specified in the Confidential System Standards Manual and shall purchase only from distributors and suppliers approved by us all, products, equipment, fixtures, furnishings, supplies, signs, inventory and other…
Must equipment be purchased from designated or approved suppliers?
YesItem 8
You must operate your Hot Ground Gym® Location to conform to our specifications and quality standards as specified in the Confidential System Standards Manual and shall purchase only from distributors and suppliers approved by us all, products, equipment, fixtures, furnishings, supplies, signs, inventory and other…
Payments
Are royalties and other fees collected by automatic bank debit (ACH or electronic funds transfer) from the franchisee's account?
YesFranchise agreement
9.11 Automated Bank Draft Franchisee understands and agrees that Franchisor shall require that all Continuing Royalty Fees, Marketing Fund Fees, and all other fees and costs required to be paid to the Franchisor or any Co-op that may be established must be paid by automatic bank draft, unless otherwise specified by…
Must the franchisee participate in a gift card program?
YesFranchise agreement
Franchisee will not create or issue any gift cards/certificates and will only sell gift cards/certificates that have been issued or sponsored by Franchisor and which are accepted at all Hot Ground Gym® Locations.
People
Does the franchisor require minimum staffing levels or specific roles?
YesFranchise agreement
Franchisee must ensure that a sufficient number of trained employees are available to meet the operational standards and requirements of its Location at all times.
Point of sale
Must the franchisee use a specific point-of-sale system designated or approved by the franchisor?
YesItem 8
You will be required to exclusively use the accounting, scheduling, point of sale and business management software specified by us.
Does the franchisor have independent access to the data in the franchisee's POS or computer system?
YesItem 11
We will have independent access to your sales and other information in your POS system.
Sales and CRM
Must the franchisee use a CRM system designated or approved by the franchisor?
YesItem 8
You will be required to exclusively use the accounting, scheduling, point of sale and business management software specified by us.
Training
Can the franchisor charge the franchisee for additional, refresher or remedial training?
YesItem 6
We may require you to attend additional training or you may request additional training.
Is attendance at an annual convention or conference mandatory for the franchisee?
YesItem 11
You, your Operator and your General Manager must attend regional or annual meetings and pay the then current fee plus travel, lodging, meals, and all other expenses incurred by attendees.
The filing answers no to 2 questions
- Is there a franchisee advisory council, association or committee?Item 11
- Does the franchisor charge a fee to evaluate a proposed supplier?Item 8
Who buys here
The buyer at this brand
The decision-maker a vendor sells to at this scale, and the gaps they’re paid to close, derived from our data by segment and unit count, not a guess.
The franchisee/operator personally, or a small franchisor still owner-run. Wears every hat.
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The vendor opportunity at Hot Ground Gym
Hot Ground Gym is a fitness concept headquartered in Illinois with a total footprint of just 3 units—2 company-owned and 1 franchised. For software vendors, the addressable market is tiny. The single franchised location represents the only third-party buyer, and even that unit operates under a franchisor that mandates specific technology. This is not a volume play; it is a relationship play with the franchisor itself.
The brand’s 2025 Franchise Disclosure Document does not report an average unit volume (AUV), so unit-level economics are opaque. The royalty rate is 6.0%, and the initial franchise term runs 7 years. Renewal terms extend for 5 years under a then-current agreement, which may include materially different royalty and marketing contribution rates. Year-over-year unit growth is not disclosed, but the current unit count suggests the system is in its earliest stages.
Who controls software purchasing
Software purchasing authority sits at the franchisor level. The FDD mandates Vagaro, which means the franchisor has already made a top-down technology decision that franchisees must follow. There is no indication of a multi-unit operator (MUO) layer with independent buying power—no operators are mapped in our corpus, and the single franchised unit likely has little to no autonomy over core systems.
HQ executives are not listed in Item 1 of the 2025 FDD, so we cannot name a CIO, VP of Operations, or other likely buyer. Vendors should approach the brand through its public-facing corporate contacts and be prepared to demonstrate how their solution integrates with or improves upon the Vagaro mandate.
Mandated and current tech stack
Vagaro is the only mandated technology disclosed in the FDD. Vagaro serves as a salon, spa, and fitness business management platform, covering scheduling, point-of-sale, client management, and marketing tools. For a fitness concept like Hot Ground Gym, Vagaro likely handles the operational core. No other mandated or recommended systems—such as accounting, payroll, or CRM—are named. This creates a narrow but defined integration surface: any vendor selling adjacent software (e.g., specialized fitness booking, member engagement, or back-office tools) must either integrate with Vagaro or convince the franchisor to switch.
Procurement, renewals, and timing
The FDD does not include an Item 8 extract, so the formal procurement model—whether designated supplier, approved supplier, or open—is not publicly known. In practice, the Vagaro mandate suggests a designated-supplier approach for operational software. Vendors should assume that any new technology adoption requires franchisor approval.
Renewal timing offers a potential, if limited, window. The initial franchise term is 7 years, and the renewal term is 5 years. Franchisees must give renewal notice between 9 and 12 months before expiration. With only one franchised unit, the next renewal window depends entirely on when that unit signed its initial agreement—a date not disclosed in the FDD. The renewal conditions also require the franchisee to upgrade the business to then-current system standards, which could trigger a technology refresh cycle. However, given the system’s size, these events will be infrequent.
How to read the Hot Ground Gym FDD
The 2025 Hot Ground Gym FDD is embedded below. It contains the full legal and operational disclosures filed with state franchise regulators. For software vendors, the most relevant sections are Item 11 (franchisor’s assistance, advertising, computer systems, and training), where Vagaro is mandated, and Item 17 (renewal, termination, transfer, and dispute resolution), which outlines the renewal process and conditions. Item 8 (restrictions on sources of products and services) is absent from our extract, so procurement rules remain unclear. Review the document directly to identify any additional technology requirements or supplier relationships not captured in our summary.
For a ranked target list of franchise systems matched to your software category, FranCloud can help you prioritize based on tech mandates, unit counts, and decision-maker concentration.
Questions vendors ask
Hot Ground Gym, answered from the filing
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FDD alert
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Operator footprint
Who runs the locations
2 operators run 2 mapped locations. 0 of them are multi-unit. Aggregate counts from the filing; no names.
Operators by units owned
Top states by locations
| TX | 1 |
|---|---|
| WI | 1 |
Related Fitness brands
Primary franchise filings · updated June 2026. Every figure is source-traceable and QA-checked.