QuickBooks OnlineIntuit
Mandatorythe latest version of Microsoft operating system, whichever is required by Go Figure. We also require that you license through us, or an approved third-party supplier, the use of QuickBooks Online sof
From the filings
+6.993% units YoYHQ-led decisions
OsteoStrong
FitnessSoftware purchasing at OsteoStrong is controlled at the corporate level, with mandated operations software and QuickBooks Online already in place across all 153 franchised locations. The brand’s 2025 FDD lists CEO Kyle Zagrodzky and VP of Operations Johnathan Cole among key decision-makers, signaling a centralized buying process. For vendors, this represents a compact but growing addressable market of 153 units, with 6.99% year-over-year unit growth and a franchise system concentrated in California, Florida, and Texas.
For software vendors selling into US franchise brands.
Live signals
Total units
153
153 franchised
Unit growth YoY
+6.993%
vs prior filing
AUV
—
Item 19, 2025
Royalty
7%
of gross sales
Ad fund
1%
national + local
Initial fee
$35K
per unit
Investment range
$276K–$616K
all-in, Item 7
Procurement
Approved supplier
from the filing
Non-compete
2 years
from the filing
Item 19
No claims
from the filing
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
24 requirements the franchisor states in this filing, each in its own words; 3 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 11
You must also license through us and use in connection with the Center QuickBooks Online software.
Does the franchisor have direct or independent electronic access to the franchisee's financial, sales or customer records?
YesFranchise agreement
You must give to Franchisor unrestricted access to your Computer System at all times (including users IDs and passwords, if necessary, and remote access, if possible) to download and transfer Center related data and Franchisor may independently poll Gross Sales, expense, and all other information input and compiled…
Must the franchisee submit periodic financial statements (monthly, quarterly or annual) to the franchisor?
YesFranchise agreement
Within 30 days following the end of each fiscal quarter, you shall provide to Franchisor a copy of your profit and loss statements prepared according to generally accepted accounting principles and which accurately reflect your financial information for the period requested by Franchisor.
How the franchisor buys
Is the franchisor or an affiliate itself a supplier of required products, services or systems?
YesFranchise agreement
Franchisor and its Affiliates may act as suppliers of goods, services, products, and/or supplies to be purchased by you, including, without limitation, the Proprietary Products, membership identification supplies, marketing collateral, and your computer hardware and software (“Goods and Services”), and may designate…
Does the franchisor reserve the right to change designated suppliers or systems at any time?
YesItem 11
We reserve the right to revise the list of services offered, and to modify or terminate the digital marketing system, as well as participation requirements, at our discretion.
How much revenue did the franchisor and its affiliates earn from franchisee purchases in the last fiscal year?
3882469Item 8
During our fiscal year ending December 31, 2024, we derived $3,882,469 in revenue as a result of franchisee purchases, which is 49% of our total revenues of $7,923,835 for the year then-ended.
Does the franchisor or an affiliate receive rebates, commissions or other revenue from designated or approved suppliers?
YesFranchise agreement
Franchisor and its Affiliates may negotiate purchase arrangements with suppliers for your benefit and may derive revenue or obtain rebates, bulk pricing discounts or allowances for their own account from approved or designated suppliers if rebates or other considerations become available because of your purchases of…
Item 8 gives this proportion in one of two shapes: separate percentages for establishing the business and for operating it, or one figure covering "establishing and operating" together. Where they are separate, answer with the operating percentage; where the passage gives only the combined figure, answer with that. What percentage of the franchisee's purchases must come from designated or approved suppliers?
50Item 8
We estimate that your required purchases and leases will range from 60% to 80% of your total initial investment (not including the initial franchise fee) and from 50% to 70% of your ongoing purchases and leases in the operation of the Center.
Can a franchisee propose a new supplier for the franchisor's approval?
YesItem 8
If you desire to purchase products from a supplier other than our approved suppliers or equipment other than our approved equipment, you must submit a written request to us for approval of the proposed supplier or equipment, together with any evidence of conformity with our standards and specifications as we may…
Communications
Does the franchisor own or control the business telephone numbers, or take them over when the agreement ends?
YesItem 17
We may, at our option, assume all telephone nonrenewal numbers, telephone listings, and telephone directory advertisements for the Center.
Data and IT
Must the franchisee comply with PCI, data-security or cybersecurity standards set by the franchisor?
YesFranchise agreement
Accordingly you agree that you shall cause the Center to meet or exceed, at all times, all applicable security standards developed by the Payment Card Industry Standards Council or its successor and other regulations and industry standards applicable to the protection of customer privacy and credit card information.
Franchise management
Does the franchisor conduct periodic inspections, audits or evaluations of the franchised business?
YesFranchise agreement
Franchisor shall have the right to enter upon the Center premises during regular business hours to inspect the Center for quality assurance purposes.
Can the franchisor change the operations manual and brand standards unilaterally?
YesFranchise agreement
You acknowledge that the System, Franchisor’s Manuals, and the products and services offered by the Center may be modified, (such as, but not limited to, the addition, deletion, and modification of operating procedures, products and services) from time to time by Franchisor.
Must the franchisor approve the franchisee's site or location before opening?
YesItem 12
You will operate the Center at a location that we have approved and may relocate the Center only with our prior written consent.
Marketing
Is a minimum grand opening advertising spend required?
YesFranchise agreement
Your required grand opening advertising expenditures consist of your participation in Franchisor’s proprietary digital marketing system as set forth in Section 9.5.1 below.
Is the franchisee required to spend a minimum amount on local advertising or marketing, as a percentage of sales or a fixed amount?
YesItem 11
While there is a minimum required ad spend of $1,000 OsteoStrong® Page 21 of 44 Franchise Disclosure Document | 2025 per month, any additional ad spend may be made at additional $500 increments at your discretion.
Must the franchisee participate in a customer loyalty or rewards program?
YesFranchise agreement
You shall participate in and offer to your customers: (a) all customer loyalty and reward programs; and (b) all contests, sweepstakes, and other prize promotions; which Franchisor may develop from time to time.
Operations
Must the franchisee buy products from a designated distributor?
YesFranchise agreement
You shall purchase your requirements of Goods and Services from Franchisor or its designated sources
Must equipment be purchased from designated or approved suppliers?
YesItem 8
You must purchase from us, or purchase or lease from our designated suppliers, and through our approved sales channels, all fitness and exercise equipment we require for an OsteoStrong® Center.
People
Does the franchisor require minimum staffing levels or specific roles?
YesItem 15
You must designate an individual who we approve and who successfully completes our initial training program as the Center Manager.
Must employees wear uniforms specified by the franchisor?
YesFranchise agreement
You shall cause all employees and/or Center representatives, while working at the Center, to: (a) wear uniforms of such color, design, and other specifications as Franchisor may designate from time to time, and (b) present a neat and clean appearance.
Point of sale
Must the franchisee use a specific point-of-sale system designated or approved by the franchisor?
YesFranchise agreement
You shall acquire and use only the point of sale cash registers and computer systems and equipment that Franchisor prescribes for use by OsteoStrong® Centers (“Computer System”), and adhere to Franchisor’s requirements for their use.
Does the franchisor have independent access to the data in the franchisee's POS or computer system?
YesFranchise agreement
Franchisor may independently poll Gross Sales, expense, and all other information input and compiled by your Computer System from a remote location.
Training
Can the franchisor charge the franchisee for additional, refresher or remedial training?
YesItem 6
We reserve the right to increase this fee by up to 50% per year and change the services offered or provided.
The filing answers no to 3 questions
- Is the franchisee prohibited from operating its own website or social media accounts, or required to use pages the franchisor provides?Franchise agreement
- Must the franchisee participate in a regional advertising cooperative when one exists?Item 11
- Are royalties and other fees collected by automatic bank debit (ACH or electronic funds transfer) from the franchisee's account?
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.
HQ leadership: CEO/President + VP Ops/Franchise + a first dedicated IT/systems owner.
VP SalesHead of SalesCROSales Director
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The vendor opportunity at OsteoStrong
OsteoStrong operates 153 franchised locations as of its 2025 FDD, with no company-owned units disclosed. The system grew 6.99% year-over-year, adding units in a fitness niche focused on skeletal strength conditioning. Top states by location count are California (25), Florida (21), Texas (15), North Carolina (12), and Missouri (11). The operator footprint includes 198 mapped operators, of whom 8 are multi-unit operators controlling between 2 and 9 units each. No operators exceed 9 units, and the vast majority—190—are single-unit franchisees. This fragmented operator base reinforces a centralized technology procurement model, where corporate mandates drive software adoption across the entire system.
For software vendors, the addressable market is 153 units under a single franchisor with clear technology mandates. The absence of company-owned locations means every unit is a franchised business, each required to use the same core systems. The royalty rate is 7.0% of gross revenue, and the initial franchise term runs 10 years. Average unit volume (AUV) is not disclosed in the 2025 FDD.
Who controls software purchasing
The 2025 FDD lists five executives in Item 1: Kyle Zagrodzky, Chief Executive Officer; James Youngblood, President; Matt Zagrodzky, General Counsel; Johnathan Cole, Vice President of Operations; and Chris Capozzoli, Director of Sales. For software vendors, the most relevant contacts are likely Kyle Zagrodzky as CEO and Johnathan Cole as VP of Operations, given the operational nature of the mandated technology stack. The franchisor’s mandate of operations software and QuickBooks Online across all units indicates that software purchasing authority sits at the corporate level, not with individual franchisees. Vendors should prepare to engage HQ decision-makers rather than pursuing a unit-by-unit sales strategy.
Mandated and current tech stack
OsteoStrong’s 2025 FDD mandates four technology components: operations software (not named by vendor in the disclosure), QuickBooks Online by Intuit Inc., Spectrum® equipment, and Spectrum® software. The Spectrum® brand appears tied to the proprietary skeletal conditioning equipment central to the OsteoStrong concept. QuickBooks Online serves as the mandated accounting platform across all 153 franchised units. The operations software mandate is listed without a named vendor, which may indicate a proprietary or custom system, or simply a non-disclosed third-party platform. No POS system is specified in the mandated technology list, leaving that category potentially open for vendors who can integrate with the existing stack.
Procurement, renewals, and timing
The 2025 FDD does not include an Item 8 procurement extract, so the formal supplier designation process—whether designated supplier, approved supplier, or open procurement—is not publicly disclosed. Vendors should approach OsteoStrong directly to understand how to become an approved or preferred technology supplier.
Renewal terms offer a potential timing signal. The initial franchise agreement runs 10 years. Franchisees in good standing may renew for two additional 5-year terms, but must provide notice of intent to renew at least 180 days before expiration. Renewal also requires franchisees to sign the then-current form of franchise agreement, which may include materially different terms, including updated royalty or advertising fee rates and potentially new technology mandates. This creates a natural window for vendors: as franchise agreements approach their 10-year expiration, or as renewal terms cycle every 5 years thereafter, the franchisor may revisit and update its mandated technology stack. With 153 units and a 6.99% growth rate, a portion of the system will enter renewal windows each year, providing recurring opportunities for software vendors to engage.
How to read the OsteoStrong FDD
The full OsteoStrong 2025 Franchise Disclosure Document is available below. Key sections for software vendors include Item 1 (executive team and corporate structure), Item 11 (mandated technology and supplier obligations), and Item 17 (renewal conditions and timing). The FDD confirms OsteoStrong is independently owned with no parent company on file. Review these sections to validate the decision-maker contacts, understand the scope of technology mandates, and identify the contractual triggers that may open windows for new software adoption. For a ranked target list of franchise systems aligned with your software category, FranCloud can help.
Questions vendors ask
OsteoStrong, answered from the filing
The 2025 FDD lists Kyle Zagrodzky (CEO) and Johnathan Cole (VP of Operations) as key executives. With mandated tech across all units, purchasing decisions appear centralized at HQ rather than at the franchisee level.
OsteoStrong mandates operations software (unnamed in the FDD), QuickBooks Online by Intuit Inc., Spectrum® equipment, and Spectrum® software. No POS system is specifically named in the 2025 disclosure.
The 2025 FDD reports 153 total units, all franchised. No company-owned units are disclosed. The system grew 6.99% year-over-year, with top states including California (25), Florida (21), and Texas (15).
The 2025 FDD does not include an Item 8 procurement extract, so the designated-supplier versus approved-supplier model is not publicly disclosed. Vendors should inquire directly about becoming an approved or preferred supplier.
With a 10-year initial term and two optional 5-year renewals, contract windows may align with renewal cycles. Franchisees must give 180 days’ notice to renew, creating potential discovery windows well before expiration.
The OsteoStrong 2025 FDD is filed with state franchise regulators. You can review the full document using the embedded PDF viewer below for detailed Item 11 tech mandates, Item 17 renewal terms, and executive contacts.
Source
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FDD alert
Tell me when this brand refiles.
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Operator footprint
Who runs the locations
194 operators run 198 mapped locations. 4 of them are multi-unit. Aggregate counts from the filing; no names.
Operators by units owned
Single-unit190
2–9 units4
Top states by locations
| CA | 24 |
|---|---|
| FL | 21 |
| TX | 15 |
| NC | 12 |
| MO | 11 |
Ownership
The portfolio behind OsteoStrong
unknown of blue ocean international.
Related Fitness brands
Primary franchise filings · updated June 2026. Every figure is source-traceable and QA-checked.