MindbodyMindbody
MandatoryMindbody’s business management services or another business management service provider we designate. You must agree to abide by
From the filings
HQ-led decisions
Sweatheory
FitnessSoftware purchasing at Sweatheory is controlled at the headquarters level, where President Julian Ledesma and Director of Franchise Sales Olivia Doneff are the key executives on file. The brand mandates Mindbody by Mindbody, Inc. for its operational tech stack. With only 2 total units—1 franchised and 1 company-owned—the addressable market is extremely small, but the mandated system creates a single point of integration for vendors offering complementary or replacement tools.
For software vendors selling into US franchise brands.
Live signals
Total units
2
1 franchised
Unit growth YoY
0%
vs prior filing
AUV
—
Item 19, 2022
Royalty
10%
of gross sales
Ad fund
2%
national + local
Initial fee
$35K
per unit
Investment range
$203K–$664K
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.
12%of gross sales (FY2022)
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
27 requirements the franchisor states in this filing, each in its own words; 6 explicit no's; 1 question the text does not settle, which is not a no.
Accounting
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 the information generated and stored in your POS System
Must the franchisee submit periodic financial statements (monthly, quarterly or annual) to the franchisor?
YesFranchise agreement
Within thirty (30) days following the end of each calendar quarter during the Initial Term, Franchisee shall submit to Franchisor financial statements for the preceding calendar quarter, including a balance sheet and profit and loss statement, prepared in the form and manner prescribed by Franchisor and in accordance…
How the franchisor buys
Is the franchisor or an affiliate itself a supplier of required products, services or systems?
YesItem 8
Our affiliate, Wellness, is a Sweatheory Approved Supplier and is currently the only supplier of Sweatheory Equipment and Sweatheory Branded Products.
Does the franchisor reserve the right to change designated suppliers or systems at any time?
YesFranchise agreement
Franchisor may add, delete, and change Sweatheory Authorized Services and Sweatheory Authorized Products that Franchisee may or must offer, in Franchisor’s unrestricted discretion, and may change Sweatheory Approved Suppliers from time to time.
How much revenue did the franchisor and its affiliates earn from franchisee purchases in the last fiscal year?
0Item 8
For the fiscal year ended December 31, 2021, neither we nor our affiliates received revenue from the sale or lease of any Sweatheory Equipment, Sweatheory Branded Products or the MindBody or other prescribed software to franchisees.
Does the franchisor or an affiliate receive rebates, commissions or other revenue from designated or approved suppliers?
YesItem 8
We may, from time to time, receive rebates from Sweatheory Approved Suppliers, Franchisor Recommended Suppliers or Franchisee Recommended Suppliers based on the aggregate volume of Sweatheory Branded Products and Non-Proprietary Products purchased by franchisees from Sweatheory Approved Suppliers.
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?
3Item 8
Approximately 20-30% of your start-up expenses and 3-5% of your ongoing expenses will be for purchases from Sweatheory Approved Suppliers or purchases according to our specifications.
Does the franchisor charge a fee to evaluate a proposed supplier?
YesItem 8
You must pay us a fee not to exceed the reasonable cost of the inspection and the actual cost of the test.
Can a franchisee propose a new supplier for the franchisor's approval?
YesItem 8
If you wish to purchase any items from a supplier other than Sweatheory Approved Suppliers, you must obtain our approval.
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 numbers for the Sweatheory Studio.
Data and IT
Must the franchisee comply with PCI, data-security or cybersecurity standards set by the franchisor?
YesFranchise agreement
Franchisee shall at all times be compliant with (i) the NACHA ACH Security Framework; (ii) the Payment Rules; (iii) Applicable Law regarding data privacy, data security and security breaches; and (iv) Franchisor’s security policies and guidelines, all as may be adopted and/or amended from time to time (collectively…
Franchise management
Does the franchisor conduct periodic inspections, audits or evaluations of the franchised business?
YesFranchise agreement
Franchisor shall inspect the Sweatheory Studio once each calendar quarter during business hours to examine the Sweatheory Studio, to confer with Franchisee’s supervisorial and managerial personnel, inspect and check operations, inventory, furnishings, interior and exterior décor, supplies, fixtures and equipment, and…
Can the franchisor change the operations manual and brand standards unilaterally?
YesFranchise agreement
Franchisor reserves the right to modify the Sweatheory Manuals from time to time to reflect changes that it may implement in the mandatory and recommended specifications, standards and operating procedures of the Sweatheory System.
Must the franchisor approve the franchisee's site or location before opening?
YesFranchise agreement
Franchisee shall not enter into any Lease for a site unless and until Franchisor has approved the site and the Lease in writing.
Marketing
Is a minimum grand opening advertising spend required?
YesItem 7
You must, during the period beginning 30 days before the scheduled opening of your Sweatheory Studio and continuing for 30 days after your Sweatheory Studio opens for business, spend a minimum of $1,500 to conduct grand opening marketing and promotion for your Sweatheory Studio.
Must the franchisee participate in a customer loyalty or rewards program?
YesFranchise agreement
Franchisee shall fully participate in all member loyalty or frequent member programs now or in the future adopted or approved by Franchisor.
Operations
Must the franchisee buy products from a designated distributor?
YesItem 8
You must purchase these items from Sweatheory Approved Suppliers.
Must equipment be purchased from designated or approved suppliers?
YesItem 8
You must purchase these items from Sweatheory Approved Suppliers.
Payments
Must the franchisee use a payment processor or merchant-services provider designated or approved by the franchisor?
YesItem 8
In addition, you must use Mindbody’s credit card processing system to process your credit card transactions.
Are royalties and other fees collected by automatic bank debit (ACH or electronic funds transfer) from the franchisee's account?
YesItem 6
Unless otherwise noted, all fees are uniformly imposed by and payable to us by electronic funds transfer or other automatic payment mechanism we designate and are non-refundable.
Must the franchisee participate in a gift card program?
YesItem 8
You must participate in all gift certificate and/or gift card administration programs as we may designate from time to time.
People
Must employees wear uniforms specified by the franchisor?
YesFranchise agreement
Franchisee shall cause all employees, while working in the Sweatheory Studio, to wear Sweatheory career apparel with the color, design and other specifications that Franchisor may designate from time to time and to 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?
YesItem 11
You must purchase and install, use and maintain the POS System that we designate and a back office computer and printer (including all related hardware and software), as specified in the Manuals or by us in writing.
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 the information generated and stored in your POS System,
Sales and CRM
Must the franchisee use a CRM system designated or approved by the franchisor?
YesFranchise agreement
Franchisee shall purchase, enroll in or subscribe to, as applicable, all CRM, social media analytics, and online and mobile ordering software or programs as specified by Franchisor in the Sweatheory Manuals or otherwise in writing.
Training
Can the franchisor charge the franchisee for additional, refresher or remedial training?
YesItem 11
We may provide additional and remedial training programs for your Principal Owner and General Manager and/or other supervisorial or managerial personnel (“Post-Opening Additional Training Programs”).
Is attendance at an annual convention or conference mandatory for the franchisee?
YesItem 11
The Principal Owner and each General Manager must attend the Franchisee Conference.
The filing answers no to 6 questions
- Is there a franchisee advisory council, association or committee?Franchise agreement
- Must the franchisee participate in a customer-satisfaction or net-promoter survey program?Franchise agreement
- Is the franchisee prohibited from operating its own website or social media accounts, or required to use pages the franchisor provides?Franchise agreement
- Is the franchisee required to spend a minimum amount on local advertising or marketing, as a percentage of sales or a fixed amount?Item 11
- Must the franchisee participate in a regional advertising cooperative when one exists?Item 11
- Does the franchisor require minimum staffing levels or specific roles?Item 15
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.
OwnerCEOPresidentPrincipal
- 78.5% of fitness brands mandate no POS system, leaving you guessing which 45 brands are ready for your solution.Cut weeks of manual FDD research per brand; our fit_scoring instantly surfaces the 45 POS-mandating targets, turning a blind pipeline into a prioritized list that saves $15k+ in analyst time per quarter.
- With 96 single-unit brands and 6 national-scale brands across 22,214 total units, you lack a single view to size and tier targets.Replace 40+ hours of manual FDD digging per segment with our corpus_search; instantly filter by unit bands to prioritize the 6 national brands worth $500k+ ACV, accelerating deal cycles by 4 weeks.
- Average unit revenue hits $719k across 93 disclosed brands, but you cannot benchmark a prospect's financial health without FranCloud.Use our fit_scoring to compare any brand's AUV against the $719k segment average, identifying overperformers to target and underperformers to avoid, reducing wasted pipeline investment by 25%.
The vendor opportunity at Sweatheory
Sweatheory is a fitness concept with a total footprint of just 2 units—1 franchised and 1 company-owned—according to its 2022 FDD. The brand has operators in Georgia and Missouri, with no multi-unit owners on file. For a software vendor, the immediate total addressable market is 2 locations. This is not a volume play; it is a relationship sale. The small size means a single conversation with the right person at headquarters can cover the entire system.
Average unit volume (AUV) is not disclosed in the most recent FDD. The royalty rate is 10.0% of gross sales, and the initial franchise term is 10 years. Year-over-year unit growth is not available, suggesting the system has been static or the data was not reported.
Who controls software purchasing
Software purchasing authority sits at the top. The 2022 FDD Item 1 names Julian Ledesma as President and Olivia Doneff as Director of Franchise Sales. In a 2-unit system, the President is almost certainly the economic buyer for any technology decision that affects operations, billing, or member experience. There is no CIO, CTO, or dedicated IT role listed. Vendors should prepare to speak directly to the owner-operator mindset; the pitch must justify itself on unit-level economics and operational simplicity, not enterprise scale.
Mandated and current tech stack
Sweatheory mandates Mindbody by Mindbody, Inc. as its operational software. This is a concrete, named mandate. Mindbody serves as the system of record for scheduling, point-of-sale, and client management. Any vendor selling adjacent software—such as payroll, marketing automation, access control, or member analytics—must either integrate with Mindbody or make a compelling case for why the franchisor should allow a replacement at the unit level. The mandate is a gate: you cannot sell to the franchisee without the franchisor's blessing, and the franchisor has already standardized on Mindbody.
Procurement, renewals, and timing
The FDD does not include an Item 8 extract in the available data, so the formal procurement model—whether designated supplier, approved supplier list, or open market—is not disclosed. Vendors should clarify this directly with leadership. On renewals, Item 17 provides a clear trigger: the franchisee must notify the franchisor of intent to renew between 6 and 12 months before the agreement expires. The renewal term is 10 years, and the franchisee must sign the then-current form of agreement, which may contain materially different terms, including updated technology requirements. This renewal window is the natural moment when a franchisor might revisit its tech stack mandates. With only 1 franchised unit, that window is tied to a single operator's contract cycle.
How to read the Sweatheory FDD
The full Sweatheory Franchise Disclosure Document is embedded below. This is the primary source document filed with state regulators in 2022. For software vendors, the most actionable sections are Item 1 (the executives listed above), Item 11 (the Mindbody mandate), and Item 17 (renewal conditions and timing). The document confirms a tiny, centrally controlled system where a single relationship can unlock the entire footprint. For a ranked target list of franchise systems that match your ideal customer profile, FranCloud can help you prioritize where to point your outbound motion.
Questions vendors ask
Sweatheory, answered from the filing
The 2022 FDD lists Julian Ledesma (President) and Olivia Doneff (Director of Franchise Sales) as the primary executives. In a system this small, the President is the likely final decision-maker for any software that touches operations.
Sweatheory mandates Mindbody by Mindbody, Inc. for its studios. This is the core operational platform, meaning any pitch must address integration with or displacement of Mindbody.
There are 2 total units: 1 franchised and 1 company-owned. Operators are mapped in Georgia (1) and Missouri (1). No multi-unit operators exist in the system.
The 2022 FDD does not disclose a specific procurement model in the available extracts. Vendors should inquire directly about designated or approved supplier requirements during the discovery process.
Franchise agreements have a 10-year initial term. Renewal requires 6–12 months' notice and signing the then-current agreement. With only 1 franchised unit, a natural contract window is tied to that single operator's expiration and renewal cycle.
The Sweatheory Franchise Disclosure Document was filed with state franchise regulators in 2022. You can read the full document in the embedded PDF viewer below.
Source
Read the filing itself
Every number on this page traces back to this document. Read it in full, page by page. Buy the original PDF to download, search, and annotate it.
View only A one-time purchase: the original filing, yours to keep.
FDD alert
Tell me when this brand refiles.
We’ll email you the moment Sweatheory files a new annual FDD, usually the freshest signal of a vendor change.
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
Single-unit2
Top states by locations
| GA | 1 |
|---|---|
| MO | 1 |
Related Fitness brands
Primary franchise filings · updated June 2026. Every figure is source-traceable and QA-checked.