ClubReadyClubReady
MandatoryOnline. The cost for Microsoft Office is $99 and the cost for Microsoft Windows is $199. You must purchase a Barcode Scanning device compatible with ClubReady, or a dedicated mobile device (i.e., Ipad
From the filings
HQ-led decisions
The Max Challenge
FitnessSoftware purchasing at The Max Challenge is controlled at the headquarters level, with a lean executive team led by CEO Bryan Klein and President Lance Farrell. The franchise mandates ClubReady, ENE, QuickBooks Online, and SOCi across its 36-unit system, leaving little room for unit-level discretion. For vendors, the addressable market is compact—just 36 locations concentrated heavily in New Jersey—but the mandated stack signals a top-down procurement model where a single conversation can unlock the entire chain.
For software vendors selling into US franchise brands.
Live signals
Total units
36
34 franchised
Unit growth YoY
-2.857%
vs prior filing
AUV
—
Item 19, 2025
Royalty
7%
of gross sales
Ad fund
2%
national + local
Initial fee
$40K
per unit
Investment range
$151K–$349K
all-in, Item 7
Procurement
Franchisor controlled
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.
9%of gross sales (FY2025)
15% reference
Mandated & recommended tech
The systems vendors compete with
2 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.
QuickBooks OnlineIntuit
Mandatorytel Core 2 Duo processor and at least 4 gigabytes of RAM, and 8 USB ports. You must purchase Microsoft Office 2010 or newer and Microsoft Windows 7 or newer. You must subscribe to QuickBooks Online. T
Constant ContactConstant Contact
support services fee may include access to SOCi (a marketing platform), photo app access, MAXconnect (our internal franchise management software), your Center’s local website and constant contact. Thi
FacebookMeta
n or through the Internet, any social media site, mobile application, networking website, electronic media, or any emerging or future developed media outlet or platform, including Facebook®, Twitter®,
Facebook AdsMeta
spend any advertising funds principally to solicit new franchisees. During the 2024 calendar year, the Brand Fund spent on web development, digital marketing including AdWords and Facebook ads, search
InstagramMeta
lication, networking website, electronic media, or any emerging or future developed media outlet or platform, including Facebook®, Twitter®, FDD 2025 45 LinkedIn®, Living Social®, Instagram®, Groupon®
LinkedInLinkedIn
cial media site, mobile application, networking website, electronic media, or any emerging or future developed media outlet or platform, including Facebook®, Twitter®, FDD 2025 45 LinkedIn®, Living So
PinterestPinterest
media, or any emerging or future developed media outlet or platform, including Facebook®, Twitter®, FDD 2025 45 LinkedIn®, Living Social®, Instagram®, Groupon®, MySpace®, YouTube, Pinterest, Foursquar
QuickBooksIntuit
xpenditure or continuing Local Advertising Requirement. 3. Most Transformation Centers have 2 computers. The Computer System includes the components disclosed in Item 11 including QuickBooks, Microsof
SOCiSOCi
pend no less than the greater of $3,000 or 10% of gross revenue per month for the seventh through the twelve month of operations. Platform costs (such as, but not limited to, ENE, SOCi and Twilio) do
TwitterX
h the Internet, any social media site, mobile application, networking website, electronic media, or any emerging or future developed media outlet or platform, including Facebook®, Twitter®, FDD 2025 4
YahooYahoo
loped media outlet or platform, including Facebook®, Twitter®, FDD 2025 45 LinkedIn®, Living Social®, Instagram®, Groupon®, MySpace®, YouTube, Pinterest, Foursquare, Yelp, Google, Yahoo, or any simila
YelpYelp
or future developed media outlet or platform, including Facebook®, Twitter®, FDD 2025 45 LinkedIn®, Living Social®, Instagram®, Groupon®, MySpace®, YouTube, Pinterest, Foursquare, Yelp, Google, Yahoo,
YouTubeGoogle
ectronic media, or any emerging or future developed media outlet or platform, including Facebook®, Twitter®, FDD 2025 45 LinkedIn®, Living Social®, Instagram®, Groupon®, MySpace®, YouTube, Pinterest,
Franchisor behaviours
What the franchisor requires
27 requirements the franchisor states in this filing, each in its own words; 3 explicit no's; 4 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 subscribe to QuickBooks Online.
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 you enter into QuickBooks Online.
Must the franchisee submit periodic financial statements (monthly, quarterly or annual) to the franchisor?
YesFranchise agreement
You shall submit to Franchisor, on or before the tenth (10th) day following the end of each month, financial reports on the income and expenses of the Center in the format specified in the Manual.
How the franchisor buys
Does the franchisor reserve the right to change designated suppliers or systems at any time?
YesItem 8
While the suppliers included on this list are currently mandated, approved and/or recommended, we reserve the right to change this list from time to time in our sole discretion.
How much revenue did the franchisor and its affiliates earn from franchisee purchases in the last fiscal year?
34016Item 8
During our most recently concluded fiscal year ended December 31, 2024, we derived $34,016, or 1% of our total revenue of $1,936,805 on account of required franchisee purchases.
Does the franchisor or an affiliate receive rebates, commissions or other revenue from designated or approved suppliers?
YesItem 8
We and/or our affiliates, may derive income, consideration, payments and other benefits on account of your purchase or lease of any products, services, supplies and/or other items from us or any supplier, including approved suppliers, and/or designated 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?
5Item 8
will represent between 5% and 10% of your ongoing expenses.
Can a franchisee propose a new supplier for the franchisor's approval?
YesItem 8
Upon the completion of our evaluation, we inform you of our approval or disapproval of your request.
Communications
Does the franchisor own or control the business telephone numbers, or take them over when the agreement ends?
YesFranchise agreement
You further irrevocably assign your telephone numbers listed on Exhibit 3 to Franchisor; you shall disconnect or, at Franchisor’s option, assign to Franchisor all telephone numbers that have been used in the Center.
Data and IT
Must the franchisee comply with PCI, data-security or cybersecurity standards set by the franchisor?
YesFranchise agreement
You shall at all times be compliant with all Payment Card Industry Data Security Standards, any and all requirements imposed by all applicable payment processors and payment networks, including credit card and debit card processors, and any and all state and federal laws, rules and regulations relating to data…
Franchise management
Must the franchisee participate in a customer-satisfaction or net-promoter survey program?
YesFranchise agreement
You must present customers with such evaluation cards or forms as the Franchisor may periodically prescribe, for return by the customers to Franchisor.
Does the franchisor conduct periodic inspections, audits or evaluations of the franchised business?
YesFranchise agreement
Franchisor and its designated agents or representatives may conduct periodic quality control and records inspections of the Transformation Center at any time during the Term.
Can the franchisor change the operations manual and brand standards unilaterally?
YesItem 8
all of which may be changed by us at any time in the future
Must the franchisor approve the franchisee's site or location before opening?
YesItem 11
Our prior approval is required in writing.
Marketing
Is the franchisee prohibited from operating its own website or social media accounts, or required to use pages the franchisor provides?
YesItem 11
You are prohibited from using the Marks and listing, marketing, advertising, or otherwise promoting your Center on or through the Internet, any social media site, mobile application, networking website, electronic media, or any emerging or future developed media outlet or platform, including Facebook®, Twitter®, FDD…
Is a minimum grand opening advertising spend required?
YesFranchise agreement
You shall spend at least twenty thousand dollars ($20,000) for a Stand-Alone Transformation Center or ten thousand dollars ($10,000) for an Express Transformation Center on a grand opening advertising program (“Pre-Opening Advertising Expenditure”) conducted in accordance with the guidelines for such a program in the…
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
During regular operations, You are obligated to spend at least $3,000 per month or 10% of gross revenues from the Transformation Center per month, whichever is greater, on local advertising every month and supply copies of receipts for advertising to us (“Local Advertising Requirement”).
Must the franchisee participate in a regional advertising cooperative when one exists?
YesItem 11
We may require you to participate in the regional or local cooperative advertising programs we designate from time to time.
Operations
Must the franchisee buy products from a designated distributor?
YesItem 8
You must purchase the computer and POS System we require.
Must equipment be purchased from designated or approved suppliers?
YesItem 8
You must purchase all goods, items, products and services required for the development and operation of the Center from our approved or designated suppliers.
Payments
Must the franchisee use a payment processor or merchant-services provider designated or approved by the franchisor?
YesItem 11
You will use ClubReady’s credit card processing services, you will pay a fee of approximately 3.70% of all transactions.
Are royalties and other fees collected by automatic bank debit (ACH or electronic funds transfer) from the franchisee's account?
YesItem 6
We require that all fees payable to us be paid through an electronic funds transfer, including automatic debits from your bank account(s), unless we specify otherwise.
People
Does the franchisor require minimum staffing levels or specific roles?
YesItem 15
Whenever open for business, the fitness center must be directly supervised on site by a designated manager who has successfully completed our Initial Training program to our satisfaction and is Max Certified (the “Designated Manager”).
Point of sale
Must the franchisee use a specific point-of-sale system designated or approved by the franchisor?
YesFranchise agreement
You shall purchase and maintain a computer and point of sale system, as designated by Franchisor, (“POS System”) to be used in the operation of the Franchised Business and for reporting purposes.
Does the franchisor have independent access to the data in the franchisee's POS or computer system?
YesFranchise agreement
Franchisor has the right to independently access any and all information on your POS System at any time, without first notifying you.
Training
Can the franchisor charge the franchisee for additional, refresher or remedial training?
YesFranchise agreement
Franchisor may charge a fee for continuing education programs and additional training.
Is attendance at an annual convention or conference mandatory for the franchisee?
YesItem 11
Attendance is mandatory.
The filing answers no to 3 questions
- Is the franchisor or an affiliate itself a supplier of required products, services or systems?
- Does the franchisor charge a fee to evaluate a proposed supplier?Item 8
- Must the franchisee participate in a customer loyalty or rewards program?Franchise agreement
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 franchisor's owner/CEO decides; an ops or franchise-development lead may evaluate.
VP SalesHead of SalesCROSales Director
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The vendor opportunity at The Max Challenge
The Max Challenge operates 36 total units—34 franchised and 2 company-owned—across five states, with 28 locations in New Jersey and a handful in New York, Rhode Island, Connecticut, and Florida. The system contracted by 2.857% year-over-year, and every operator on file runs a single unit; no multi-unit franchisees appear in the most recent FDD. For a software vendor, this is a small, tightly controlled account where a headquarters relationship is the only viable path to adoption.
Royalties run at 7.0% of gross revenue, and the initial franchise term is 10 years. Average unit volume is not disclosed in the 2025 FDD. The chain is independently owned, with no parent company on file.
Who controls software purchasing
Purchasing authority sits with the executive team in New Jersey. CEO Bryan Klein and President Lance Farrell are the most senior decision-makers. Natalie Belford, National Director of Sales, is a likely point of contact for tools that touch the sales pipeline or member acquisition. Hayley Guerra, Director of Operations, and Tony Ferraro, Director of Franchisee Success, are the operational buyers who would evaluate any platform affecting daily studio workflows, member experience, or franchisee support.
Because every location is either company-owned or a single-unit franchise, there is no multi-unit operator with independent purchasing power. The mandated tech stack reinforces this: franchisees do not choose their core systems.
Mandated and current tech stack
The 2025 FDD mandates four systems. ClubReady serves as the fitness management platform—covering scheduling, membership, and likely billing. ENE is also mandated, though its exact function (back-office, reporting, or compliance) is not detailed in the disclosure. QuickBooks Online by Intuit handles accounting. SOCi is the mandated platform for localized marketing and reputation management.
No POS system is named separately, suggesting that ClubReady may fulfill point-of-sale functions or that POS is not a distinct mandate. Vendors selling complementary or replacement tools should map their product against this stack and identify where integration or displacement is feasible.
Procurement, renewals, and timing
Item 8 of the FDD—which typically describes purchasing requirements, designated suppliers, and rebate arrangements—contains no extract in the current disclosure. That absence means the public record does not clarify whether The Max Challenge uses a designated-supplier model, an approved-supplier list, or an open procurement process. In practice, the mandated tech list implies a centralized, HQ-controlled procurement posture.
Renewal terms offer one clue for timing. Franchisees in good standing can renew for one additional 10-year term (or the length of the then-current lease, if shorter), subject to a renewal fee and a potentially updated Franchise Agreement with materially different terms, including royalty rates and fees. Because the system is small and unit growth is negative, major software replacement cycles are likely infrequent and tied to these renewal windows or to HQ-driven strategic refreshes.
How to read the The Max Challenge FDD
The 2025 Franchise Disclosure Document is the authoritative source for unit counts, executive names, mandated suppliers, and contractual terms. It is filed with state franchise regulators and available for review below. Key sections for software vendors include Item 1 (executives), Item 8 (procurement, though absent here), Item 11 (mandated systems), and Item 17 (renewal and contract duration). Use these data points to qualify The Max Challenge against your ideal customer profile before investing in outbound.
For a ranked list of franchise systems that match your software category, reach out to FranCloud.
Questions vendors ask
The Max Challenge, answered from the filing
The buying center sits with CEO Bryan Klein, President Lance Farrell, and National Director of Sales Natalie Belford. Director of Operations Hayley Guerra and Director of Franchisee Success Tony Ferraro likely influence operational and support-tool decisions.
The 2025 FDD mandates ClubReady (fitness management), ENE (likely back-office or reporting), QuickBooks Online by Intuit (accounting), and SOCi (localized marketing). No POS is named separately.
36 total units: 34 franchised and 2 company-owned. The system is concentrated in NJ (28), with NY (5), RI (1), CT (1), and FL (1).
The FDD does not include an Item 8 procurement extract, so the designated-vs-approved-supplier structure is not publicly disclosed. The mandated tech list suggests a centralized, HQ-driven model.
Initial terms run 10 years. Renewal is available for one additional 10-year term (or lease term, if shorter) with a then-current renewal fee. With 36 units and negative unit growth, replacement cycles may be infrequent and tied to renewal events.
The 2025 FDD is filed with state franchise regulators. You can review it directly in the embedded PDF viewer below.
Source
Read the filing itself
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FDD alert
Tell me when this brand refiles.
We’ll email you the moment The Max Challenge files a new annual FDD, usually the freshest signal of a vendor change.
Operator footprint
Who runs the locations
38 operators run 38 mapped locations. 0 of them are multi-unit. Aggregate counts from the filing; no names.
Operators by units owned
Single-unit38
Top states by locations
| NJ | 28 |
|---|---|
| NY | 5 |
| RI | 1 |
| CT | 1 |
| FL | 1 |
Ownership
The portfolio behind The Max Challenge
single_brand_holdco of Max Transformation Holdings.
Sibling brands
Related Fitness brands
Primary franchise filings · updated June 2026. Every figure is source-traceable and QA-checked.