Gradum Gswing Franchise
Cost, fees, owner earnings, closure rate and litigation for a Gradum Gswing franchise — pulled from the franchisor's own public FDD (2024), not its sales material.
Disclosure honesty
Gradum Gswing discloses earnings (Item 19) — but the grade is how honestly. We graded it D.
What their own earnings claim actually says
2023-2024 single affiliate-operated location data. Q1 2023: $14.8K monthly sales, 13% EBITDA margin after fees. Q3 2024: $41.5K monthly, 29% margin. One location only; results not audited.
What a Gradum Gswing franchise actually costs to run
| Fee | Disclosed | Where it comes from |
|---|---|---|
| Initial franchise fee | $50,000 | Item 5 — paid up front, before you open |
| Royalty | 8% of gross sales | Item 6 — charged on revenue, not profit |
| Advertising fund | 2% of gross sales | Item 6 — brand marketing, spent at the franchisor's discretion |
| Total recurring fees | 10% of gross sales | Before rent, labor, food or debt service |
| Total initial investment | $330,000 – $680,000 | Item 7 — franchisor's own low/high estimate |
8% royalty + 2% brand development + 5% local marketing. Additional: $500/day training, $1,500 non-compliance, $10K transfer fee, liquidated damages.
Royalty and ad-fund percentages are charged on gross sales — an owner pays them whether or not the location is profitable.
Gradum Gswing system size and owner turnover
| Total outlets | 13 |
| Ceased operations | 0 |
| Terminated by franchisor | 0 |
| Transferred to new owners | 0 |
| Closure rate | 0.0% of outlets |
Only 5 franchised outlets (2023); 2 reacquired by franchisor; no terminations/transfers yet.
From Item 20 of the FDD 2024. Terminations and ceased operations are the franchisor's own count of owners who stopped — the number the sales pitch leaves out.
Is Gradum Gswing worth it? — how it compares to 71 similar franchises
| Ongoing fees | 10% of sales | steeper than 76% of fitness & gyms franchises |
| Startup cost | from $330,000 | about average (median $295,540) |
| Disclosure honesty | Grade D | less honest than most of the category |
| Closure rate | 0.0% of outlets | better than most (median 0.1%) |
| Disclosed lawsuits | 1 | more litigious than 67% of peers |
Benchmarked against every fitness & gyms franchise we've graded from public FDDs — the context the franchisor's pitch never gives you.
Owner take-home for a Gradum Gswing
The franchisor's framing: 2023-2024 single affiliate-operated location data. Q1 2023: $14.8K monthly sales, 13% EBIT… We reconstruct what an owner actually keeps, from their own FDD.
- Reconstructed owner P&L — net take-home after royalty, ad fund, rent, labor & debt
- Break-even timeline + cash-on-cash ROI
- Full fee stack + required-purchase markups
- Decoded real failure / closure rate
- How it ranks vs comparable franchises
- Validation-call playbook — the exact questions to ask
See a full sample report → · 30-day guarantee
Gradum Gswing franchise — frequently asked
- How much does a Gradum Gswing franchise cost?
- The FDD lists a total initial investment of about $330,000–$680,000, including a $50,000 initial franchise fee.
- How much do Gradum Gswing franchise owners make?
- 2023-2024 single affiliate-operated location data. Q1 2023: $14.8K monthly sales, 13% EBITDA margin after fees. Q3 2024: $41.5K monthly, 29% margin. One location only; results not audited. We grade this disclosure D for honesty.
- What are the Gradum Gswing franchise fees?
- Gradum Gswing's FDD discloses a $50,000 initial franchise fee, a 8% royalty on gross sales, a 2% advertising-fund contribution, for roughly 10% of gross sales in recurring fees before rent, labor, or debt service. 8% royalty + 2% brand development + 5% local marketing. Additional: $500/day training, $1,500 non-compliance, $10K transfer fee, liquidated damages.
- What is the Gradum Gswing franchise profit margin?
- Gradum Gswing does not publish a franchisee net-profit margin — almost no franchisor does. What Item 19 actually shows: 2023-2024 single affiliate-operated location data. Q1 2023: $14.8K monthly sales, 13% EBITDA margin after fees. Q3 2024: $41.5K monthly, 29% margin. One location only; results not audited. Recurring fees alone take about 10% of gross sales, before rent, labor, food or debt service. Margin has to be reconstructed from the disclosure, not read off it.
- What is the Gradum Gswing franchise failure rate?
- Only 5 franchised outlets (2023); 2 reacquired by franchisor; no terminations/transfers yet.
- How many Gradum Gswing locations are there?
- Gradum Gswing's FDD reports 13 total outlets, with 0 that ceased operations in the most recent reporting year and 0 transferred to new owners. Item 20 is where system health shows up before the marketing does.
- Does Gradum Gswing have complaints or lawsuits?
- Gradum Gswing discloses 1 legal matter in Item 3 of its FDD. Item 3 covers the franchisor's litigation history, which is the closest thing to a public record of how it treats franchisees — read the case descriptions, not just the count.
- Is a Gradum Gswing franchise worth it?
- It depends on the numbers, not the pitch. Gradum Gswing scores D on disclosure honesty, carries about 10% of sales in ongoing fees, and discloses 1 legal matters. Get the real owner take-home before you sign.
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Source: WI DFI Franchise Registration (2024). FranchiseValidate is independent and not affiliated with Gradum Gswing or its franchisor. Figures are extracted from the franchisor's own public disclosure document; verify against the current FDD before any decision.