A FIT FOR EVERYONE - A FRANCHISE OPPORTUNITY - Retro Fitness

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A FIT FOR EVERYONE - A FRANCHISE OPPORTUNITY - Retro Fitness
A FIT FOR EVERYONE

                A FRANCHISE OPPORTUNITY
A FIT FOR EVERYONE - A FRANCHISE OPPORTUNITY - Retro Fitness
AN INVESTMENT
FIT FOR EVERYONE
Retro Fitness is a rapidly growing franchise model within the $30 Billion health and wellness industry
that provides a high return on investment with strong-unit economics and streamlined operations.

In a world where what you see is not always what you get, Retro Fitness is a business opportunity that
delivers on its promise. Our success is based on a simple value– quality.

Quality in the brand, the facility, the support, the corporate team, the training, the ongoing operational
assistance, and maybe most importantly, the quality of our franchise owners.

Smart, savvy and successful, our diverse group of franchise owners includes doctors, lawyers, C-level
executives, multi-brand entrepreneurs and everything in between. They’ve all chosen Retro Fitness to
grow and expand their investment portfolios and are united by a common goal: to deliver the very best
personalized fitness experience fitting each-and-every member’s budget.

When Retro Fitness started franchising in 2005, the philosophy was
simple: deliver more fitness for less money. Over the last decade,
the model has evolved into an all-encompassing fitness experience
designed for valued members to accomplish their fitness goals through
a variety of exercise options all under one roof.

                                                                Eric Casaburi
                                                                Retro Fitness Founder
A FIT FOR EVERYONE - A FRANCHISE OPPORTUNITY - Retro Fitness
POWERFUL
PERFORMANCE
One of the largest segments driving fitness industry growth is “high-value, low-price” (HVLP) health clubs,
which Forbes calls, “the dominant competitors in the health club market” today. Retro Fitness was at the
forefront of HVLP movement and remains an industry leader today.

FOR THE CONSUMER, Retro continues to distinguish itself from traditional big-box gyms by offering an
amazing value-proposition designed specifically for today’s consumer– a one-stop shop for any fitness
enthusiast’s budget.

FOR FRANCHISE OWNERS, our strategic pricing strategies, wide variety of high-end equipment, vast array
of training offerings and amenities means Retro Fitness can attract and retain members, while providing
owners with multiple revenue streams maximizing bottom line returns.

▶▶ AFFORDABLE $19.99 PER MONTH                          ▶▶ SMALL GROUP FUNCTIONAL HIIT CLASSES
    MEMBERSHIP
                                                         ▶▶ WEARABLES AND PERFORMANCE
▶▶ STATE-OF-THE-ART FITNESS FACILITIES                       MONITORING

▶▶ 60-75 PIECES OF CARDIO EQUIPMENT WITH                ▶▶ RETRO BLENDS® JUICE BAR
    PERSONAL LCD SCREENS
                                                         ▶▶ AMENITIES: CHILD SITTING, TANNING, HYDRO
▶▶ THREE DIFFERENT TYPES OF CIRCUIT                        MASSAGE
   TRAINING EQUIPMENT
                                                         ▶▶ PRO SHOP FEATURING SUPPLEMENT SALES
▶▶ PERSONAL TRAINING
A FIT FOR EVERYONE - A FRANCHISE OPPORTUNITY - Retro Fitness
A BUSINESS                                                     “I wanted to join a franchise that would be easy for my son and I to operate together. We found Retro
                                                                 Fitness to be the perfect fit. What set Retro apart from other concepts is that the brand is always
                                                                 looking to grow and improve the model to offer the best membership experience, while at same time

       MODEL
                                                                 help us maximize bottom line returns.”

                                                                 Bob Polizzano
                                                                 and Bob Polizzano Jr.
THAT FITS YOU                                                    Philadelphia, PA

While our current franchise owners come from diverse
industries and backgrounds, they are united by a common
objective. Each wanted an outstanding investment opportunity
that would benefit themselves and their families, while
providing a balance between lifestyle and business investment.

That is one of the primary reasons that only about a third of
Retro Fitness owners are owner/operators. The rest leave the
day-to-day operation of the club to their trusted managers
and staff, along with the ongoing assistance of Retro Fitness
corporate.

                                                                 “Our return on investment as Retro Fitness owners has been strong and profitable. Not only do you
                                                                 get predictable monthly income from membership dues, the Retro model has so many other revenue
                                                                 centers like the Retro Blends Juice Bar, personal and group functional training, group classes, tanning,
                                                                 child sitting and a pro shop that allow us to generate additional dollars every day.”

                                                                 Bevan and Jaley Cox
                                                                 Cedar City, UT
A FIT FOR EVERYONE - A FRANCHISE OPPORTUNITY - Retro Fitness
ONE
STRONG                                                                    ONE
                                                                          ONE-ON-ONE TRAINING

TEAM
One, Strong, and Team (OST) are Retro’s three proprietary training
programs focused on generating positive and infectious energy that
results from inspired, and highly personalized, One-on-One, Small
Group and Team training.

Whether a competitive athlete, a weekend warrior, or someone who’s
just working out to be the best they can be, OST has a program that’s
right and coaches that will inspire our members to reach their goals.

The physiology behind OST is focused on improving strength,
coordination, muscular endurance, metabolic conditioning, and core

                                                                          STRONG
body movements. Our primary objective is simple: help each member
reach their unique and individualized peak level of physical fitness.

FOR FRANCHISE OWNERS, OST provides a powerful alternative                 SMALL GROUP STRENGTH TRAINING
revenue stream, while at the same time providing Retro Fitness
members with the type of personalized training, and equipment,
typically only found in “boutique” gyms- and at a fraction of what they
charge.

                                                                          TEAM
                                                                          TEAM CONDITIONING
A FIT FOR EVERYONE - A FRANCHISE OPPORTUNITY - Retro Fitness
$2,211,967
                                                                                VERAGE GROSS SALES PER UNIT
                                                                               A
                                                                               OF TOP 10% OF RETRO FITNESS CLUBS

THE FUTURE                                                                    $527,426
OF FITNESS                                                                    AVERAGE EBITDA

IS STRONG                                                                     REPORTED BY TOP 10% OF RETRO
                                                                              FITNESS FRANCHISE OWNERS

                                                                              5,605
Industry analysts predict a steady growth in the demand for
health, wellness and fitness among all demographic groups – from
Millennials to Baby Boomers. It’s estimated that currently about
20% of American adults have a fitness club membership, a number
that experts think could double in the next 10 – 15 years.

Retro Fitness offers franchisees the incredible opportunity to
leverage the potential of the fitness industry.
                                                                              MEMBERSHIP BASE
                                                                              AT THE TOP 10% OF RETRO FITNESS CLUBS

                                                                              $142
                                                                              AVERAGE REVENUE PER SQUARE FOOT
                                                                              OF THE TOP 10% OF RETRO FITNESS CLUBS
                                                                   AVERAGE GROSS SALES FOR THE TOP 10% OF RETRO FITNESS CLUBS OPERATING DURING THE PERIOD 3/1/18-2/28/19. TOP 10% INCLUDES 14 CLUBS. 6 OF THESE CLUBS, OR 43%, ATTAINED OR
                                                                   EXCEEDED THE AVERAGE. AVERAGE EBITDA FOR THE TOP 10% AS SHOWN IN 2017 FEDERAL TAX RETURNS SUBMITTED. TOP 10% INCLUDES 10 CLUBS. 2 OF THESE CLUBS, OR 20%, ATTAINED OR
                                                                   EXCEEDED THIS AVERAGE. AVERAGE # OF MEMBERS FOR TOP 10% AS OF 02/28/2019. THE TOP 10% INCLUDES 14 CLUBS, 5 OF WHICH ATTAINED OR SURPASSED THE STATED AVERAGE. READ
                                                                   ITEM 19 OF OUR APRIL 30, 2019 FDD IN ITS ENTIRETY FOR ADDITIONAL INFORMATION, IMPORTANT DEFINED TERMS, ASSUMPTIONS AND QUALIFIERS RELATED TO THESE FIGURES. A NEW
                                                                   FRANCHISEE’S RESULTS MAY DIFFER FROM THE REPRESENTED PERFORMANCE. THERE IS NO ASSURANCE THAT YOU WILL DO AS WELL AND YOU MUST ACCEPT THAT RISK. THIS ADVERTISEMENT
                                                                   IS NOT AN OFFERING. THIS INFORMATION IS NOT INTENDED AS AN OFFER TO SELL OR THE SOLICITATION OF AN OFFER TO BUY, A FRANCHISE. IT IS FOR INFORMATION PURPOSES ONLY.
                                                                   OFFERINGS ARE MADE BY PROSPECTUS ONLY. ©2019 RETRO FITNESS LLC. ALL RIGHTS RESERVED.
A FIT FOR EVERYONE - A FRANCHISE OPPORTUNITY - Retro Fitness
DEDICATED
SUPPORT
Retro Fitness provides full training and support for franchisees, including comprehensive
site selection and lease negotiation assistance, exclusive vendor partnerships, management
training and ongoing business consultation to equip every franchisee with the tools needed
to succeed.

Retro Fitness even provides a dedicated financial broker to assist franchisees in the
execution of strategic funding solutions for initial and continued development objectives.

▶ ▶F ULL STAFF TRAINING ON-SITE                        ▶ ▶T URN-KEY PROFIT CENTERS
    OR AT RETRO UNIVERSITY                               Juice Bar services with pre-negotiated discounts,
  I ncluding top performer recruiting tactics,          proprietary Personal Training System designed
   compensation structures, and elite Retro              for maximizing net profit and full line of exercise
   performance systems and procedures                    apparel and accessories with easy online ordering

▶ ▶I NTERIOR/EXTERIOR DESIGN/BUILD-
                                                        ▶ ▶COMPUTER SYSTEM EQUIPMENT
    OUT SERVICES BY INDUSTRY-LEADING
                                                         Management software and billing
    ARCHITECTS AND SUPPLIERS
                                                         and collection solutions through the
  Flooring (rubber, custom/specialty), lockers,
                                                         largest company in the Industry
  mirrors and more from top manufacturers

▶ ▶C USTOM STRENGTH TRAINING AND CARDIO                ▶ ▶D IRECT MARKETING SOLUTIONS
    EQUIPMENT FROM TOP MANUFACTURERS                     Including system which allows you to
  Including pre-negotiated discounts and warranties    monitor how info request calls are being
                                                         handled by your staff, via our “call tracker”
                                                         recording, delivered right to your email
▶ ▶LOCATION SERVICES
  Detailed demographic profiles, nationwide
  real estate/lease/purchase negotiating                ▶ ▶M EMBERSHIP SALES (PRE-SALES)
                                                            SERVICES/CONSULTING
                                                         A customized club launch and presale
▶ ▶MEMBER RETENTION AND LOYALTY
                                                         marketing plan for your location and
  Members can download our free app – compatible
                                                         plan implementation assistance
  with iPhones®, iPads®, Smartphones and
  tablets – offering a customizable workout
                                                        ▶ ▶O WNER/MANAGER SUPPORT AND TRAINING
  log and nutrition diary along with the ability
                                                         Regular manager meetings and training, Grand
  to order smoothies during a workout and
                                                         Opening assistance, internet, security/safety
  schedule personal training appointments
                                                         procedures, field operations/evaluations,
  connecting each member to your gym 24/7
                                                         purchasing cooperatives and more
A FIT FOR EVERYONE - A FRANCHISE OPPORTUNITY - Retro Fitness
FRANCHISE AT A GLANCE
▶▶   
     Founded   in 2005; Franchising since 2006        ▶▶ Advertising Fee: 2%
▶▶   Total Operating Units: 140 and growing           ▶▶ Available Territories: All 50 States
▶▶   Multi-Unit Franchisee Operating Units: 55%       ▶▶ Minimum of $300,000 non-borrowed
▶▶   Average Unit Size: 12,000 - 20,000 sq. ft.           liquidity
▶▶   Total Project Cost: $944,250 to $1,592,500       ▶▶ Net worth of $1.5MM
▶▶   Franchise Fee: $69,000                           ▶▶ Requirements can be cumulative amongst
▶▶   Royalty Fee: 5%                                      partners

                                ALL THE RIGHT ANSWERS
▶ ▶DO YOU HAVE AN EARNINGS CLAIM?                     ▶ ▶DO YOU OFFER TRAINING?
     Yes, please find our full Item 19                  Yes, we provide training for opening and
     document at OwnARetro.com.                         ongoing operation of your Retro Fitness club.
                                                        It begins with eight days of training at our
▶ ▶W HAT BUILD OUT OPTIONS EXIST                       corporate headquarters, followed by another
    FOR A RETRO FITNESS LOCATION?                       eight days of training at your location. Then
     The model is highly transferable to                we stay connected through regular training of
     various venues to include inline and               your management and staff.
     free-standing buildings in retail,
     residential and industrial areas.                ▶ ▶D O I NEED TO HAVE PRIOR EXPERIENCE
                                                          IN THE GYM OR FITNESS INDUSTRY?
▶ ▶H OW MUCH DOES IT COST TO OPEN                      No. In fact, many of our franchisees come
    A RETRO FITNESS FRANCHISE?                          from diverse industries and backgrounds
     The total project cost of a Retro Fitness          with little to no previous industry experience.
     club varies from $944,250 to $1,592,500            We will help you hire and train a qualified,
     depending on the size of the space.                knowledgeable team of fitness professionals
                                                        to best manage club operations.
▶ ▶D OES RETRO FITNESS ASSIST IN THE
    DESIGN AND EQUIPPING OF MY GYM?                   ▶ ▶HOW MUCH MONEY CAN I MAKE?
     Yes, Retro Fitness has a “Design Standards         Profitability will vary considerably
     Manual” sample floor plan designs and              depending upon such factors as: location,
     architectural resources to assist in keeping       operating costs, financing terms, your
     the consistency of the Retro Fitness brand         ability to manage and control the business,
     the same throughout the franchise system.          sales and other factors. We do not predict
     In addition, Retro Fitness has a standard          sales or profits for any new locations. We
     equipment package from the industry’s              encourage you to discuss this with existing
     leading manufacturers with substantial             franchisees and your personal advisors.
     discounts to ensure the member experience
     is similar across all Retro clubs.               ▶ ▶W ILL RETRO HELP WITH THE FINANCING
                                                          PROCESS FOR OPENING A FRANCHISE?
▶ ▶W HAT IS THE AVAILABILITY OF A RETRO                Yes, our dedicated financial broker will
    FITNESS LOCATION IN MY AREA?                        work with you in reviewing your finances to
     Retro Fitness locations are available in           determine the best products and services
     all 50 states. The availability of territories     available for financing your Retro Fitness
     will be discussed in full detail prior             franchise through a network of lenders.
     to signing a franchise agreement.
A FIT FOR EVERYONE - A FRANCHISE OPPORTUNITY - Retro Fitness
RETRO FITNESS
             43 COUNTY ROAD 537 W COLTS NECK, NJ 07722
                  732-431-0062 RETROFITNESS .COM
This is not an offer to sell a franchise. Offerings made by prospectus only. ©2019 Retro Fitness, LLC. All rights reserved.
A FIT FOR EVERYONE - A FRANCHISE OPPORTUNITY - Retro Fitness
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