F45 Trades Unit Count for Franchisee Quality

F45 Training is shrinking its U.S. footprint on purpose. The brand went from 791 domestic locations at the end of 2023 to 708 at the start of 2026, and CEO Tom Dowd says unit count is no longer the scoreboard. Profitability per studio and the quality of the owner behind it now are.

A Hangover From Hypergrowth

F45 went public in 2021 at $16 a share, raising $325 million, then delisted in August 2023 with the stock under $1. This year it paid $10.5 million to settle a class action alleging its IPO filings overstated growth. In August, Maryland franchisee Mad Fitness Group, which runs more than 30 studios, filed for Chapter 11.

Three to Six Studios, Not Thirty

Dowd has drawn a clear line on operator size. He told Franchise Times the system's sweet spot is owners running three to six studios in markets they know personally, and he pointed to the Mad Fitness bankruptcy as evidence of what happens when scale outruns oversight. Development now involves real interviews, closer real estate review, and fewer territories sold to buyers without fitness experience.

Sister Brands Become the Growth Valve

To give ambitious owners room to grow without crowding their own F45 units, the company grouped F45, yoga concept FS8 and Vaura Pilates under FIT House of Brands in 2025. The portfolio counts more than 1,500 locations in over 60 countries. An Athlete Ownership Initiative launched this year targets current and retired athletes as a new pool of fitness-literate franchisees.

What Operators Should Watch

Fitness franchisors that sold aggressively in 2020 and 2021 are now paying for it in closures and litigation. F45's reset makes the trade-off explicit: slower unit growth in exchange for fewer distressed owners and less cannibalization. For prospective buyers, a brand that turns down checks is often a safer bet than one chasing a unit target.