Article Scrutinizes Quiznos Rick Schaden, 1-2-3 Fit Franchise, Butterfly Life Franchise, Contours Express Franchise & Fitness Franchise Woes
Stuart Goldman of Club Industry’s Fitness Business Pro, a leading health club industry trade publication, has written an extensive and well-researched article on the struggling 30-minute fitness franchise chains and some of the powerful names that were instrumental in putting the match to this “hot new franchise” phenomenon.
I plan to look at particular points of this article in upcoming posts. Please share your initial comments below.
Here’s an excerpt. Click a link to read the entire article:
Source: Lights Out by Stuart Goldman, Managing Editor, Fitness Business Pro
The troubles that continue to plague circuit club companies also extend to business-savvy franchisees who trusted the reputations of some of the biggest names in the industry.
1-2-3 Fit, Denver, was founded in 2005 by Quiznos restaurant executives Rick Schaden and Brooksy Smith, who combined their efforts with fitness legend Ray Wilson. The 1-2-3 Fit Web site lists 27 stores open in 11 states, with seven more stores opening soon. One franchisee says 22 stores have closed since the company’s inception.
It sounded so simple. It made so much sense. Experienced, knowledgeable people banked on the marriage of a well-known sandwich chain and a fitness industry legend to create an exciting new circuit club franchise. At another promising company, people counted on the experience of a group of investors that included the founder of the biggest revenue-producing chain in the industry.
1-2-3 Fit, Denver, which opened in 2005, was the brainchild of Rick Schaden and Brooksy Smith, two men who made Quiznos a successful national restaurant chain. Schaden and Smith called upon fitness legend Ray Wilson, whose background includes opening several club companies, to help them with their venture into the fitness industry.
“It was the perfect mixture of franchise team and fitness team,” one former 1-2-3 Fit franchisee says.
Butterfly Life, San Ramon, CA, opened in 2003 and had the initial backing of Mark Mastrov, the founder of 24 Hour Fitness who resigned last month as chairman of 24 Hour. Mastrov’s colleagues, Mark Golob and Tom Gergley, had operated Linda Evans clubs in California before opening Butterfly Life.
“With Mastrov’s name, how could you go wrong?” one former Butterfly Life franchisee says.
But according to many franchisees at the two companies, plenty did go wrong…
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POSTED IN: 1-2-3 FIT, 24 HOUR FITNESS, BUTTERFLY LIFE, CONTOURS EXPRESS, CURVES FOR WOMEN, Lady of America, QUIZNOS, ShapeXpress Fitness
5 opinions for Article Scrutinizes Quiznos Rick Schaden, 1-2-3 Fit Franchise, Butterfly Life Franchise, Contours Express Franchise & Fitness Franchise Woes
N/A
Feb 22, 2008 at 1:04 pm
I’m real curious to know what “rights” franchisee’s have in all of this…. Will be interesting to see how it all plays out.
Success depends on growth of both parties. The Franchisee’s need the Franchise itself to grow in order to get the desired name recognition and the Franchisor needs the Franchisee’s to grow in order to sell more. It’s a vicious circle and there are no easy answers.
People only seem to make money in this society if you want to rip people off and sell garbage of some sort. You try to sell Fitness…..a proven way to improve your health and quality of life and apparently no one wants it.
You think Coca Cola wants people healthy? How about McDonalds? The Pharmacuetical companies? These companies can afford to cram their unhealthy products down our throats 24 hours a day 7 days a week. It’s tough for a strt up Fitness Franchise to combat.
Fortune Article Spotlights Butterfly Life Franchise Woes
Mar 1, 2008 at 5:03 pm
[…] February 15th, 2008 Article Scrutinizes Quiznos Rick Schaden, 1-2-3 Fit Franchise, Butterfly Life Franchise, Contours Ex… […]
Anita Gross
Jul 17, 2008 at 12:44 pm
Q: Why should I consider the Ameri shape Weight Loss Studio license over a franchise?
There are many reasons, but the two most often are… [Lengthy promotion deleted]
Anita: Please review the Franchise Pick Site Guidelines in regard to promotion in comments.
If you are interested in promoting your fitness opportunity, please email me at info[at]ideafarm.net. I’ll be happy to offer you some options.
Netiquette tip: posting generic sales copy into a blog comment area is considered “comment spam,” offensive and bad form. It’s more likely to do damage to your image than promote it. I always give the benefit of the doubt that it was a newbie mistake, so no harm done.
sean
Jul 18, 2008 at 11:06 pm
I however get to break the rules:
Your Town Health Club Marketplace
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Contours Express 8 Piece Circuit
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Contours Express Channel Neon Sign - VA
Contours Express Sign & Banner for Sale
Franchise Resales & Territories
VA Contours Express Franchise Pkg: 8 Piece Fitness Circuit, Signage, 2 Territories
Contours Express Franchise For Sale - Yuba City, CA
List your fitness equipment- Cheap
List your fitness equipment
List your club or franchise territory
Jeff Taylor
Nov 17, 2008 at 11:59 am
I worked deep in the Quiznos company for a number of years. After many franchise owners and those who never had gotten their restaurants opend, I left. The inside mindset is, “We don’t care if they open in time, just get them signed up and get their financial committment.” That philosophy extended to the 123 Fit as well as the new Smash Burger chain being opened by Quiznos. Schaden has purchased severla large jets, sailboats, left his former wife for his former personal assistant.
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