Source: Franopolis

Hot Ground Gym

Sources2026 FDD Research
Startup Investment$163,000 to $317,000Source Research · Item 7
RoyaltyRoyalty 6% of Gross Monthly RevenueSources
Marketing & AdvertisingMarketing Fund 2% of Gross Monthly RevenueSources

The Business

Sources

The franchisor is a Delaware limited liability company, formed in Delaware on January 24, 2023.

2026 FDD · PDF Page 8 · Item 1 · View Source

Read More About The Business

The franchisor’s affiliate, Hot Ground Gym LV, Inc., is an Illinois corporation established on September 25, 2017. HGGLV is the operator of a Hot Ground Gym® business located at 1950 the franchisor-45, Libertyville, IL 60048.

2026 FDD · PDF Page 8 · Item 1 · View Source

The franchisor’s affiliate, Hot Ground Gym AH, Inc., is an Illinois corporation established on September 25, 2016. HGGAH is the operator of a Hot Ground Gym® business located at 8 W College Drive #A, Arlington Heights, IL 60004.

2026 FDD · PDF Page 8 · Item 1 · View Source

Read Source Excerpts

We are a Delaware limited liability company, formed in Delaware on January 24, 2023.

2026 FDD · PDF Page 8 · Item 1

Our affiliate, Hot Ground Gym LV, Inc. (“HGGLV”), is an Illinois corporation established on September 25, 2017. HGGLV is the operator of a Hot Ground Gym® business located at 1950 US-45, Libertyville, IL 60048.

2026 FDD · PDF Page 8 · Item 1

Our affiliate, Hot Ground Gym AH, Inc. (“HGGAH”), is an Illinois corporation established on September 25, 2016. HGGAH is the operator of a Hot Ground Gym® business located at 8 W College Drive #A, Arlington Heights, IL 60004.

2026 FDD · PDF Page 8 · Item 1
Source Notes

What It Costs

Sources
Disclosed Startup Investment$163,000 to $317,000

Your location, business format and operating plan can change the total.

Where Your Startup Money Goes
CostDisclosed AmountSource
Opening Inventory and Supplies$8,000 to $15,0002026 FDD · PDF Page 10

Opening Inventory and Supplies (See Note 7) $8,000 $15,000

Furniture, Fixtures, and Equipment$50,000 to $65,0002026 FDD · PDF Page 9

Furniture, Fixtures, and Equipment (See Note 4) $50,000 $65,000

Professional Fees, Permits, and Licenses$2,000 to $3,0002026 FDD · PDF Page 10

Professional Fees, Permits, and Licenses (See Note 10) $2,000 $3,000

Grand Opening Advertising$2,000 to $5,0002026 FDD · PDF Page 10

Grand Opening Advertising (See Note 8) $2,000 $5,000

Insurance Premiums$7,000 to $18,0002026 FDD · PDF Page 10

Insurance Premiums (See Note 11) $7,000 $18,000

Additional Training Expenses$1,500 to $3,0002026 FDD · PDF Page 10

Additional Training Expenses (See Note 9) $1,500 $3,000

Leasehold Improvements$0 to $80,0002026 FDD · PDF Page 9

Leasehold Improvements (See Note 3) $0 $80,000

Additional Funds – 3 Months$50,000 to $65,0002026 FDD · PDF Page 10

Additional Funds – 3 Months (See Note 13) $50,000 $65,000

Rent and Security Deposit$5,000 to $7,5002026 FDD · PDF Page 9

Rent and Security Deposit (See Note 6) $5,000 $7,500

Computer Systems$3,000 to $6,0002026 FDD · PDF Page 10

Computer Systems (See Note 12) $3,000 $6,000

Miscellaneous Opening Costs$1,500 to $3,0002026 FDD · PDF Page 10

Miscellaneous Opening Costs $1,500 $3,000

TOTAL ESTIMATED INITIAL INVESTMENT$163,000 to $317,0002026 FDD · PDF Page 10

TOTAL ESTIMATED INITIAL INVESTMENT (See Note 14) $163,000 $317,000

Initial Franchise Fee$30,000 to $40,0002026 FDD · PDF Page 9

Initial Franchise Fee (See Note 2) $30,000 $40,000

Signage$3,000 to $6,5002026 FDD · PDF Page 9

Signage (See Note 5) $3,000 $6,500

Line items are shown as disclosed. Some costs overlap or apply to different formats; do not add them together without reviewing the source.

Sources

Key Franchise Fees

Initial Franchise Fee
View Disclosed Terms

When you sign a Franchise Agreement for a Hot Ground Gym ® franchised business, you must pay a non-refundable Initial Franchise Fee of $40,000.

2026 FDD · PDF Page 3 · Item 5

Review Fee Sources
Royalty
Royalty 6% of Gross Monthly Revenue
View Disclosed Terms

Royalty 6% of Gross Monthly Revenue

2026 FDD · PDF Page 4 · Item 6

Review Fee Sources
Marketing & Advertising
Marketing Fund 2% of Gross Monthly Revenue
View Disclosed Terms

Marketing Fund 2% of Gross Monthly Revenue

2026 FDD · PDF Page 4 · Item 6

Review Fee Sources
Fees And Payment Terms
FeeDisclosed TermsSource
Goods or Services, including Computer Systems upgradesActual costs between $1,000 and $15,0002026 FDD · PDF Page 8
Liquidated Damages if business has not openedif your Hot Ground Gym ® business has not yet opened for business $100,0002026 FDD · PDF Page 7
Training Cancellation Fee$500 per person2026 FDD · PDF Page 5
Discounted Initial Franchise Fee for qualified veterans, military members, and first respondersQualified veterans, active-duty military and active Reserves, National Guard and Coast Guard members and qualified first responders: the Initial Franchise Fee will be discounted to $30,000.2026 FDD · PDF Page 3
Regional/Annual Conference Fee$500 per person2026 FDD · PDF Page 5
Late Fee$100 late fee per month, plus interest of the lesser of 1.5% for each month past due or the maximum amount allowable by law.2026 FDD · PDF Page 6
Regional CooperativeNot assessed as of the issuance date of this disclosure document, but estimated to be 2% of Gross Monthly Revenues or such greater amounts determined by the majority voted of the members of the co-op2026 FDD · PDF Page 4
Costs and Attorneys’ FeesActual costs between $5,000 and $700,000 per occurrence2026 FDD · PDF Page 7
Required inventory, equipment, furniture, flooring, and technology itemsYou will pay us or our affiliates between $25,000 to $35,000 for these items.2026 FDD · PDF Page 3
Marketing FundMarketing Fund 2% of Gross Monthly Revenue2026 FDD · PDF Page 4
Technology Fees$100 to $250 per month plus $500 to $2,500 in annual maintenance costs..2026 FDD · PDF Page 4
Initial Franchise FeeWhen you sign a Franchise Agreement for a Hot Ground Gym ® franchised business, you must pay a non-refundable Initial Franchise Fee of $40,000.2026 FDD · PDF Page 3
Local Marketing ExpenditureFrom $200 to $1,000 per month based on optional selection of plans plus $200 to $500 per month on digital advertising2026 FDD · PDF Page 4
Relocation FeeThe greater of (i) $5,000 or (ii) our costs and expenses incurred in connection with the relocation2026 FDD · PDF Page 6
Additional Training$350 per person per day, plus our travel, lodging, and meal expenses2026 FDD · PDF Page 5
Inspection and Audit FeesActual costs up to $10,0002026 FDD · PDF Page 6
Transfer FeeThe greater of (i) $5,000 or (ii) our costs and expenses incurred in connection with the transfer2026 FDD · PDF Page 6
Holdover Fee$100 per day2026 FDD · PDF Page 5
RoyaltyRoyalty 6% of Gross Monthly Revenue2026 FDD · PDF Page 4
Successor Franchise Feeyou must pay us a Successor Franchise Fee equal to 25% of the then-current Initial Franchise Fee.2026 FDD · PDF Page 6
Additional Initial Trainingthe charge for additional Trainees in excess of 2 is $350 per Trainee, per day2026 FDD · PDF Page 5
Insurance ReimbursementActual costs between $2,000 and $20,000 plus 20% per occurrence2026 FDD · PDF Page 7
Fees on Default and IndemnityActual costs between $10,000 for small claims and up to $5,000,000 per claim made.2026 FDD · PDF Page 7

Some fees apply only to a specific event or service. These are not all monthly expenses.

Sources
Does This Fit Your Budget?

See how the disclosed startup costs fit your cash, reserves, and financing plans.

Your Role As An Owner

Sources

You will be required to personally and directly supervise the operation of the Location, unless otherwise permitted in writing by the franchisor.

2026 FDD · PDF Page 32 · Item 15 · View Source

Read Source Excerpts

You will be required to personally and directly supervise the operation of the Location, unless otherwise permitted in writing by us.

2026 FDD · PDF Page 32 · Item 15
Source Notes

Territory

Sources

Protected Territories will range in size from a site-specific location, i.e., a street address, to a block, a zip code, or a defined measurable area, depending on where your Hot Ground Gym ® Location is located.

2026 FDD · PDF Page 29 · Item 12 · View Source

Read Source Excerpts

Protected Territories will range in size from a site-specific location, i.e., a street address, to a block, a zip code, or a defined measurable area, depending on where your Hot Ground Gym ® Location is located.

2026 FDD · PDF Page 29 · Item 12
Source Notes

A disclosed territory policy does not confirm that your preferred area is available. Ask the franchisor about the specific area you are considering.

Franchisor Financing

Sources

The franchisor does not offer direct or indirect financing. The franchisor does not guarantee your note, lease or obligation.

2026 FDD · PDF Page 23 · Item 10 · View Source

Read Source Excerpts

We do not offer direct or indirect financing. We do not guarantee your note, lease or obligation.

2026 FDD · PDF Page 23 · Item 10
Source Notes

Inside The FDD

Sources

Plain-language summaries of the available FDD information. Each summary links to its source, with original excerpts available to review.

Sources

Research Data: Franopolis

The Franopolis report provides the source research. FDD page references identify the supplied excerpts when available.

01The Business And Its Ownership

The franchisor is a Delaware limited liability company, formed in Delaware on January 24, 2023.

2026 FDD · PDF Page 8 · Item 1 · View Source

The franchisor’s affiliate, Hot Ground Gym LV, Inc., is an Illinois corporation established on September 25, 2017. HGGLV is the operator of a Hot Ground Gym® business located at 1950 the franchisor-45, Libertyville, IL 60048.

2026 FDD · PDF Page 8 · Item 1 · View Source

The franchisor’s affiliate, Hot Ground Gym AH, Inc., is an Illinois corporation established on September 25, 2016. HGGAH is the operator of a Hot Ground Gym® business located at 8 W College Drive #A, Arlington Heights, IL 60004.

2026 FDD · PDF Page 8 · Item 1 · View Source

Read Source Excerpts

We are a Delaware limited liability company, formed in Delaware on January 24, 2023.

2026 FDD · PDF Page 8 · Item 1

Our affiliate, Hot Ground Gym LV, Inc. (“HGGLV”), is an Illinois corporation established on September 25, 2017. HGGLV is the operator of a Hot Ground Gym® business located at 1950 US-45, Libertyville, IL 60048.

2026 FDD · PDF Page 8 · Item 1

Our affiliate, Hot Ground Gym AH, Inc. (“HGGAH”), is an Illinois corporation established on September 25, 2016. HGGAH is the operator of a Hot Ground Gym® business located at 8 W College Drive #A, Arlington Heights, IL 60004.

2026 FDD · PDF Page 8 · Item 1
Source Notes
02The Leadership Team

Doug has also been a Hot Ground Gym® location operator since March 2013. Doug is also currently a veteran that proudly served his country as a Sergeant, Armory Chief, and Martial Arts Instructor in the United States Marine Corps, from 2005 to 2013.

2026 FDD · PDF Page 9 · Item 2 · View Source

Read Source Excerpts

Doug has also been a Hot Ground Gym® location operator since March 2013. Doug is also currently a veteran that proudly served his country as a Sergeant, Armory Chief, and Martial Arts Instructor in the United States Marine Corps, from 2005 to 2013.

2026 FDD · PDF Page 9 · Item 2
Source Notes
07Estimated Startup Investment

The FDD estimates a total startup investment of $163,000 to $317,000. Review the listed costs and any conditions before setting your own startup budget.

2026 FDD · PDF Page 10 · Item 7 · View Source

Read Source Excerpts

TOTAL ESTIMATED INITIAL INVESTMENT (See Note 14) $163,000 $317,000

2026 FDD · PDF Page 10 · Item 7
Source Notes
10Financing Offered By The Franchisor

The franchisor does not offer direct or indirect financing. The franchisor does not guarantee your note, lease or obligation.

2026 FDD · PDF Page 23 · Item 10 · View Source

Read Source Excerpts

We do not offer direct or indirect financing. We do not guarantee your note, lease or obligation.

2026 FDD · PDF Page 23 · Item 10
Source Notes
12Territory

Protected Territories will range in size from a site-specific location, i.e., a street address, to a block, a zip code, or a defined measurable area, depending on where your Hot Ground Gym ® Location is located.

2026 FDD · PDF Page 29 · Item 12 · View Source

Read Source Excerpts

Protected Territories will range in size from a site-specific location, i.e., a street address, to a block, a zip code, or a defined measurable area, depending on where your Hot Ground Gym ® Location is located.

2026 FDD · PDF Page 29 · Item 12
Source Notes
14Patents, Copyrights And Proprietary Information

The franchisor has no registered copyrights with the United States Copyright Office.

2026 FDD · PDF Page 32 · Item 14 · View Source

Read Source Excerpts

We have no registered copyrights with the United States Copyright Office.

2026 FDD · PDF Page 32 · Item 14
Source Notes
15Owner Participation

You will be required to personally and directly supervise the operation of the Location, unless otherwise permitted in writing by the franchisor.

2026 FDD · PDF Page 32 · Item 15 · View Source

Read Source Excerpts

You will be required to personally and directly supervise the operation of the Location, unless otherwise permitted in writing by us.

2026 FDD · PDF Page 32 · Item 15
Source Notes
16Products And Services You Can Sell

You must confine your business to the operation of a Hot Ground Gym ® business. You may not conduct any other business or activity at or from the Hot Ground Gym ® location.

2026 FDD · PDF Page 33 · Item 16 · View Source

Read Source Excerpts

You must confine your business to the operation of a Hot Ground Gym ® business. You may not conduct any other business or activity at or from the Hot Ground Gym ® location.

2026 FDD · PDF Page 33 · Item 16
Source Notes
21Franchisor Financial Statements

The franchisor’s financial reporting year ends on December 31.

2026 FDD · PDF Page 44 · Item 21 · View Source

Exhibit A contains the franchisor’s audited financial statements covering 2023, 2024, 2025. These statements describe the franchisor’s finances, not a franchise owner’s earnings.

2026 FDD · PDF Page 44 · Item 21 · View Source

Read Source Excerpts

Our fiscal year ends on December 31.

2026 FDD · PDF Page 44 · Item 21

Attached as Exhibit A are our audited financial statements from January 11, 2023 (inception date) to December 31, 2023 and the years ended December 31, 2024 and December 31, 2025

2026 FDD · PDF Page 44 · Item 21
Source Notes
Expert Guidance

Find The Right Business For The Life You Want.

You don’t have to compare every brand on your own. A franchise consultant can help narrow your options and work through what ownership would ask of you.

Bring your questions about this brand, your priorities and the kind of business you want to run.

A More Focused Search
  1. Your Role

    Understand the hours, sales and people responsibilities behind the ownership model.

  2. Your Shortlist

    Spend less time sorting through brands and more time on options worth exploring.

  3. Your Market

    Check territory options with franchisors and identify the next questions to ask.