About Elements Massage - Standard Franchise
Elements Massage is a therapeutic massage studio franchise offering a range of massage services and related products to the general public.
Owned by WellBiz Brands, Inc.
and WBZ Investment LLC, the brand has been franchising since 2006 and has grown into one of the most recognized names in the massage franchise industry.
Elements Massage - Standard Franchise Cost & Fees
Minimum Investment
$333K
Average Investment
$446K
Maximum Investment
$560K
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $40,000 | One-time payment upon signing |
| Royalty Fee | 6% of Gross Receipts of gross sales | Ongoing; paid monthly |
| Marketing/Ad Fund | 2% of Gross Receipts (Brand Marketing Fund) | National brand fund |
| Total Investment Range | $332,842 – $559,853 | Includes build-out, inventory, working capital |
The investment range of $333K–$560K reflects variability in build-out costs, store size, lease terms, and market. The combined royalty (6% of Gross Receipts) and marketing fee (2% of Gross Receipts (Brand Marketing Fund)) are ongoing costs paid as a percentage of gross sales.
Investment Breakdown (Item 7)
| Item | Low | High |
|---|---|---|
| Initial Franchise Fee | $40,000 | $40,000 |
| Real Property and Utility Security Deposits | $5,000 | $15,000 |
| Leasehold Improvements (net of landlord tenant allowances) | $157,954 | $281,208 |
| Cabinetry and Millwork | $24,359 | $44,886 |
| Site Survey Fee | $2,500 | $2,500 |
| Site Development Fee | $7,500 | $7,500 |
| Massage Equipment and Supplies | $15,045 | $28,305 |
| Furniture, Décor and Other Equipment | $2,236 | $14,586 |
| Computer System | $12,150 | $14,050 |
| Training Program | $0 | $4,707 |
| Architectural Design & MEP Fees | $9,500 | $16,500 |
| Grand Opening Spend Requirement | $15,000 | $15,000 |
| Signage | $14,392 | $17,644 |
| Business Supplies | $1,581 | $1,708 |
| Business Licenses and Permits | $2,595 | $11,429 |
| Insurance (Initial 20% Payment) | $1,830 | $1,830 |
| Professional Fees | $1,800 | $12,300 |
| Additional Funds (Three months) | $19,400 | $30,700 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Transfer Fee | 50% of the then-current Initial Franchise Fee |
| Renewal Fee | 25% of the then-current Initial Franchise Fee |
| Technology Fee | $500 per month |
| Audit Fee | Varies. Difference between amount reported and correct amount, plus applicable interest (and if understated amount is more than 2%, plus our costs (including attorneys’ and accountants’ fees )). |
| Local Advertising Fee | $1,625 per month (subject to our right to increase) |
| Local Spend Amount | 2% of Gross Receipts (subject to our right to increase) |
| Default Fee | $250 - $2,500 |
| Dishonored Check or Insufficient Funds Fee | $150 |
| Interest on Late Payments | 1.5% per month or highest commercial rate |
| Monthly Management Fee (in event of your abandonment, default, or termination) | Up to $7,500 per month plus direct out-of-pocket expenses |
| Replacement or Remedial Training Program Fee | Then-current fee, currently $500 per attendee, plus costs and expenses |
| Additional or Special Training | Then-current fee, currently $500 per day per trainer or attendee (as applicable to the training program), plus costs and expenses |
| Annual Meeting Registration Fees | Then-current annual meeting registration fees for at least one attendee (currently, $500 per person), plus costs and expenses. Default fee applies for non-attendance. |
| Advanced Manager Training Program | Then-current fee, currently $500 per day per attendee, plus costs and expenses |
| Marketing Cooperatives | As established (Existing marketing cooperatives charge between $500 and $1,500 per month) |
| Transfer Fee Deposit | $5,000 |
| Inventory | Varies according to products purchased |
| Defense or Enforcement Costs | All costs including attorneys’ fees (variable) |
| Indemnification | All costs including attorneys’ fees (variable) |
| Collection Costs | Actual costs and expenses to collect past due or other amounts |
| Arbitration and Proceeding Costs | Our arbitration or other court costs plus attorneys’ fees and costs if we prevail in the arbitration or proceeding |
| Liquidated Damages | An amount equal to the combined monthly average of Royalties, Brand Marketing Fund contributions, and any other fees under this Agreement (without regard to any fee waivers, or other reductions) payable during the 36 months preceding the date of early termination, multiplied by the lesser of (i) 36 or (ii) the number of full months remaining in the term. The present value of the total calculated at a discount rate of 8%, assuming payment at the end of each month, will be our Liquidated Damages. |
| Alternative Supplier Evaluation | Not currently charged, but if implemented, our then-current fee which we estimate to be costs for time and resources we spend in evaluating the proposed supplier |
| Relocation Fee | $10,000 |
Training Program (Item 11)
| Detail | Information |
|---|---|
| Total Duration | 41.0 - 42.0 hours |
| Classroom Training | 31.0 - 32.0 |
| On-the-Job Training | 10.0 |
| Training Location | Home Study, Elements Massage® Studio, Virtual, Colorado Support Center, or Another Location We Designate, Nearby Elements Massage™ Studio |
| Additional Training | If requested and agreed upon, additional or special guidance, assistance, or training may be provided for a fee (currently $500 per day per attendee or trainer, plus costs and expenses). The franchisor may also require franchisees and/or employees to attend various training courses, trade shows, ongoing education, or webinars, potentially with fees to third parties or the franchisor. |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | Protected Area |
| Exclusive Territory | No |
| Territory Size | A circle with the Studio at its center and a radius of 1.5 miles, or in some cases, a circle with a radius reflecting a 50,000 person population density, whichever is lesser. |
| Description | You will not receive an exclusive territory. The Protected Area boundaries are determined on a case-by-case basis considering factors like population, traffic patterns, proximity to retail centers, residential areas, other businesses, and site-specific data. The franchisor retains all rights to place studios and other businesses using the Marks or similar products/services outside your Protected Area, and within your Protected Area for other distribution channels or Captive Market Locations (e.g., airports, medical campuses). |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Initial Term | 10 years |
| Renewal Term | One additional term of 10 years |
| Renewal Fee | 25% of the then-current Initial Franchise Fee |
| Renewal Conditions | To renew, you must: 1) provide written notice of election to acquire a successor franchise; 2) not be in default; 3) sign the then-current form of franchise agreement (which may differ materially); 4) sign a general release; 5) pay the successor franchise fee; and 6) update/remodel the Studio to current standards. |
| Transfer Fee | 50% of the then-current Initial Franchise Fee |
| Transfer Conditions | Transfer requires franchisor approval, submission of application and transferee information, payment of a $5,000 Fee Deposit, execution of transfer documents including a general release and non-compete covenant, payment of all outstanding amounts, no violations of agreement within 60 days of request, transferee completes training, landlord consent (if applicable), transferee signs current franchise agreement, and transferee agrees to upgrade/remodel the Studio to current standards. |
| Termination for Cause | Franchisor may terminate for various curable defaults (e.g., failure to maintain insurance, health/safety violations, failure to pay amounts due, failure to pay third-party suppliers, other breaches of agreement) with specified cure periods (3 to 30 days). Non-curable defaults include material misrepresentations, unauthorized transfer, felony conviction, abandonment of studio, unauthorized use of confidential information, creating health/safety concerns, underreporting Gross Receipts, repeated breaches, insolvency, or relocation without approval. |
| Non-Compete Period | two (2) years |
| Non-Compete Details | Upon termination, transfer, or expiration, you, your owners, and immediate family members are prohibited from having any direct or indirect interest in a Competitive Business located or operating at the former Premises or within a three (3) mile radius of the Premises or any other existing or under-construction Studio for two years. The restricted period begins when the person complies with the obligation if non-compliance occurs at termination/expiration. |
Operations & Supply (Items 8 & 15)
| Detail | Information |
|---|---|
| Owner-Operator Required | No |
| Participation Details | If you are a legal entity, you must designate an approved 'Operating Partner' with at least 25% ownership and voting interest. The Operating Partner (or you, if an individual) must supervise the Studio full-time unless a 'Designated Manager' who has completed the training program is appointed to work full-time. If no Designated Manager is appointed or approved, the Operating Partner (or you) must assume full-time supervisory responsibilities. Owners and their spouses must execute a Guaranty and Assumption of Franchisee’s Obligations. |
| Required Suppliers | Our affiliate, WAVE, is the sole designated supplier for: (i) all products used in connection with providing services at Studios, including but not limited to equipment and other essential items, inventory and tables; and (ii) all products that you may be required to offer for sale at your Studio. We also have designated suppliers for advertising and promotional materials, stationery supplies, gift cards, digital marketing services, design, architecture and construction services, furniture and fixtures, massage equipment, Studio insurance, music services, software, uniforms and apparel, signs, and hotel accommodations. |
| Supply Restrictions | You must purchase all or nearly all of the inventory or supplies that are necessary to operate your business from the franchisor, its affiliates, or suppliers that the franchisor designates, at prices the franchisor or its affiliates or third-party suppliers set. These prices may be higher than prices you could obtain elsewhere for similar goods. You must acquire all other Operating Assets from approved suppliers in advance. |
| Franchisor Revenue from Suppliers | The franchisor or its affiliates may derive revenue or profit from dealings with designated suppliers in the form of rebates, cash payments, discounts, promotional allowances, and/or other payments. In 2021, the franchisor received $25,931 from its designated insurance supplier, $975,283 from franchisees' use of required software programs and websites (Technology Fees), and $1,145,344 from franchisee purchases of equipment and products through its affiliate WAVE. |
Financing (Item 10)
| Detail | Information |
|---|---|
| Financing Available | No |
| Description | We do not offer direct or indirect financing. We do not guarantee your note, lease or obligation. |
Elements Massage - Standard Franchise Earnings — Item 19
Average Revenue
$790K
Median Revenue
$749K
Revenue Range
$179K – $2.4M
Sample Size
241 units
Past financial performance does not guarantee future results. Individual results will vary.
Elements Massage - Standard Litigation & Risk Flags
Clean Litigation RecordElements Massage - Standard has no pending litigation actions listed in their FDD.
Bankruptcy History DisclosedA bankruptcy disclosure is present in this FDD.
Litigation and bankruptcy data is sourced from Items 3 and 4 of the FDD. Always verify current status directly from the most recent FDD.
Elements Massage - Standard System Growth
Total Units
248
Franchised
246
Company-Owned
2
Elements Massage - Standard currently operates 246 franchised locations and 2 company-owned units. Unit count data is sourced from Item 20 of the FDD.
Unit History (Item 20)
| Year | Opened | Closed | Total |
|---|---|---|---|
| 2019 | 11 | 6 | 242 |
| 2020 | 11 | 7 | 245 |
| 2021 | 5 | 4 | 246 |
Transfers: 11 | Closures: 4
State Registrations
Registered in 14 states: CA, HI, IL, IN, MD, MI, MN, NY, ND, RI, SD, VA, WA, WI
Franchisor Financials (Item 21)
Revenue
$54.8M
Net Income
$-10,298,693
Total Assets
$116.0M
Audited by Grant Thornton LLP for year ending December 31.
Elements Massage - Standard Franchise — FAQ
The total investment to open a Elements Massage - Standard franchise ranges from $332,842 to $559,853, per their Franchise Disclosure Document. This includes the initial franchise fee of $40,000. The investment covers build-out, inventory, equipment, signage, working capital, and other startup costs.
Elements Massage - Standard charges a royalty fee of 6% of Gross Receipts of gross sales, plus a 2% of Gross Receipts (Brand Marketing Fund) contribution to the marketing/advertising fund. These fees are paid on an ongoing basis.
You can download the Elements Massage - Standard Franchise Disclosure Document free on this page. The FDD is a public document filed with state franchise registries. Always also request the current FDD directly from Elements Massage - Standard to ensure you have the most up-to-date version.
According to the Item 19 financial performance representation in their FDD, Elements Massage - Standard franchise owners report average revenue of $790K and median revenue of $749K. This is based on a sample of 241 units. Past performance does not guarantee future results.
Elements Massage - Standard has been franchising since 2006. The FDD shows an investment range of $332,842-$559,853, a 6% of Gross Receipts royalty, and includes an Item 19 earnings disclosure. There is no pending litigation. Review the full FDD and contact current franchisees listed in Item 20 before making any investment decision.
The franchise fee is $40,000 and the total investment ranges from $332,842 to $559,853 depending on location size and market. A minimum of $19,400 in liquid capital is required. Contact the franchisor directly for current net worth and liquid capital requirements, territory availability, and application details.
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Data Source & Disclaimer: This website is for informational purposes only. It is not an offer to sell or buy a franchise. This profile is based on publicly available FDD data sourced from state franchise registry filings. All information is for research purposes only and does not constitute legal, financial, or investment advice. Data may be outdated or contain errors. Always obtain the current FDD directly from Elements Massage - Standard and consult a qualified franchise attorney before making any investment decision. FranchiseOverview.com is operated by Franchising Compliance, LLC and is not affiliated with Elements Massage - Standard or any of its subsidiaries. To report an inaccuracy: info@franchiseoverview.com