About Tiger Schulmann's Martial Arts Franchise
Tiger Schulmann's Martial Arts is one of the largest martial arts organizations in the United States, offering classes in kickboxing, mixed martial arts, Brazilian jiu jitsu, and children's programs.
The brand has been franchising since 2020, building on decades of experience as a company owned chain.
Tiger Schulmann's is known for its structured curriculum that serves students of all ages and skill levels, from beginners to competitive fighters.
Tiger Schulmann's Martial Arts Franchise Cost & Fees
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $30,000 | One-time payment upon signing |
| Royalty Fee | 8% of Gross Revenues of gross sales | Ongoing; paid monthly |
| Marketing/Ad Fund | 3% of Gross Revenues (System Branding Contribution); $10,000 for first two months, then at least 2% of Gross Revenues per month on local advertising; up to 2% of monthly Gross Revenues (capped at $1,000/month) for Regional Branding Fee (if instituted) | National brand fund |
| Total Investment Range | $148,310 – $396,185 | Includes build-out, inventory, working capital |
The investment range of $148K–$396K reflects variability in build-out costs, store size, lease terms, and market. The combined royalty (8% of Gross Revenues) and marketing fee (3% of Gross Revenues (System Branding Contribution); $10,000 for first two months, then at least 2% of Gross Revenues per month on local advertising; up to 2% of monthly Gross Revenues (capped at $1,000/month) for Regional Branding Fee (if instituted)) are ongoing costs paid as a percentage of gross sales.
Investment Breakdown (Item 7)
| Item | Low | High |
|---|---|---|
| Initial Franchise Fee | $30,000 | $30,000 |
| Initial Training expenses | $1,800 | $12,000 |
| Real property | $13,500 | $45,000 |
| Security deposit | $4,500 | $30,000 |
| Construction, remodeling, and leasehold improvements | $45,000 | $120,000 |
| Office equipment & supplies, décor, fixtures and furnishings | $20,000 | $30,000 |
| Computer hardware/ software, and audio system | $2,750 | $7,000 |
| Certain Martial Arts Training Aids | $1,500 | $6,500 |
| Heavy bags (as training aids) | $11,940 | $19,900 |
| Utility deposits, business licenses and other prepaid miscellaneous expenses | $0 | $5,000 |
| Organizational expense | $4,500 | $9,000 |
| Uniforms | $50 | $200 |
| Signs | $2,500 | $15,000 |
| Pre-Opening Labor | $0 | $10,000 |
| Grand opening advertising | $10,000 | $10,000 |
| Background checks on personnel that interact with students | $0 | $60 |
| Optional drug test panel on personnel that interact with students | $0 | $195 |
| Payroll and benefits administration | $250 | $1,250 |
| Anti-harassment training | $20 | $80 |
| Additional funds (initial period – 3 months) | $0 | $45,000 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Transfer Fee | 50% of the then-current Initial Franchise Fee, or such greater amount as may be necessary to reimburse us for our legal, accounting and other expenses incurred |
| Renewal Fee | $10,000 |
| Technology Fee | $10 per month plus applicable sales tax (if any) |
| Billing Fee | 3.75% of Gross Revenues |
| Cash Management Fee | 4.75% of Gross Revenues |
| E-mail Address Hosting Fee | $12 per e-mail address per month |
| Proprietary Products | Varies |
| Certain Martial Arts Training Aids and Uniforms Costs | Varies |
| Physical Black Belts and Certificates | $125 per black belt and certificate |
| Instructor Certification Fee | $25 per instructor |
| Initial Training (Additional/Replacement Trainee) | $5,000 per person |
| Monthly Training | $39 per month |
| On-Going Training | Expenses only |
| Call Routing | Varies (approximately $60 per month) |
| Insurance | Varies (plus $100 per month if you do not have required coverage) |
| Relocation | 25% of the then-current Initial Franchise Fee |
| Taxes | Varies |
| Advances | Varies |
| Late Charge | Maximum law allows, or if no legal maximum, then 4% above prime rate; $50 per statement/return per month while overdue |
| Indemnification of Us | Varies |
| Application of Funds | Varies |
| Attorneys' and Experts’ Fees, Court Costs | Varies |
| Fee for failure to obtain background checks on new personnel | $50 per month for each instance |
| Fee for failure to complete anti-harassment training | $50 per month for each instance |
| Fee for failure to operate on required days or minimum hours | $100 per occurrence |
| Management Fee on Death or Disability or Danger to Health/Safety of Public | Greater of (a) $15,000 per month, or (b) 20% of Business's weekly Gross Revenues |
Training Program (Item 11)
| Detail | Information |
|---|---|
| Total Duration | 160 hours (plus unknown Head Instructor training hours) |
| Classroom Training | 64 (plus the unknown number of Head Instructor training hours in step # 1, above) |
| On-the-Job Training | 96 (plus the unknown number of Head Instructor training hours in step # 1, above) |
| Training Location | At a Center near where your Head Instructor resides; or, in our discretion, at another Center; or at CRS Management Corp.'s headquarters in New Jersey. |
| Additional Training | The franchisor may develop additional training programs and hold annual conferences, conventions, or required training sessions that Head Instructors and School Managers must attend and successfully complete. These may be provided by the franchisor's affiliate, CRS Management Corp., or other designees. |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | Limited territorial exclusivity (protected area) |
| Exclusive Territory | No |
| Territory Size | Radius of one (1) mile around your Center, encompassing a population of 50,000 |
| Description | You will not receive an exclusive territory. You may face competition from other franchisees, from outlets that we own, or from other channels of distribution or competitive brands that we control. However, we grant you limited territorial exclusivity within a designated market area centered around your Center, capped at a 1-mile radius, within which we and our affiliates will not operate a company-owned business of the same type or grant a franchise for a similar or competitive business, except as described. |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Initial Term | 10 years |
| Renewal Term | 10 years |
| Renewal Fee | $10,000 |
| Renewal Conditions | To renew, the franchisee must notify the franchisor in writing 6-9 months before expiration, comply with the Franchise Agreement and Manual, satisfy all monetary obligations, refurbish/remodel the Center (unless done within 5 years or not required by law), ensure Head Instructor/School Manager complete required training, renew the lease or secure a new approved location, and sign a General Release. |
| Transfer Fee | 50% of the then-current Initial Franchise Fee, or such greater amount as may be necessary to reimburse us for our legal, accounting and other expenses incurred |
| Transfer Conditions | The proposed assignee must apply for acceptance, demonstrate skills, qualifications, financial condition, and moral character, attend a personal interview, comply with ownership and non-compete restrictions, have sufficient financial resources, complete Initial Training, obtain landlord consent for lease assignment, cure all existing defaults, execute a new Franchise Agreement, acquire all necessary permits/licenses, and execute a general release. The total sales price must not be excessive. |
| Termination for Cause | The franchisor may terminate for cause if the franchisee defaults, including failure to open the center on time, abandonment, material misrepresentation, loss of center location, conviction of a felony or crime involving moral turpitude, unauthorized transfer of rights, violation of non-compete or confidentiality covenants, failure to complete Initial Training, knowingly concealing revenues or falsifying records, failure to maintain financial records, refusal of inspection/audit, misappropriation of funds, repeated defaults, failure to maintain required insurance, violation of laws/regulations, breach of advertising standards, unauthorized product purchases, or operating the business in a way that jeopardizes public safety. |
| Non-Compete Period | During term and 2 years post-termination |
| Non-Compete Details | During the term of the franchise, no involvement in a competing business anywhere in the U.S. or at any geographic location whatsoever. For two years following termination or expiration, no competing business within 25 miles of the perimeter of the former Center Location or any other Tiger Schulmann’s Martial Arts Center. |
Operations & Supply (Items 8 & 15)
| Detail | Information |
|---|---|
| Owner-Operator Required | Yes |
| Participation Details | The franchisee must personally supervise the operation of the franchised Business unless permitted otherwise in writing. If an individual, the franchisee must serve as or designate a Head Instructor and a School Manager, personally filling at least one of these roles. The School Manager is responsible for day-to-day management and on-premises supervision, while the Head Instructor is responsible for teaching the martial arts method. Both must devote all their business time to their respective duties at the Center. |
| Required Suppliers | Franchisees must purchase uniforms, gloves, belts, Muay Thai pads, mitts, and other designated items from the affiliate Tigear. Physical black belts and certificates for black belt candidates must be purchased from the franchisor. Proprietary computer software programs must be used, licensed from the franchisor or its affiliate. |
| Supply Restrictions | Franchisees must offer and sell only programs, products, and services specified by the franchisor. Tigear is the only approved supplier for uniforms, gloves, belts, Muay Thai pads, and mitts. The franchisor is the only approved supplier for its proprietary software and its upgrades. Franchisees must purchase physical black belts and certificates only from the franchisor. |
| Franchisor Revenue from Suppliers | Our affiliate, Tigear, receives revenues from franchisees' sales of uniforms, gloves, belts, Muay Thai pads, and mitts. Tigear's total revenues from these sales for the fiscal year ended December 31, 2022, were $485,192.82. The franchisor and/or its affiliates may derive revenue from promotional allowances, volume discounts, commissions, other discounts, performance payments, signing bonuses, rebates, marketing and advertising allowances, free products, and other economic benefits and payments from designated, approved, or recommended suppliers. |
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. |
Tiger Schulmann's Martial Arts Franchise Earnings — Item 19
Tiger Schulmann's Martial Arts does not include an Item 19 financial performance representation in their FDD. Contact information for current and former franchisees is listed in Item 20 of the FDD.
Tiger Schulmann's Martial Arts Litigation & Risk Flags
Litigation and bankruptcy data is sourced from Items 3 and 4 of the FDD. Always verify current status directly from the most recent FDD.
Tiger Schulmann's Martial Arts System Growth
Tiger Schulmann's Martial Arts currently operates 45 franchised locations and 0 company-owned units. Unit count data is sourced from Item 20 of the FDD.
Unit History (Item 20)
| Year | Opened | Closed | Total |
|---|---|---|---|
| 2020 | 1 | 3 | 42 |
| 2021 | 5 | 1 | 46 |
| 2022 | 1 | 1 | 45 |
Transfers: 4 | Closures: 1
Public Figures (Item 18)
The following public figures are associated with this franchise: Daniel Schulmann
State Registrations
Registered in 14 states: CA, HI, IL, IN, MD, MI, MN, NY, ND, RI, SD, VA, WA, WI
Franchisor Financials (Item 21)
Audited by BUCHBINDER TUNICK & COMPANY LLP for year ending December 31.
Tiger Schulmann's Martial Arts Franchise — FAQ
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