Stretch Lab Franchise Cost and Profits in 2026
By FDDIQ Research Team | April 2026
Based on 2025 FDD Filing
Quick Summary
Cost Breakdown
| Fee | Amount |
|---|---|
| Franchise Fee | $65,000 |
| Total Investment Range | $269,019 - $610,224 |
| Midpoint Investment | $439,622 |
| Royalty Rate | 8.0% |
| Advertising Fund | 2.0% |
| Total Ongoing Fees | 10.0% |
Revenue and Profit Analysis
The median Stretch Lab franchise generates $529,868 in annual revenue. With estimated margins of 22%, that is approximately $116,570 in annual EBITDA.
Revenue per dollar invested: 1.21x.
Unit Count
Stretch Lab has 145 franchised units. Lost 88 net units (-65.2% decline).
SBA Loan Performance
SBA default rate: 4.4% across 142 loans. This is in line with the franchise industry average (~7-8%).
Key Risk Factors
- Declining unit count (88 net closures)
Frequently Asked Questions
How much does a Stretch Lab franchise cost?
A Stretch Lab franchise requires a $65,000 franchise fee with total investment ranging from $269,019 to $610,224. The midpoint investment is approximately $439,622.
How much do Stretch Lab franchise owners make?
Based on the most recent FDD, the median Stretch Lab location generates $529,868 in annual revenue. With estimated industry margins of 22%, that translates to approximately $116,570 in EBITDA before debt service.
What is the Stretch Lab royalty rate?
Stretch Lab charges a 8% royalty on gross sales plus a 2.0% advertising fund, for a total ongoing fee burden of 10.0%.
Is a Stretch Lab franchise worth it?
Whether Stretch Lab is worth it depends on your market, experience, and financial goals. Key concerns include declining unit count (88 net closures). The brand has been contracting with 88 net closures. The SBA loan default rate is 4.4%. Review the latest FDD thoroughly and validate with existing franchisees before investing.
What is the Stretch Lab franchise SBA loan default rate?
Based on SBA loan data, Stretch Lab has a 4.4% default rate across 142 loans. This is in line with the overall franchise industry average.
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Detailed financial data, Item 20 outlet counts, litigation history, and more.
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