FADS USA, Inc.^®

Entertainment & Recreation • Year: 2026

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What Is FADS USA, Inc.?

FADS USA, Inc. is a franchise in the Entertainment & Recreation category that grants franchisees the right to develop and operate FRED ASTAIRE DANCE STUDIOS® offering dance and dance fitness classes. Studios operate from franchisor-specified brick-and-mortar locations, typically occupying approximately 2,000 to 4,500 square feet and constructed to the FADS System specifications. The business serves individual consumers (B2C), marketing to customers of all ages while targeting adults 18–75, and its core service bundle is instructor-led dance and dance fitness programs supported by the FADS System (studio designs, curriculum, booking system and proprietary operations software).

FADS USA, Inc. Franchise: Pros and Cons

With a training and support score of 100-well above peers-this franchise offers robust onboarding and operational resources, but it also faces legal and regulatory friction, including two government penalties/orders and two disclosed lawsuits that could affect growth and resale value.

Pros

A training and support score of 100 is well above what's typical in Entertainment & Recreation, giving you robust onboarding and ongoing operational resources that shorten the learning curve.

With 261 franchised locations-well above peers in this sector-the brand has scale that should help marketing reach, supplier leverage, and buyer interest if you exit.

Zero franchisor-initiated enforcement actions (0) is a positive signal: the franchisor hasn't needed to take frequent formal legal steps against its franchisees.

Cons

0 company-owned units means the franchisor doesn't operate locations themselves, which limits their ability to pilot changes and maintain firsthand operational experience.

Three reacquired outlets (high for this sector) indicates franchisees have exited the system and suggests some operators have chosen to leave or sell back their locations.

Two government agency penalties/orders and two disclosed lawsuits are above what's typical in this sector, creating legal and regulatory friction you'll want to investigate.

Lawsuits & Legal Risk

82/100

NORMAL

FADS USA, Inc. - The Facts: In 2016 the company settled a Virginia action alleging sale of an unregistered franchise, paying modest sums and agreeing to comply, with no admission of liability. The Advice: Confirm current state registrations, review the Settlement Order and Item 4/state registration disclosures in the FDD, and consult franchise counsel.

Territory Protection

35/100

NORMAL

FADS USA, Inc. grants a protected, site-specific Territory sized by market density and demographics that confers studio rights for the approved Site but is not exclusive; rights are contingent on meeting performance quotas, and the franchisor retains e-commerce/alternative distribution rights and can develop nearby units without first refusal.

Training & Support

100

Excellent

FADS USA, Inc. provides a focused 37-hour training curriculum designed to prepare two individuals for launch. The program includes on-site launch support for operational readiness that is available for an additional fee, and franchisees are responsible for travel and living expenses.

Frequently Asked Questions

Is FADS USA, Inc. a good franchise to own?

Whether FADS USA, Inc. is a good franchise depends on your goals, experience, and local market. Key factors from the 2026 FDD: FADS USA, Inc. operates 261 locations, received a legal risk score of 82/100, a training and support score of 100/100. Financial performance data is disclosed in Item 19. Prospective franchisees should review the full Franchise Disclosure Document and consult with a franchise attorney before making any investment decision.

How long does it take to break even with a FADS USA, Inc. franchise?

Break-even timelines for FADS USA, Inc. franchises are not disclosed in the 2026 Franchise Disclosure Document. Break-even periods vary significantly based on initial investment level, local market conditions, operating costs, and revenue ramp-up speed. Prospective franchisees should build a pro forma financial model using Item 7 cost estimates and, where available, Item 19 financial performance data from the FDD.

Is FADS USA, Inc. a franchise or a corporate-owned business?

As of the 2026 FDD, FADS USA, Inc. operates 261 franchised locations and 0 company-owned locations. Franchise opportunities are available through the franchisor's disclosure process.

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