The Little Gym^®

Children's Services • Year: 2026

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What Is The Little Gym?

The Little Gym is a franchise that provides physical fitness, recreational gymnastics, motor skills development, and related programs for children. Franchisees operate brick-and-mortar gyms under The Little Gym System and enter into development agreements to establish approved Gym locations. The primary customer base is individual consumers (children), and the System centers on proprietary programs, facility design and décor, curriculum, proprietary products and equipment, and authorized retail sales of approved sportswear, accessories, musical recordings, and merchandise.

The Little Gym Franchise: Pros and Cons

With a large, proven system of 256 live outlets and a sizable development pipeline of 93 signed-but-not-open locations, this franchise offers strong brand recognition and growth momentum, but its high upfront cash requirement - a $56,525 franchise fee, $17,500–$22,500 training costs and a 50% required manager equity - raises financial barriers.

Pros

256 total outlets is well above what's typical in Children's Services (top 10%), giving you a large, proven system with stronger brand recognition and operational resources to lean on.

93 signed-but-not-open outlets (top 5%) relative to 256 live locations points to a sizable development pipeline - a sign of near-term expansion and sales momentum.

Item 7 training estimates of $17,500–$22,500 are well above typical (top 10%), which likely reflects a more comprehensive, hands-on training program that better prepares operators.

Cons

The initial franchise fee low range of $56,525 is well above typical (top 5%); combined with $17,500–$22,500 in training costs and a 50% required manager equity, this meaningfully raises your upfront cash requirement.

The system recorded 1 outlet termination and 5 non-renewals, both higher than typical for the sector, suggesting a greater-than-expected rate of franchisees exiting the system.

Several legal and regulatory actions-4 disclosed lawsuits, 2 fraud allegations, 2 government penalties, plus franchisor enforcement and a franchisee settlement-are higher than typical, indicating recurring friction you'll want to investigate further.

Lawsuits & Legal Risk

64/100

NORMAL

The Little Gym reported no material legal proceedings.

Territory Protection

51/100

Good

The Little Gym grants a protected, site-specific, non-exclusive area around an Approved Location-defined by zip codes, boundaries, or radius-and subject to standards and approval. Territory is contingent on meeting performance quotas and compliance; franchisor retains e-commerce sales and may develop additional nearby units (no right of first refusal).

Training & Support

56/100

NORMAL

The Little Gym provides a robust 83-hour training curriculum designed to prepare two staff members for launch. The program includes on-site launch assistance for operational readiness; franchisees are responsible for travel and living expenses, and on-site support is provided for an additional fee.

Unit Growth Analysis

The Little Gym is now a 256-unit system - roughly a 51% net increase since 2022, averaging about +16.9% per year. This reads like a Rocket Ship risk: the growth is real validation of the concept, but it shifts the main risk to operations and territory availability, so confirm unit-level economics, turnover, and that training/field support staffing has actually scaled with openings before you commit.

How Much Does It Cost to Open a The Little Gym Franchise?

Opening a The Little Gym franchise requires a total initial investment of $420,324 to $722,773, according to the 2026 Franchise Disclosure Document. This range covers the franchise fee, real estate, equipment, training, and initial working capital needed to launch and operate through the early months.

Minimum Investment

$420,324

Franchise Fee

Real Estate

Equipment & Assets

Reserves

Training

Other

Maximum Investment

$722,773

Minimum Investment Breakdown

Franchise Fee$59,744

Real Estate$163,940

Equipment & Assets$112,200

Reserves$39,000

Training$17,500

Other$27,940

Maximum Investment Breakdown

Franchise Fee$59,789

Real Estate$380,644

Equipment & Assets$139,000

Reserves$81,000

Training$22,500

Other$39,840

Investment Analysis

This investment analysis is coming soon. Have ideas for other analyses you'd like us to add? Get in touch.

The initial investment amounts shown are estimates only. Actual costs may vary based on location size, business model, and multi-unit ownership arrangements. We recommend reviewing the full Franchise Disclosure Document for complete details.

How Much Do The Little Gym Franchise Owners Make?

Average Gross Sales:

N/A

Median Gross Sales:

N/A

High Gross Sales:

$1,900,457

Low Gross Sales:

$99,608

Sample Size:

166

Percent Attaining Average:

45.8%

Audit Status:

Unaudited

Franchise vs Corporate Performance: The Item 19 tables separate all reporting franchised units (Table 1, n=166) and provide subsets for non-private-equity-backed units (Table 2) and private-equity-backed units (Table 3). For the top quartile the non-private-equity subset reports a higher average gross sales (~$1,038,088) than the private-equity subset (~$973,509), while the private-equity subset shows a materially higher top-quartile EBITDA % (around 40% vs ~34% for the non-PE top quartile). This indicates subgroup-level differences in profitability metrics despite similar scale for some quartiles.

Performance Variability Analysis: There is wide dispersion in revenue and profitability across reporting units. The highest reported gross sales in the sample is $1,900,457 and the lowest reported gross sales is $99,608. EBITDA percentages reported across quartiles range from strong positive (top quartile mid-30s to low-40s percent) to markedly negative in the weakest 4th-quartile outliers (examples show as low as about -163.8%). Payroll and occupancy are the largest expense line items in the top quartile (payroll averages near $279k; occupancy near $157k in the top quartile), and cost of goods sold is relatively small in absolute dollars (weighted average COGS across the 166 units ≈ $20,860). The “No. Units Above Avg.” rows sum to 76 of 166 units (~45.8%), indicating that fewer than half of reporting units exceed the referenced average in the tables.

Data Scope and Limitations: Table 1 is unaudited and includes only outlets that were open at least a full year (Note 2: 166 outlets included; Note 1 states 255 franchised units were open at year-end 2025). The tables show quartile-level high/low/average/median values and internal counts; they do not provide a single aggregated overall mean or median across all 166 units. EBITDA in the tables is earnings before interest, taxes, depreciation and amortization (not net income). Because the data are self-reported and unaudited and some outlets were excluded for incomplete data, these results should be used as illustrative ranges rather than guaranteed performance for a prospective franchisee.

Frequently Asked Questions

Is The Little Gym a good franchise to own?

Whether The Little Gym is a good franchise depends on your goals, experience, and local market. Key factors from the 2026 FDD: The Little Gym operates 256 locations, received a legal risk score of 64/100, a training and support score of 56/100. 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.

Is a The Little Gym franchise worth the investment?

The value of a The Little Gym franchise investment depends on factors such as location, operator experience, and market demand. The initial investment ranges from $420,324 to $722,773. The system reported 1 terminated units in 2026. Franchise investments carry inherent risk, and prospective buyers should conduct thorough due diligence before committing capital.

What is the failure rate of The Little Gym franchises?

In the 2026 FDD, The Little Gym reported 1 terminated franchises and 5 non-renewals out of 256 total locations. Franchise closures can result from many factors including market conditions, operator decisions, lease expirations, and franchisor enforcement actions. The FDD's Item 20 provides the most detailed unit turnover data.

How long does it take to break even with a The Little Gym franchise?

Break-even timelines for The Little Gym 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 The Little Gym a franchise or a corporate-owned business?

As of the 2026 FDD, The Little Gym operates 255 franchised locations and 1 company-owned locations. Franchise opportunities are available through the franchisor's disclosure process.

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