FRANCHISE·WATCH·DESK

FDD ITEM 20 · FISCAL 2021–2023

Orangetheory Item 20: outlets, closures & growth

In its latest FDD Item 20 (fiscal 2023), Orangetheory reported 1,311 franchised outlets at year end. 23 of 1,281 franchised outlets open at the start of the year left the system — an annualized exit rate of 1.8%— while 53 new outlets opened. Systemwide units moved +5.6% over 2021–2023.

Item 20 · outlet status by yearas filed
Status (FTC)202120222023
Outlets at start1,2131,2621,302
Opened524753
Transfers1494333
Terminations200
Non-renewals001
Reacquired by franchisor060
Ceased — other reasons0722
Outlets at end1,2621,3021,333
Net change+49+40+31
How the exit count is computedfiscal 2023

0 terminations + 1 non-renewals + 22 ceased (other) = 23 exits ÷ 1,281 at start = 1.8%

These are the three FTC Item 20 statuses in which a franchisee involuntarily or terminally leaves the system. Transfers (33) are resales, not exits; reacquisitions by the franchisor (0) are tracked separately. There is no official “failure rate” — this annualized exit rate is the disclosed, measurable floor.

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