Retro Fitness, Planet Fitness and Anytime Fitness are among the best franchise companies on Forbes' first-ever "America's Best and Worst Franchises" list while Curves International is listed among the magazine's worst franchise companies.
The lists were initially published online last month and appear in print in this week's issue of Forbes, which used statistics from FRANdata, a research and consulting firm that sorted through more than 3,000 companies. Growth rate and continuity rate (the ongoing success of stores) were two main criteria used in the lists. From Forbes:
Other factors that affected the ranking: a franchisor's transparency in reporting historical performance, which lets prospective franchisees evaluate the opportunity; support for franchisees (financing and the like); and recurring revenue self-sufficiency (does the franchisor depend on revenues from selling additional franchises to sustain ongoing operations?).
Retro Fitness, Colts Neck, NJ, and Planet Fitness, Newington, NH, are Nos. 2 and 3, respectively, on the "Best Franchises" list for companies with entry costs of $500,001 or more. Massage Envy is No. 1 in the category.
Retro Fitness had a growth rate of 24 percent, a continuity rate of 94 percent and received a "B" for franchisor support.
"We are humbled once again to be recognized as one of the best franchises in America—especially by such a prestigious publication like Forbes," Retro Fitness founder and CEO Eric Casaburi said in a statement.
Planet Fitness had a growth rate of 26 percent, a continuity rate of 93 percent and received an "A" for franchisor support.
"I am honored that Planet Fitness has been recognized as one of the country's top franchising organizations," Planet Fitness CEO Chris Rondeau said in a statement.
Anytime Fitness, Hastings, MN, is No. 5 on the "Best Franchises" list for companies with an initial investment of $150,001 to $500,000. Anytime Fitness had a growth rate of 16 percent, a continuity rate of 91 percent and received a "C" for franchisor support. Plato's Closet is No. 1 in the category.
Curves, Waco, TX, is No. 7 on the "Worst Franchises" list for companies with an initial investment of $150,000 or less. It had a growth rate of minus 18 percent, a continuity rate of 39 percent and received a "C" for franchisor support. SuperCoups is No. 1 in the category.