The Joint Franchise Reports Strong Financial Performance Systemwide
The fastest growing chiropractic franchise releases new FDD revealing strong financial performance from existing franchisees
The most common question an entrepreneur typically has when looking at a new investment opportunity: “How much money can I make?” You want to know if your new venture will be successful, how fast you can recoup your investment and whether the brand has a business model that will allow you to scale.
The Joint Chiropractic, the fastest growing chiropractic franchise in the nation, recently published its Franchise Disclosure Document (FDD) for 2017, allowing aspiring entrepreneurs to get a detailed and transparent look into a franchise system’s financials. Not only does The Joint’s FDD provide information into investment structures, costs and fees, it also gives potential owners an accurate report of revenues generated by the The Joint’s network of franchisees in 2016.
The Joint is pleased to report that not only did all of its systemwide average gross sales reach double digit growth, but that this growth reached double digits across the four quartile breakdown of the franchise clinics’ performance, from high to low, proving that The Joint is successful across the board. Here are a few of the highlights from the company’s new FDD, in which its franchisees report strong financial performance in 2016:
- The average gross sales for all franchise clinics in 2016 was $320,765, which is a whopping 27.60% growth from last year’s systemwide gross sales.
- The highest performing quartile (63 franchise clinics) reported average gross sales of $516,999 during 2016, and of those clinics, nearly 40% exceeded that number.
- The quartiles in the middle also reported significant growth, with 63 franchise clinics reporting $341,760 average gross sales and nearly 30% growth of last year’s numbers, and another 63 franchise clinic reporting $259,516 annual gross sales and just above a 32% increase from last year.
- The lowest performing quartile (64 franchise clinics) reported incredible numbers, with $156,681 average gross sales. This quartile also saw the most growth, with a tremendous 54.10% increase from last year’s reported numbers.
- The Joint franchise clinics reported annual gross sales 24% higher than independently operated traditional chiropractic clinics in 2016.
“We’re extremely pleased with our franchise network’s strong financial performance and we’re happy our FDD can showcase that,” says Eric Simon, VP of Franchise Sales and Development at The Joint Chiropractic. “The tremendous double digit year over year growth, as well as how our franchise clinics compared to the financial performance of traditional clinics is incredible validation for how revolutionary our model has been in the chiropractic industry at large. These numbers should be a strong encouragement for entrepreneurs who are seeking a worthy business to invest in that has both the potential for financial performance but also to help the millions of people in communities across the nation who are suffering from back pain and need an affordable, accessible alternative to traditional chiropractic care.”
Founded in 1999, The Joint has revolutionized the $14 billion chiropractic industry, with nearly 400 clinics open throughout the nation. As the first publicly-traded membership-based chiropractic franchise, The Joint is a vastly different business model than the hard-to-find chiropractic clinics of yore. The Joint places its clinics in highly visible retail locations near local coffee shops and supermarkets. There is no need for appointments or insurance, and patients don’t have to wait long to see a doctor. The Joint is also far more affordable than traditional chiropractic clinics; the average visit to The Joint costs nearly half as much as the insurance co-pay of a traditional chiropractic visit.
The success of the model is evident in how many people are visiting The Joint on a weekly basis. Not only did The Joint’s franchise clinics report double digit growth across the entire system in 2016, with an average weekly visit count numbering close to 260, but new customer visits were up in double digits. This is far more than the weekly visits that traditional, independently owned clinics experienced in the same timeframe:
As a franchise system, The Joint is in a class of its own. In its prestigious annual “Best of the Best” list, Entrepreneur magazine recently ranked The Joint as the No. 1 franchise opportunity in the healthcare segment for the second year in a row. The brand’s proven business model provides entrepreneurs and chiropractors alike with the chance to live their passion of helping others by running a great business.
“It’s such a simple business model, so it’s easy for new entrepreneurs to understand how they can be successful,” Simon says. “It’s also equally attractive for chiropractors who are tired of the insurance industry, which gets in the way of their private practice. They want to be able to take on new patients and practice their craft while also having an accessible, cash-only business that complements their traditional clinic. There’s minimum overhead and no costs of goods. It’s a high volume business that provides a service millions of people need. Chiropractors often wonder how we are able to charge what chiropractors typically charge and be profitable, but once they talk to our franchisees, they get it. The simplicity of our business model is just worlds away from traditional clinics, and it’s why our franchisees can quickly become multi-unit owners.”
The Joint franchise opportunity is a low-cost investment with high potential returns
With the total financial estimate to begin operations on a new chiropractic franchise ranging from $211,400 to $339,900, The Joint is a low-cost investment opportunity with potential for high returns. Because build-out costs are substantially lower than other brands in the healthcare segment, The Joint offers a quicker ramp-up time to allow for a potentially faster return on investment. The franchise fee for your first chiropractic franchise is $39,900.