In today's Fast Break we're excited to bring you (a snippet) of our panel discussion at the recent Athletech Innovators Summit held in NYC, July 2025. Integrity Square Founder and HALO Talks host Pete Moore moderated a panel with Mark Federico (CEO of Fitness Holdings/Crunch Fitness) and Terry Blachek (Orange Theory Fitness) for a deep dive into the real-world challenges—and strategies—of scaling fitness franchises.

Mark Federico’s Growth Playbook

Mark walked us through his journey, from running a nine-club independent brand to leading a 50+ club Crunch Fitness operation across 10 states.
He shed light on the big question: Build new locations (greenfields) or buy existing ones (acquisitions)? He shared the calculus behind each approach, breaking down real cost factors and explaining why “development space” is critical for franchisees.

Franchise Valuation—Not All Clubs Are Created Equal

Many single-gym owners want “big company” multiples, but Mark explained why scale, growth runway, and strategic value make a huge difference in valuation.
Pro tip: Buying a single club isn’t the same as absorbing a whole region. If you want premium pricing, bring growth potential to the table.

Financing Franchise Expansion

Terry opened up about the risks and strategies he used to finance Orange Theory locations, including SBA loans, finding investor partners, and personally guaranteeing leases.
They discussed what it really takes to stand behind a business—sometimes with tens of millions in personal guarantees—long before private equity gets involved.

The Realities (and Rewards) of Entrepreneurship

Both guests emphasized the massive personal and financial risks entrepreneurs take to build these fitness empires. Pete made an important point: These risks deserve respect and reward, not scorn.

Bonus Insight: The "Microwave vs. Crockpot" Growth Model

Terry shared Orange Theory’s approach to expansion, balancing rapid growth with careful, sustainable development. If you're a franchisor or area developer, this is a must-hear perspective.

Want to learn more? (You should. Otherwise you're playing checkers while the rest of the industry plays chess.)

Give us 10 hours of your time at the next HALO Academy starting Sept 8, 2025. Register at https://www.thehaloacademy.com now for $495 and earn a $100 gift card from our friends at Promotion Vault. Testimonials at https://www.thehaloacademy.com/testimonials

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Thanks to Promotion Vault and HigherDose for sponsoring. For 15% off products sitewide (excluding bundles, kits, and full saunas) use the code GOHALO at https://www.higherdose.com Resources

Athletech News: https://athletechnews.com
Mark Federico: https://www.linkedin.com/in/mark-federico-163069182
Terry Blachek: https://www.linkedin.com/in/terry-blachek-78431a174
Orange Theory Fitness: https://www.orangetheory.com
Crunch Fitness: https://www.crunchfitness.com

HALO Talks Fast Break: Navigating Franchise Growth-Greenfields, Acquisitions, and Scaling Fitness Brands with Private Equity