Medi-Weightloss franchise unit economics
Medi-Weightloss franchisees run a physician-supervised weight-loss clinic of 1,500 to 2,000 square feet in professional office space, selling paid programs alongside medications, supplements. IV therapy and hormone therapy under a medical director. 56 clinics reported expenses for 2025, averaging $1,073,665 of gross sales against a median of $857,443. Net income before other expenses averaged $246,701, 23% of sales, and ran from $1,013,962 down to a $315,486 loss.
- Primary source
- Medi-Weightloss Franchising USA, LLC, 2026 Franchise Disclosure Document
- Items read
- Items 5 and 6 for fees; Item 7 for cost to open; Item 19 for sales and any profit figure; Item 20 for the location count
- Population
- 56 of 117 locations
- Our calculations
- Marked on the page with an asterisk. Method
- Last reviewed
- 26 September 2026
Disclosure-based. Not a forecast, not an offer to sell a franchise, and not advice.
Split 56 clinics into thirds by sales and the gross profit holds almost perfectly flat, 81%, 79%, 82%. Everything that separates them sits below that line. The top third clears $531,981 before other expenses and the bottom third clears $49,096, on a cost of goods percentage that is effectively identical. The gap is people, rent and the number of patients walking back in.
- Net income before other expenses runs $531,981 at the top third, $174,042 in the middle and $49,096 at the bottom. The bottom third's own range reaches $293,300 at the high end and a $315,486 loss at the low.
- Rent costs the bottom third 10.0% of sales and the top third 4.5%. $51,205 against $82,510, 62% of the rent bill on 28% of the revenue.
- Compensation takes 41.2% of sales at the bottom third and 33.4% at the top. $210,276 against $615,821, and the figure excludes any pay for the owner.
- A clinic open more than two years logs 501 visits a month on 17 new patients; one open one to two years logs 289 on 22. The mature clinic gets 5 fewer new patients and 212 more visits.
- The $5,000 monthly local advertising requirement is 11.7% of the bottom third's sales and 3.3% of the top third's. $60,000 a year, whatever the clinic bills.
How much does a Medi-Weightloss franchise make?
The average Medi-Weightloss unit reported $1,073,665 of revenue in the 2026 FDD, and the median reported $857,443. The brand’s disclosure document discloses revenue and not profit, so what an owner keeps depends on the cost structure set out below. Fees come off the top first, at about 11% of sales across royalty, brand fund and the rest of the stack. Revenue is not income. Rent, wages, cost of goods and the franchise fees all come out before an owner is paid. The figures for the highest-selling and lowest-selling businesses are below.
Visits & patients
The operating engine: visits, patients and the ticket.
| Measure | Open over 2 years (79 clinics) | Open 1 to 2 years (5 clinics) |
|---|---|---|
| Monthly gross sales, average | $79,450 | $49,159 |
| Monthly gross sales, median | $65,730 | $54,293 |
| Monthly gross sales, high / low | $265,342 / $15,996 | $56,933 / $30,828 |
| Total visits a month, average | 501 | 289 |
| Total visits a month, median | 419 | 329 |
| Total visits a month, high / low | 1,654 / 124 | 339 / 183 |
| New patients a month, average | 17 | 22 |
| New patients a month, high / low | 41 / 4 | 31 / 14 |
| Revenue per visit, on the averages | $158.58 | $170.10 |
| Revenue per visit, on the medians | $156.87 | $165.02 |
| Visits per new patient | 29.5 | 13.1 |
The sales, visit and new-patient rows are as the brand reported it; the last three rows are marked. Dividing filed averages and medians by each other.
The mature clinic takes 5 fewer new patients a month and logs 212 more visits. 17 new against 22, and 501 visits against 289. Every bit of the mature clinic's volume advantage is people coming back: 29.5 visits per new patient against 13.1. Acquisition is what a young clinic does well; retention is what pays.
A visit is worth $158.58 at the mature clinic and $170.10 at the young one. The medians agree, $156.87 and $165.02, so the ticket is stable and the young clinic charges slightly more per visit. Which means the revenue gap between one-to-two years and over-two-years is a volume gap, precisely 212 visits a month. That is worth $33,619 a month at the mature rate.
17 new patients a month is 204 a year, and the average clinic spends $76,916 on local advertising. That is $377 of marketing behind each new patient. The high end of the new-patient range is 41 a month and the low end is 4. So at the bottom of the range the same fixed $60,000 advertising requirement is buying 48 patients a year.
The busiest clinic logs 1,654 visits a month and the quietest 124. Thirteen times the volume on a ticket that varies little, and $265,342 of monthly sales against $15,996. A clinic at 124 visits a month is seeing about 6 patients a working day. That is a staffing problem and a demand problem at the same time.
Product revenue.
| Third | Clinics | Average product revenue | Share of gross sales | Highest | Lowest | Median |
|---|---|---|---|---|---|---|
| Top | 28 | $182,128 | 11.4% | $353,089 | $76,761 | $169,211 |
| Middle | 28 | $105,761 | 13.9% | $179,457 | $23,686 | $103,118 |
| Bottom | 28 | $59,541 | 13.8% | $108,416 | $12,182 | $53,361 |
As the brand reported it.
Product is 11.4% of sales at the top third and 13.9% in the middle. So the clinics selling the most product in dollars sell slightly less of it as a share, product scales with the practice. At $182,128 a year the top third is selling $15,177 of product a month against 501 visits, which is about $30 a visit.
The product range inside a single third runs $12,182 to $108,416. A nine-fold range in the bottom group, on a line that has retail margin and needs zero extra clinical time. The lowest figure in the table is $1,015 a month.
Top performers
What separates the top Medi-Weightloss performers
Medi-Weightloss splits its locations into groups instead of publishing one average. The best group averaged $1,841,339 a year. The worst averaged $510,935. Both run the same brand, on the same agreement, paying the same fees. The middle location sold $857,443. The average was $1,073,665. More than half the system is below the number the brand quotes.
Decided before you open
- Trade area and site.A 3.6× gap between bands is not an operating gap. Catchment, daytime population and what sits next door set the ceiling before the first customer arrives.
- Capacity, fixed at build.Locations run 1,500 to 2,000 square feet. What you can sell is set by the build, and the build does not change after opening.
- What you spend to open.Opening costs $257,750 to $490,860, a 1.9× range inside one brand. The high end usually buys more capacity, so the cheapest build is not always the cheapest route to the top band.
Live operating levers
- Patient visits, the operating driver.This model bills on patient visits. The clinic is open set hours, so the owner works on how many visits fit into them and what each visit collects. It is worth watching every week, because by the time it turns up in a monthly close the quarter is half gone.
- Service and retail mix.Attachment rate on retail, and the share of customers on the higher service tiers, lift what each hour earns without adding an hour or a room. It is the only lever that raises the ceiling without spending capital.
- Fees, and where the minimum bites.Fees run about 11.0% of sales. A minimum sits underneath the percentage, so the low-volume location pays the higher effective rate. The brand charges the weakest locations the most. Work out the sales level where the percentage overtakes the minimum and know which side of it you are on, because the answer changes what an extra dollar of sales is worth.
- The first year.This filing shows how a new location builds up, so the ramp can be underwritten from the document rather than assumed. Read two things out of it: the month sales cross the point where costs are covered, and how much cash you fund before that month arrives. Everything before break-even is paid for by you.
Context you underwrite around
- The reporting screen.56 of 117 locations are behind these figures. Locations open less than the full year, brand-owned, or not meeting the reporting criteria are excluded, as are locations under the brand’s current size standard, so the numbers describe locations that cleared that screen, not the system as a whole.
- What the disclosure leaves out.Item 19 publishes no profit or cost data for franchised locations, no attainment figure. Anything below the sales line has to come from the franchisor or from owners you call.
The three groups of locations
56 clinics, split into thirds by sales.
| Line | Top third (18) | Middle third (19) | Bottom third (19) | All 56 |
|---|---|---|---|---|
| Gross sales | $1,841,339 | $909,125 | $510,935 | $1,073,665 |
| Median gross sales | $1,595,239 | $872,269 | $475,069 | $857,443 |
| Highest / lowest in group | $3,210,524 / $1,218,326 | $1,213,736 / $692,938 | $678,436 / $327,081 | $3,210,524 / $327,081 |
| Cost of goods sold | $346,409 | $187,564 | $92,095 | $206,230 |
| Gross profit | $1,494,930 | $721,562 | $418,841 | $867,436 |
| gross profit | 81% | 79% | 82% | 81% |
| Compensation, benefits and payroll taxes | $615,821 | $341,262 | $210,276 | $385,072 |
| Rent | $82,510 | $49,853 | $51,205 | $60,809 |
| Local advertising and marketing | $125,033 | $57,523 | $50,725 | $76,916 |
| Royalty | $139,585 | $98,881 | $57,539 | $97,938 |
| Net income before other expenses | $531,981 | $174,042 | $49,096 | $246,701 |
| Share of sales | 29% | 19% | 10% | 23% |
| Median | $405,727 | $174,786 | $40,679 | $152,417 |
| Highest / lowest in group | $1,013,962 / $194,611 | $330,771 / $25,359 | $293,300 / −$315,486 | $1,013,962 / −$315,486 |
As the brand reported it, from figures franchisees submitted through accounting software or on paper.
Gross profit is 81% at the top third and 82% at the bottom. Cost of goods lands at 18.8%, 20.6% and 18.0% across the three groups. So purchasing power buys these clinics about 2.6 points at most. The top third's advantage is built entirely below the gross profit line. That is unusual and it is good news: the levers are all inside the building.
Compensation runs 33.4% of sales at the top third and 41.2% at the bottom. $615,821 against $210,276 in dollars, so the bottom third spends a third as much on staff and hands over eight more points of revenue to do it. The line covers the medical director's salary, staff salaries, contract fees, benefits and employer taxes, and it excludes the owner's own pay.
Rent is the cruellest line: the bottom third pays $51,205 and the top third pays $82,510. 62% of the rent on 28% of the revenue, which is 10.0% of sales against 4.5%. The middle third actually pays less rent in dollars than the bottom third does ($49,853) while billing 78% more. A clinic is 1,500 to 2,000 square feet of professional office space either way, and the lease signed in year one keeps charging in year ten.
Royalty lands at 7.6% of sales at the top third and 11.3% at the bottom. $139,585 against $57,539, against a current schedule of 10% of monthly sales with a $2,250 monthly minimum, plus a 1% branding contribution. So a clinic signing today should read the top third's 29% margin knowing its own royalty line runs nearer 11% of sales than 7.6%.
The bottom third holds a clinic that made $293,300 and one that lost $315,486. A $608,786 range inside nineteen clinics that all billed between $327,081 and $678,436. Sales put you in the third; what happens next is a management question. The range inside the group is wider than the gap between the groups.
What each line costs per dollar of sales.
| Line | Top third | Middle third | Bottom third | Range |
|---|---|---|---|---|
| Cost of goods sold | 18.8% | 20.6% | 18.0% | 2.6 pts |
| Compensation | 33.4% | 37.5% | 41.2% | 7.8 pts |
| Rent | 4.5% | 5.5% | 10.0% | 5.5 pts |
| Local advertising | 6.8% | 6.3% | 9.9% | 3.6 pts |
| Royalty | 7.6% | 10.9% | 11.3% | 3.7 pts |
| Net income before other expenses | 28.9% | 19.1% | 9.6% | 19.3 pts |
Ours, dividing each filed dollar figure by the filed gross sales for that group.
Compensation and rent together account for 13.3 of the 19.3 points that separate top from bottom. Cost of goods contributes 2.6 points in the wrong direction and advertising contributes 3.6. So two lines have two-thirds of the margin gap. Both of them are decided by decisions an owner makes and remakes. Who is on the schedule, and what the lease costs.
The middle third pays 10.9% in royalty and 37.5% in compensation, and still clears 19.1%. Which sets the realistic target: on $909,125 of sales, holding staff under 38% and rent under 5.5% produced $174,042 before other expenses. That is the shape to aim at before anyone talks about the top third.
Fees and what it costs to open
What the current agreement costs.
| Sales level | Gross sales | Royalty 10% | Branding 1% | Local advertising | Automation | Total | Share |
|---|---|---|---|---|---|---|---|
| Top third average | $1,841,339 | $184,134 | $18,413 | $60,000 | $1,200 | $263,747 | 14.3% |
| All 56, average | $1,073,665 | $107,366 | $10,737 | $60,000 | $1,200 | $179,303 | 16.7% |
| Middle third average | $909,125 | $90,912 | $9,091 | $60,000 | $1,200 | $161,204 | 17.7% |
| All 56, median | $857,443 | $85,744 | $8,574 | $60,000 | $1,200 | $155,519 | 18.1% |
| Bottom third average | $510,935 | $51,094 | $5,109 | $60,000 | $1,200 | $117,403 | 23.0% |
| Lowest clinic disclosed | $327,081 | $32,708 | $3,271 | $60,000 | $1,200 | $97,179 | 29.7% |
Ours, applying the filed current schedule: royalty at the greater of 10% of monthly gross sales or $2,250 a month. The system branding contribution at the greater of 1% of monthly gross sales or $250 a month, with a stated ceiling of 2%. The current monthly local advertising requirement of $5,000. And the marketing automation fee at its $100 monthly entry point, which rises to $500 with patient volume.
The load is 14.3% of sales at the top third and 23.0% at the bottom. Nearly nine points of difference, and the whole of it is the $60,000 local advertising requirement plus $1,200 of automation landing on a smaller base. At the lowest clinic disclosed, billing $327,081, the schedule reaches 29.7% of sales.
$61,200 a year is fixed whatever the clinic bills. The $5,000 monthly advertising requirement plus the entry-level automation fee. Set that against the bottom third's $49,096 of net income before other expenses and the fixed marketing obligation is larger than the entire remaining margin.
The technology fee sits at $500 a month, uncharged today, with a $1,500 ceiling. Switched on at the current rate that is $6,000 a year. At the ceiling $18,000, which at the bottom third's sales is 3.5% of revenue appearing on thirty days' notice. Worth modeling now.
What it costs to open.
| Line | Low | High |
|---|---|---|
| Initial franchise fee | $60,000 | $60,000 |
| Initial package | $49,000 | $54,000 |
| Training fee | $15,000 | $15,000 |
| Building work | $30,000 | $125,000 |
| Furniture, fixtures, equipment and extra supplies | $16,000 | $40,000 |
| Three months of lease payments, plus deposits | $13,500 | $28,000 |
| Signage, architecture, permits, licenses and computers | $12,500 | $23,000 |
| Grand opening campaign and three months of local advertising | $30,000 | $35,000 |
| Insurance, professional fees, travel and bookkeeping | $11,750 | $34,500 |
| Optional IV therapy, hormone therapy and contact center | $0 | $16,360 |
| Additional funds, three months | $20,000 | $60,000 |
| Total | $257,750 | $490,860 |
As the brand reported it, except five grouped lines. Are marked *. Furniture with additional inventory and supplies. Three months of lease payments with security deposits; signage with architecture fees, permits, licenses and the computer system. The grand opening campaign with three months of local advertising. And insurance with professional fees, training travel and bookkeeping.
$124,000 of the low estimate goes to the franchisor before a door opens. The $60,000 franchise fee, the $49,000 initial package and the $15,000 training fee, which together are 48% of the $257,750 minimum. The package buys touchscreens, printers, medical and testing supplies, supplements, program materials and branded stock, so half the opening check is written to one payee.
Building work swing $95,000 on the space you take. $30,000 to $125,000, and a grey shell runs substantially above the high end. That decision returns every month as a rent line worth 4.5% or 10.0% of sales. The bottom third’s rent is a fifth of its gross profit.
Three months of additional funds is $20,000 to $60,000, against build-up data showing a clinic at $49,159 a month in its second year. With a cost structure consuming 90% of sales at the bottom third, that reserve funds a quarter of the first year. The lowest single month recorded is $15,996.
What territory you get.
Your territory holds about 125,000 people, with a minimum of 100,000. At the all-56 average of $1,073,665 that is $8.59 of annual revenue per resident, $14.73 at the top third and $4.09 at the bottom. The same population produces three and a half times the revenue depending on who is running the clinic.
Internet and e-commerce selling stays with the franchisor. The agreement grants zero rights to alternative channels (wholesale, internet or mail order) and bars independent online marketing or e-commerce except under the franchisor's online policy. Direct marketing to people living outside your territory is permitted; selling to them online is a separate matter. Read the Latest tab for why that clause matters more in 2026 than it did in 2023.
The network of locations
Openings went 15, then 5, then 33.
| Year | Franchised start | Opened | Terminated | Left for other reasons | Franchised end | Company-owned end | Total |
|---|---|---|---|---|---|---|---|
| 2023 | 76 | 15 | 3 | 0 | 88 | 17 | 105 |
| 2024 | 88 | 5 | 2 | 4 | 87 | 17 | 104 |
| 2025 | 87 | 33 | 3 | 0 | 117 | 10 | 127 |
As the brand reported it.
33 clinics were added in 2025 after 5 in 2024. A six-fold jump in one year, with 26 of the 33 genuinely new and 7 converted from company ownership. Set against 60 more agreements signed and 34 openings projected, the system is about to grow by nearly a third again. An existing owner should read the visit tables knowing the average clinic count in them is heading down in age. Drags the reported averages down with it.
Three franchises were terminated in 2025 and zero closed for other reasons. Across three years the departures total 5 terminations and 4 non-renewals against 53 openings. A low departure rate for a medical model, and the 2024 pause looks like a deliberate hold: 5 openings, then 33.
The franchisor has taken its own estate from 21 clinics to 10 with zero closures. Eleven were sold to franchisees, 4 in 2023 and 7 in 2025. That is 11 established clinics with existing patient bases moving into franchisee hands, which is the one route into this system that skips the build-up entirely.
Questions we get asked
Questions owners ask.
What should a clinic be billing?
Across the 56 clinics that reported expenses for 2025, average gross sales were $1,073,665 with a median of $857,443, ranging from $327,081 to $3,210,524. Split into thirds by sales, averages were $1,841,339, $909,125 and $510,935. On a monthly basis across the wider group of 84 clinics open the whole year, clinics over two years old averaged $79,450 a month with a median of $65,730. Clinics one to two years old averaged $49,159.
What does the cost structure look like?
At the all-56 average: cost of goods 19.2% of sales, compensation 35.9%, rent 5.7%, local advertising 7.2% and royalty 9.1%, leaving 23.0% as net income before other expenses. Across the thirds, compensation moves from 33.4% to 41.2% and rent from 4.5% to 10.0% while cost of goods stays between 18.0% and 20.6%. Net income before other expenses excludes insurance, processing fees, taxes, professional services, licenses, office supplies and business taxes. Excludes any pay for the owner. So treat it as the pool your own compensation comes out of.
What does the brand cost in total?
On the current schedule: a 10% royalty against a $2,250 monthly minimum, a 1% system branding contribution against a $250 monthly minimum with a 2% ceiling, a $5,000 monthly local advertising requirement, a marketing automation fee of $100 to $500 a month. A technology fee currently set at $500 a month and currently uncharged with a $1,500 ceiling. That works out at 14.3% of sales at the top third's volume, 17.7% at the middle third's and 23.0% at the bottom third's. Opening costs $257,750 to $490,860, of which $124,000 to $129,000 is paid to the franchisor as the franchise fee, initial package and training fee.
How many visits does a clinic need?
Clinics over two years old averaged 501 visits a month with a median of 419, ranging from 124 to 1,654, on 17 new patients a month. Clinics one to two years old averaged 289 visits on 22 new patients. Revenue per visit works out at $158.58 on the mature group's averages and $170.10 on the younger group's, with the medians agreeing at $156.87 and $165.02. Product sales run 11.4% to 13.9% of gross sales, averaging $59,541 to $182,128 a year across thirds.
Who does bookkeeping for a Medi-Weightloss franchise?
Match your chart of accounts to these definitions before any of it means anything, and three specifics matter. Cost of goods bundles labs, medications, supplements, injections, insurance billing and card fees into one line. So a medication price change disappears inside a 19% ratio unless you break it out. Compensation excludes the owner’s own pay by design, so your statement needs the same split to be comparable. And revenue has paid programs, medications, product and ancillary lines together. So 501 visits at $158.58 a visit only reconcile when deferred program revenue is recognized in the period the visits happen. Averan provides bookkeeping, controller, and fractional CFO support for franchise owners and has Certified QuickBooks ProAdvisors on the team.
- No profit figure. The filing reports sales and not earnings, so what an owner keeps is not disclosed.
- No cost lines. Wages, rent and cost of goods are not broken out, so margin cannot be rebuilt from the document.
- No attainment figure. The filing does not say how many locations reached the average it publishes.
Questions worth putting to Medi-Weightloss
The filing answers what it answers. These are the gaps an owner or a buyer should close directly.
- What do locations at the median spend on wages and rent as a share of sales? The filing reports sales only.
- What separates the highest-selling locations from the lowest: trade area, years open, size, or the owner?
- How long does a new location take to reach the average you publish, and what does the build-up look like month by month?
- At what level of sales do the minimum charges stop applying and the percentage take over?
- How many Medi-Weightloss locations closed, were sold, or changed hands last year, and why?
Run your own numbers.
The Franchise Finance Diagnostic runs the same checks on your own numbers. It scores where you stand and compares you with Item 19 of your brand’s FDD. It works out what one location earns and spends, and builds a 13-week cash forecast. Checks whether you are ready to open another one. It is free and it runs in your browser.
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