Brings a large...set of high performing franchises under one roof
Atlanta, GA (PRWEB) July 27, 2012
The North Avenue Group, LLC (NAVG), an Atlanta-based lower middle market private equity firm, announced that it has completed its acquisition of JRG Fitness Operations, the largest independent franchisee of Snap Fitness Franchises in North America.
JRG Fitness, based in Atlanta, owns and manages the single largest portfolio of Snap Fitness franchises spanning 9 States with over 21,000 members. JRG provides its clubs a wide range of management services primarily consisting of club-level financial and operational support, payroll and lease management, and enhanced member services.
"JRG Fitness is an excellent addition to our portfolio that brings a large, independently operated set of high performing franchises under one roof,” said Terry Comer, managing partner of NAVG and board member of JRG Fitness. “The acquisition of JRG advances NAVG’s penetration in the attractive, high growth health & fitness market and builds onto the multi-unit management segment of the company’s Franchise target focus.”
JRG’s focus on Snap Fitness combines a proven business model that emphasizes convenience with a comprehensive array of fitness, wellness, and personal training solutions. In addition, JRG bolsters a strong team of fitness veterans, as well as expertise in multi-unit store integration. “There are clear business synergies that will be achieved through the combination of all of our fitness clubs. Snap’s growing product roadmap can be easily integrated across the portfolio, and our stable, recurring customer base, fosters great opportunities within the personal training market,” said Greg Mooneyham, CEO of JRG Fitness and former Snap Fitness Franchisee of the Year. “We’ll be able to drive scale by leveraging our regional infrastructure, implementing store level standard operating procedures, and adding our metrics-driven management techniques. We expect the integration to be quick and efficient, and the benefits of this acquisition to be seen almost immediately.”
JRG plans to continue its growth trajectory via future store acquisitions. Its relationship with the Franchisor and industry specific capital sources will allow the company to maintain its position as the #1 Franchisee within the Snap Fitness system for years to come. “JRG Fitness represents an excellent fit for our growth strategy,” said Gary Findley, COO of Snap Fitness, Inc. “The combined JRG portfolio will generate significant value once properly optimized. By creating liquidity for many of our existing store owners, the entrance of private equity at the franchisee level confirms the growth of our brand and our continued interests in partnering with capable, investor backed management teams.”
About The North Avenue Group
The North Avenue Group, LLC (NAVG), based in Atlanta, is a private equity firm making control growth equity and buyout investments in Franchise related businesses. NAVG’s seasoned principals and operating partners support our portfolio management teams in making financial, operational and strategic decisions with an “on the ground” approach to support well-established, franchise management teams and Franchisors looking to expand their reach.
About Snap Fitness
Snap Fitness, based in the Minneapolis suburb of Chanhassen, MN, is a franchisor of compact, state-of-the-art 24/7 fitness centers worldwide. Snap offers franchisees a proven, affordable business model that provides its members a fast, convenient and affordable workout alternative to oversized, overpriced and overcrowded health clubs. The facilities feature cardio and strength-training equipment that set industry standards coupled with a progressive, member-friendly month-to-month policy (the elimination of contracts and freedom to use any of the 1,300 Snap Fitness clubs in North America). Having opened its first franchise in 2004, Snap Fitness is the fastest franchise system to reach 1,000 club openings.