Medi Weight Loss- A Medical Weight Loss Clinic

Description

Medi-Weightloss® is the leading clinically supervised weight loss franchise in the U.S., with a proven medical-based model that has helped over 400,000 patients lose more than 9 million pounds. The business operates under a self-pay and insurance-reimbursed structure, offering multiple revenue streams:

• Medical weight loss consultations

• Prescription weight loss medications, injections, and IV therapy

• Nutritional support products and supplements

• Corporate wellness programs for employers

With 74% of U.S. adults classified as overweight or obese, Medi-Weightloss offers a scalable, in-demand business in the growing healthcare market.

Financials

• Start-up Costs: $208,000 - $430,000

• Franchised Units: 130

• Established: 2005

• First Unit Franchised: 2008

• Company Owned Units: 17

• Minimum Net Worth: $500,000

• Royalty: 10%

• Ad Fund Contribution: 1%

• Average Number of Employees: 3-5

• Location Required? Yes

Support & Training

• Financial Assistance: No direct financing, but third-party options available

• Site Selection Assistance: Yes

• Lease Negotiation Assistance: Yes

• Recruiting Assistance: Yes

• Cooperative Advertising: Yes

• Training:

  • 5-day training at corporate headquarters in Tampa, FL

  • Ongoing clinical, operational, and marketing training

  • Exclusive access to proprietary EMR/CRM software

  • Grand opening support and post-launch guidance

  • Ongoing compliance education and business growth consulting

Day in the Life

Medi-Weightloss offers both semi-absentee and owner-operator models. Owners focus on:

• Site selection and lease negotiations

• Hiring, training, and managing an office manager and medical team

• Marketing, financial oversight, and community outreach

• Expanding patient acquisition and corporate wellness programs

Those who choose to be owner-operators are more involved in:

• Daily staff management

• Direct patient interactions

• Executing local marketing strategies

Ideal Candidate

The ideal Medi-Weightloss franchisee has:

• A strong business background (healthcare experience is not required)

• Leadership and team management skills

• A passion for health and wellness

• Financial acumen to manage and scale a clinic successfully

Owners can come from various industries, including corporate leadership, sales, multi-unit operations, and healthcare administration.

Item 19 From 2025 FDD

This net is too high, see the notes below. To get a more accurate net income figure, you need to speak with franchisees. See two notes below (underline added by me). You can ask the franchisor for more details around what is missing but they can’t give you specific numbers. Also, most of what is missing is listed in the notes so as long as you include them in your financial projections, you will get much closer to the truth than the tables in the Item 19. 

Note 11: There are a number of other costs and expenses that franchised Medi-Weightloss Businesses may incur that are not included in the calculations to determine Gross Profit and Net Income Before Other Expenses. Some of these costs and expenses include, for example, insurance, processing fees, taxes, professional services, liability and property insurance premiums, business licenses and permits, office supplies, and business taxes. You should consider these and all other costs and expenses that you will incur when creating a business plan for your franchised Medi-Weightloss Business. 

The rest of the Item 19 is broken down thirds

Analysis

Medi-Weightloss is in a growing industry with many tailwinds. More people in America are becoming health conscience and more people are looking for an easier solution or looking for help for their problems. This offers extensive one on one support to include nutrition, drugs, supplements, and exercise. This holistic approach improves outcomes for patients and creates multiple streams of revenue for the owner. Furthermore, 65-70% of revenue comes from insurance meaning it has strong protection from an economic downturn.

From an employee and customer perspective, this ranks highly as well. You have a few, well education and well paid, professionals making management easier. Your customers are seeking help and are hoping you are that answer. This creates a dynamic where you can provide them something of immense value- their health and they are deeply appreciative of that.

Sales is driven mostly by marketing and top performers spend over three times as much on marketing than bottom performers. This means you should increase your startup costs to align with this reality. Also, location is extremely important due to the need for customers to come to you and they won't drive more than 15 minutes out of their way for services like these. The franchise will help with site selection but be prepared to wait for the right location rather than rush into opening in a poor location.

The franchise has 100 open units which is the minimum I want to see in something like this so you want to really validate the model and ensure the corporate support team is keeping up with franchisee growth. Also, anything that derives revenue from medical insurance needs to verify local insurance payout rates. Insurance payouts vary significantly state to state and what is a profitable model in one state can be unsustainable in another state. A potential franchisee also needs to find out the expenses missing from the FDD's Item 19 P&L. The margins in the FDD are great, with an average of 23% net, but could be significantly lower depending on what other expenses need to be added.

Overall, I give this franchise a tentative A rating, knowing a significant amount of validation needs to be done around franchisor support and financials.

Want to find out if Medi-Weightloss is available to open new locations near you? Or do you want help finding a number of great fit franchises?

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