F45 Training is a global fitness and lifestyle community that offers customers a complete wellness solution from training to nutrition, fitness, and lifestyle. Originally an Australian franchisor and operator of fitness centres, the company now headquartered in the US, has over 2,000 studios in over 600 countries. F45 offers thousands of exercises, customised training systems, circuit movement patterns, timing modules and workouts that change on a daily basis.
The founders of F45 Stratford approached The MGroup Corporate Finance team to help facilitate an exit from the business via a sale.
Challenge
In 2015, founders Dan Graham and Sam Gregory agreed on a 5-year plan which set out their journey towards exiting the business. Dan planned to move his family back to Perth, and Sam wanted to explore new ventures. Unfortunately, Covid hit, and plans had to be shelved while they worked through the challenges presented by a global pandemic.
In 2022, Dan and Sam approached The MGroup Corporate Finance and began their exit phase. Our challenge was to find a suitable buyer for the business and maximising the deal value to ensure both founders could pursue their next steps.
Solution
We worked closely with Dan and Sam, challenging, and supporting them while bringing their business plan and financial forecasts to life.
With three interested buyers at the table and a business that was well-prepared and ready to sell, it seemed the deal would move along swiftly. Negotiations were picking up pace, but eventually it became clear that two of the interested parties were not as committed to the deal as they had declared 6 months earlier. A frustrating time for Dan and Sam, but as Geoff and the team advised, finding the right buyer is well worth the wait in the long run. Eventually we found the right buyer, and once terms were agreed, we moved quickly into due diligence, guiding the Sellers, overcoming several obstacles along the way, and protecting value.
Dan and Sam also consulted with The MGroup Accountancy practice for specialist tax advice, navigating the complexities of investment extraction, involving crypto currency.
Results
The sale deal completed in August 2023, and both founders have realised their exit plan goals.
Client testimonial
“I have nothing but admiration and respect for Geoff, Sandie and Lesley, the team at MGroup Corporate Finance who led us through the sale process – they are true professionals. Our key contact was Partner, Geoff Pinder, who took us under his wing, asking the right questions to help us make sensible decisions and protect our best interests.
From the very first conversation it felt like they cared as much about our endgame as we did. We were both under a lot of pressure to close the deal and move on with our lives, so having a team we trusted by our side as we navigated game-playing, time-wasting potential buyers, was incredibly helpful.
They are all wonderful people, and I would highly recommend you talk to them if you’re planning to exit your business.”
Dan Graham, co-founder of F45 Training Stratford
