OTA World franchise

2024 filing · April 15, 2024

OTA World at a glance

A retail showroom that displays, demonstrates and sells massage chairs and accessories. At the end of 2023 there were 18 OTA World locations in the US, all franchised.

The business

Industry: Health and wellness; Also listed in retail
Franchisor: OTA Healthmate, LLC; The company that sells the franchises
Who runs it: Semi-absentee; Owner doesn't have to take part; a trained manager runs it

What you pay

Cost to open: $59K–$104K; An OTA World store of about 600 square feet
Franchise fee: $0; Since OTA charges none
Royalty: None; No royalty. You pay 1% of gross sales to the advertising fund and spend 5% on local advertising; the massage chairs come mainly from the franchisor's affiliated suppliers
Brand fund: 1%; 1% of gross sales, paid monthly
Agreement length: 10 years
Territory: Protected; Protected territory
Franchisor financing: None offered
SBA Franchise Directory: Not listed; Lenders check this list before an SBA loan

Where it is

US locations, 2023: 18; Franchised and company-owned
Franchised: 18
Company-owned: 0
States: 10; Most in Texas, Florida and California

Support and records

Shares sales figures: No; Ask current owners what a location makes
Initial training: 30–52 hours; 11–17 hours in class and 19–35 on the job
Lawsuits disclosed: None
Bankruptcy disclosed: None
Latest filing: Apr 15, 2024; 2024 filing

From OTA Healthmate, LLC’s 2024 filing; SBA status from the SBA Franchise Directory, October 28, 2026.

Estimate your costs Model the payback

Where it ranks

OTA World among all franchises with the same figure.

Figure	OTA World	Among all franchises
Cost to open, midpointHalfway between the low and high estimate	$81,500	Costs less than 91% of franchises
Franchise feePaid once, when you sign	$0	Lower than 99% of franchises
US locationsFranchised and company-owned	18	Fewer than 52% of franchises

How much a OTA World franchise costs

Opening an OTA World store of about 600 square feet costs an estimated $59,000 to $104,000. That covers the franchise fee and everything else needed to open, through the first months of working capital. It is one of the low-cost franchises.

The biggest costs are showroom inventory ($25,000 to $30,000) and leasehold improvements ($5,000 to $15,000). Here is every line of the estimate as filed:

What it pays for	Low	High
Franchise Fee	$0
Architectural Planning	$0	$2,000
Lease Deposits	$4,000	$9,000
Leasehold Improvements	$5,000	$15,000
Showroom Inventory	$25,000	$30,000
Furniture and Equipment	$2,000	$3,000
Interior graphics & décor	$4,000	$8,000
Exterior Signage	$3,000	$6,000
Insurance	$1,000	$3,000
Travel & Training Costs	$3,000	$5,000
Professional Fees	$2,000	$3,000
Opening Promotion	$5,000	$10,000
Working Capital	$5,000	$10,000
Total	$59,000	$104,000

Source: OTA Healthmate, LLC, 2024 filing, page 10

OTA World franchise fee

The franchise fee is $0, since OTA charges none. You pay it when you sign the franchise agreement.

Source: OTA Healthmate, LLC, 2024 filing, page 8

Royalty and ongoing fees

Royalty	No royalty. You pay 1% of gross sales to the advertising fund and spend 5% on local advertising; the massage chairs come mainly from the franchisor's affiliated suppliers.
Brand or marketing fund	1% of gross sales, paid monthly.
Computer Software	$300 to $500
Transfer	$5,000 from Transferee
Local Advertising	5% of Gross Sales

The typical franchise royalty is 6% of sales, plus 2% for marketing. See franchise fees and royalties to compare.

Source: OTA Healthmate, LLC, 2024 filing, page 8

Other fees as filed, from page 9. The filing lists every fee, including late fees and audit costs.

Sales and earnings

No figures OTA World does not share sales or profit figures for its locations. Talking to current and former franchise owners is the usual way to learn what a location earns.

Source: OTA Healthmate, LLC, 2024 filing, page 20

How OTA World compares

Of the 199 health and wellness franchises on this site, OTA World is the 12th cheapest to open and the 74th largest by number of locations.

Figure	OTA World	Typical health and wellness brand	Typical franchise
Cost to open, low end	$59K	$224K	$222K
Cost to open, high end	$104K	$498K	$477K
Franchise fee	$0	$45K	$40K
Brand fund	1%	2%	2%
US locations	18	10	21
Change in franchised locations, 0 yrs	+12.5%	+23.8%	–
Shares earnings figures	No	125 of 199	2,147 of 3,352

Typical is the median across the 199 brands in health and wellness franchises; typical franchise, across every brand here.

Locations opened and closed

2021

27 (+11)

2022

23 (−4)

2023

18 (−5)

Year	Franchised	Company-owned
2021	27 (+11)	0
2022	23 (−4)	0
2023	18 (−5)	0

Closed or left counts terminations, non-renewals, locations bought back by the franchisor and locations that stopped operating.

See which brands grew most in the fastest-growing franchises rankings.

More in the guides: franchise failure rates.

Source: OTA Healthmate, LLC, 2024 filing, page 21

Source filing (2024, PDF)

Where OTA World locations are

At the end of 2023, OTA World had franchised locations in 10 states. The most are in Texas, Florida and California.

Texas4
Florida3
California2
New Jersey2
Washington2
Arizona1

State	Franchised
Texas	4
Florida	3
California	2
New Jersey	2
Washington	2
Arizona	1
Michigan	1
Nevada	1
Pennsylvania	1
Virginia	1

Source: OTA Healthmate, LLC, 2024 filing, page 21

Who owns OTA World?

OTA World franchises are sold by OTA Healthmate, LLC.

From OTA Healthmate, LLC’s 2024 filing.

Lawsuits and bankruptcy

Lawsuits and regulatory actions	None. The filing says no litigation has to be disclosed.
Bankruptcy	None. The filing says no bankruptcy has to be disclosed.

Franchisors must disclose lawsuits and bankruptcies involving the company, its parents and affiliates, and its executives. Many cases are routine disputes with franchisees over fees or contracts; read the descriptions in the filing and ask current owners about anything that worries you.

Source: OTA Healthmate, LLC, 2024 filing, litigation on page 8, bankruptcy on page 8

Source filing (2024, PDF)