Media advises of closing of F45 studios as founder reportedly being chased for $10 million by creditors

A series of media reports over recent days have advised of the closure of F45 training gyms across Australia leaving members of out of pocket due to unused memberships.

Yesterday saw the Ticker News website advise that “at least 11 Australian F45 training gyms have ceased operations” with franchisees falling into liquidation.

As of 22nd February, the News Corp Australia Network reported that “a number of (franchisees) have gone into liquidation while gym equipment is being sold incredibly cheaply online in a sign of the business struggling to stay afloat.”

The gym equipment branded with the F45 logo is being sold at knockdown prices on Facebook Marketplace.

Founded in Australia, F45 currently has almost 500 franchised studios across the country operating its functional high intensity interval training (HIIT) classes that takes place in 45 minutes.

While its international growth saw it listed on the New York Stock Exchange in 2021, the past year has seen the fitness empire struggling.

On 9th September last year, the F45 franchise in the central Queensland town of Yeppoon went into liquidation, with Michael Beck of Worrells insolvency firm appointed as the liquidator.

Just a month later, a Melbourne F45 branch in the suburb of Sunshine also went under.

Peter Malone of CRS Insolvency, was the appointed liquidator, and a company spokesperson advised News Corp that the company ceased to trade in March last year.

Liquidator of the Mount Barker establishment, Stephen James of BCR Advisory, told News Corp that the business was hit by declining member numbers which “the owner tried but couldn’t turn around”.

Subsequently, studios in South Yarra and Port Melbourne have had winding up applications taken against them.

Both are understood to owe debts to Bizcap AU, a small business loan service, which lodged the winding up application in court.

As of yesterday, News Corp reported F45 members struggling to get refunds from closed studioes while News Corp today ran a news item with the headline 'F45 gyms collapse: Your refund rights and if you’re eligible'.

Today’s news item went on to report on landlords being owed hundreds of thousands of dollars by F45 franchisees.

At the end of February, three prominent board members of the group’s board resigned - Travel Chief Executive Vanessa Douglas, Canstar Chief Technical Officer Angelo Demasi and sports lecturer Lee Wallace.

‘F45 founder Adam Gilchrist owes millions to creditors’
Last week, Daily Mail Australia reported that a range of creditors were chasing F45 co-founder Adam Gilchrist for $10.8 million in the Federal Court.

A seizing order filed by creditors in the Federal Court included an application to freeze Gilchrist’s assets including his luxury cars, beachfront properties and a $6 million Brett Whitely painting frozen.

Court documents obtained by Daily Mail Australia listed Gilchrist's Porsche Speedster 911 and Porsche Panamera.

Gilchrist was Chief Executive of F45 until he stepped down in July 2022 in the wake of losses on the New York Stock Exchange.

Images: There are almost 500 F45 studios in Australia (top and middle), F45 investor Mark Whalberg and F45 co-founder and then Chief Executive Adam Gilchrist on the New York Stock Exchange in July 2021.