
In 2020, QC Kinetix had yet to establish any franchise locations. However, by the end of 2021, franchisees of the brand had successfully opened 59 clinics, alongside 11 corporate units, all operating under the regenerative medicine model.
CEO Justin Crowell noted that this rapid expansion highlights the consumer demand for non-surgical pain relief solutions and the growing interest from franchise investors and operators in the healthcare sector.
QC Kinetix, represented by Pro Football Hall of Famer Emmitt Smith as their spokesperson, offers a variety of treatments for different musculoskeletal and joint pains that arise from injuries, arthritis, or other chronic issues. Patients “come to us after being told they need a steroid injection, physical therapy or even surgery,” Crowell mentioned.
“We use natural biologics from them,” Crowell explained their treatment approach to the patients. “We are taking either blood or stem cells from the patient and distilling the cells … and injecting it into the joint.”
Crowell later mentioned that QC Kinetix aims to popularize the term “natural biologics,” given that their treatment options extend beyond stem cell therapy to encompass treatments like platelet-rich plasma injections for meniscus tears.
Over the past ten years, the application of natural biological tissues in medical treatments has seen significant progress. According to the Mayo Clinic’s Center for Regenerative Medicine, established in 2011, “Regenerative medicine goes beyond disease management to search for and discover therapies that support the body in repairing, regenerating and restoring itself to a state of well-being. … regenerative medicine therapies prompt the body to enact a self-healing response.”
In 2017, Crowell, together with Tyler Vail and Dr. Richard Schaffer, opened the first QC Kinetix clinic in Charleston, South Carolina. The trio, having collaborated at a medical clinic, saw a promising business opportunity in regenerative medicine and chose to venture independently. Vail, who serves as the president of QC Kinetix, is a certified physician assistant, while Schaffer holds the position of chief medical officer. They began offering franchises in 2020.
QC Kinetix operates on a retail medicine model as a cash-only business, meaning its clinics do not engage with insurance companies.
“The average patients spends $10,000 for a treatment plan,” said Crowell. “It’s not always for everybody, not everybody believes in it and not everybody can afford it … it’s a unique business model, but it works for us.”
The approach has proven successful for Shane Fay as well. Together with his business partner Rich Hicks, he has successfully established three QC Kinetix clinics in the Dallas-Fort Worth area and secured a lease for a fourth location. They plan to establish a total of 17 locations. Fay describes the venture as “a dream come true.”
“We are absolutely just crushing it in this market,” he added. A CrossFit athlete with a longstanding passion for health and wellness, Fay previously led sales teams for startup software companies before encountering QC Kinetix. He expressed admiration for the brand’s innovative approach and its esteemed reputation within the medical community.
“And I feel strongly that this path, this restorative, regenerative path, is something most people truly want,” he further noted what he described as “a personal concierge approach to medicine.”
His staff includes a full-time medical director along with three physician assistants. He noted that patients are “are blown away” by the level of access they have to a comprehensive team of medical experts.
Fay didn’t disclose exact sales numbers but mentioned that both his Fort Worth and Dallas locations achieved record sales upon opening. In December 2021, one of the clinics “did more in one month than any corporate or franchised QC Kinetix ever.”
According to Item 19 in the company’s franchise disclosure document, gross revenues at five corporate clinics ranged from $1.06 million to $1.5 million for the year from January 1 to December 31, 2020. Further analysis of gross revenues from January 1 to March 31, 2021, indicates that 11 company-owned clinics averaged $296,769.
Crowell notes that QC Kinetix’s total system sales reached $8 million in 2020, encompassing nine corporate clinics, and expanded to $27 million in 2021 with the inclusion of franchise locations.
Crowell pointed out that QC Kinetix clinics operate just one day a week. He explained that designated market areas are assigned to a single franchisee, who then decides on which days different units will open as they expand. Moreover, the scheduling of treatments is managed by the medical staff, who rotate among the various clinics based on the needs of the market.
“A busy day for us is to see 10 new patients … At $10,000 a pop, that’s a good day,” Crowell commented. He added that as a location expands its offerings, it might open for additional days.
Crowell mentioned that “95 percent” of franchisees come without medical backgrounds. They employ licensed medical professionals to manage patient care. Given this model and the differing state laws and regulations concerning non-surgical regenerative medicine services, Crowell emphasized that franchisees must educate themselves and engage an attorney experienced in medical issues.
Fay concurred, noting that he frequently receives inquiries from potential franchisees curious about the business model. “I encourage due diligence and research behind the outcomes and procedures and the efficacy of what we do,” he stated.
QC Kinetix clinics typically span between 1,700 and 2,500 square feet and are located in Class A offices or medical facilities. The starting investment for these clinics falls between $159,030 and $300,230.