FitLab has revealed that supply chain issues, the loss of its partnership with Nike and tariff policies were considerable factors in its Chapter 11 bankruptcy filing in late October.
The company is the parent to Assault Fitness, Mile High Run Club, Ragnar, Y7 Studio, Racked, XPT and RPM Training and listed $10 million and $50 million in assets and $100 million to $500 million in liabilities, while estimating its creditors at between 1,000 and 5,000.
In its filing on October 26, FitLab noted that its Nike deal for fitness studios was terminated early and required high costs, while a manufacturer for Assault Fitness was forced to find a new supplier and its Mile High Run Club studios closed this year, among other financial setbacks.
According to the filing, Nike was among FitLab’s key investors in its Series B financing in early 2023, with the sportswear giant contributing around $20 million, with most of the resources being used to run ten Nike-branded facilities in Southern California and Austin. In 2024, FitLab also received a separate $65 million debt financing facility from Atlas Credit Partners and approximately $35 million funded up front.
But in early 2026, Nike pulled out of its pact with FitLab, who took responsibility for operating the studios, which were flagged with high costs. FitLab would later close some of the locations after problems with landlords as several of its other business ventures were grappling with financial obstacles.
Among the largest creditors, Elysian Park Ventures is reportedly owed $7.09 million, with Break Trail Ventures Fund III at $3.14 million along with Impulse Health Tech ($1.65 million), Google ($1.39 million), RPM sellers ($1.33 million) and FiTek Fitness Products ($712,000).
As pressures continued to mount and no additional significant financing materialized, FitLab pursued asset-based financing with banks and specialty lenders, received several term sheets, and advanced certain discussions through successive credit committee reviews,” FitLab’s Chief Restructuring Officer Nicholas Rubin said in the petition on Wednesday. “None resulted in a funded facility. The Company believes the existing debt structure and deteriorating results prevented prospective lenders from providing additional credit. By summer 2026, the Company concluded that it could no longer rely on substantial new institutional equity or asset-based financing.”
FitLab began development in 2016 by former Nike and New Evolution Ventures executives Brian Kirkbride and Mike Melby, took on funding the following year and began “transitioning to an operating-company model” by 2018.
The company raised more than $15 million in its Series A financing by January 22, with Two Styx Capital, CAVA Capital, Snoop Ventures, Audie Attar and Courtney Reum of M13 all part of the round just as FitLab revealed its acquisitions of Fitplan and Ragnar.
