The gyms are capital property. They must be operated under a corporate umbrella. Each gym is a franchise of the corporation. They pay their employees, and collect income tax for the state and the Feds. That is just the way business operate in the United States. There is no choice in the matter.
That’s not true. Each gym is NOT a franchise at all. It’s an affiliate. About half don’t even have the name “crossfit” in them. All you get out of an affiliation, literally, is a chance for your members to compete in the annual Open and other events. That’s literally it. Each gym is independently owned and operated.