Is owning a gym franchise profitable?
Yes, fitness franchises offer great profits but not as much as you might think. According to Investopedia, most franchise owners take home around $50,000 per year, but about 7% of franchise owners earn more than $250,000 per year.
How much does a franchise gym cost?
The total upfront investment for a gym franchise can fall anywhere between $30,000 and $300,000, including the one-time franchise name fee (ranging from $15,000 to $30,000). Of course, some brands are less expensive than others. Ditto for some locations.
Which gym franchise is most profitable?
If you want to research the top fitness franchises, here's who made the Top 10 list in Entrepreneur's Franchise 500 for 2022:Crunch. ... Anytime Fitness. ... Burn Boot Camp. ... Club Pilates. ... The Exercise Coach. ... Pure Barre. ... 30 Minute Hit. Entrepreneur Franchise 500 Rank: 351st ... SPENGA. Entrepreneur Franchise 500 Rank: 380thMore items...•
How much is a EOS gym franchise?
What Does a EOS Worldwide Franchise Cost? To buy a franchise with EOS Worldwide, you'll need to have at least $40,000 in liquid capital. They also offer financing .
How can I open a gym with no money?
Steps To Opening A Gym With No MoneyStart small and allow your business to grow later on.Marketing should be free - by using social media you can cross-promote with other businesses (this can also include free trials or passes for your some or all of your services)More items...
Is it hard to own a gym?
The fitness industry has become hyper-competitive and becoming a successful gym owner is getting harder and harder. In fact, while there is massive potential in owning a fitness business, 8 out of 10 of them will fail in their first year.
How much does a Planet Fitness owner make?
How Much Do Planet Fitness Franchise Owners Make?FRANCHISED ONLYBOTTOM THIRDUPPER THIRDAverage Annual EFT Revenue-$1,022,241$2,210,892Median Annual EFT Revenue-$1,050,049$2,098,704High Annual EFT Revenue-$1,316,182$4,370,9401 more row•Jul 19, 2022
How much does it cost to start a F45?
The cost to start a F45 Franchise will include the following: Total Investment: The total investment necessary to begin operation of a “F45 Franchise” franchise ranges from $227,000 – $312,000. Initial Fees: Initial franchise fee: $50,000.
What is the most popular gym franchise?
The state of the gym franchise industry in 2022 The four biggest players in the gym and franchise industry are Orangetheory Fitness, Anytime Fitness, Planet Fitness, and Snap Fitness.
How do I start a gym franchise?
10 steps to starting a gym franchiseAssess your interest. Before you begin, make sure you're getting into this business for the right reasons. ... Do your research. ... Contact your top choices. ... Call franchisees. ... Find a location. ... Obtain financing. ... Sign an agreement. ... Get permits and insurance.More items...•
Is Anytime Fitness franchise worth?
The average Anytime Fitness location brings in about $441,116 in revenue per year, but a franchise owner can expect to make about $114,000 in profit after expenses. Anytime Fitness is the world's fastest-growing fitness club, according to the International Health, Racquet and Sportsclub Association.
How does gym franchise work?
A franchisor chooses to sell the rights to use their company's name, trademarks and business models to independent operators known as franchisees. Typically, there is a one-off fee to use that company's trademarks and an ongoing percentage of revenue to become a franchisee.
Is franchising a gym a good idea?
If you're going to invest your hard-earned money, you might as well secure it in a gym franchise. Later on, when you are financially stable, you can have the freedom to start your own business or continue expanding your franchise as it will most likely be a success. The bottom line is, gym franchises are profitable.
Is owning a Planet Fitness profitable?
Planet Fitness is a profitable business for the franchisor, with retained earnings of $210 million in 2021. Compared to $145 million in 2020, they saw an increase of 44% from 2020 to 2021. This is a good indication of high growth as a company overall.
How much does it cost to start a F45?
The cost to start a F45 Franchise will include the following: Total Investment: The total investment necessary to begin operation of a “F45 Franchise” franchise ranges from $227,000 – $312,000. Initial Fees: Initial franchise fee: $50,000.
How does gym franchise work?
A franchisor chooses to sell the rights to use their company's name, trademarks and business models to independent operators known as franchisees. Typically, there is a one-off fee to use that company's trademarks and an ongoing percentage of revenue to become a franchisee.
How much does it cost to franchise Gold's Gym?
Gold’s Gym also requires that potential franchisees have a minimum of $1 million in net worth and $400,000 in liquid assets.
How much did gym franchises contribute to the fitness industry?
And in 2019, gym franchises specifically contributed $4 billion to the $34 billion gym, health, and fitness industry.
How many locations does Anytime Fitness have?
Since their start in 2002, Anytime Fitness has opened over 4,000 locations on all seven continents. Their popularity mostly comes down to their unique business model: All Anytime Fitness locations are open 24 hours a day, seven days a week, and members can access any of those 4,000+ locations no matter where they are in the world. In addition to standard gym fare, Anytime Fitness locations offer a range of classes and services, like yoga, spin, cardio, Zumba, and personal training. Anytime Fitness also prides themselves on engendering a supportive environment for members and they prioritize employee wellness.
How much does it cost to open a Planet Fitness franchise?
With that in mind, Planet Fitness franchisees will need to pay for that international brand recognition—opening a Planet Fitness franchise may cost over $4 million. Royalty fees are 7% of the total gross monthly and annual membership fees, and advertising fees vary. Initial term lengths last 10 years.
What is the judgment free zone at Planet Fitness?
Planet Fitness trademarked the phrase “judgment free zone,” so that alone should give you a sense of this gym’s major value: inclusivity for all people, regardless of their fitness levels. With that accessible attitude in mind, Planet Fitness tries particularly to target the 80% of the American and Canadian population who don’t have gym memberships.
How many Orangetheory studios are there?
Currently, the Orangetheory franchise has over 1,100 studios in 49 U.S. states and 22 countries internationally (they started in 2010, for some context about just how quickly they’re growing). As an Orangetheory franchisee, you’ll be responsible for a monthly royalty fee of 8% of gross sales.
What is the UFC gym?
Owning a UFC Gym means owning a portion of the fastest growing sport in the world—a truly future-proofed business proposition.
How much does a gym franchise make?
Conversely, a gym franchise might only make $100K a year if it’s a small gym in a small town.
How much royalty does a gym franchise have?
This cut is usually a fixed or a progressive fee on the gross profits, depending on the franchise. Most franchises have 5-10% royalty cuts, but some can be lower, and some are higher. If the franchise company uses a progressive scale, you’ll have to pay more as your gym gets successful.
What is franchising a gym?
Gym franchisors give you their business blueprints and show you how to build a fitness business from scratch. They’ll actively help you during the initial stages. This assistance is to help you develop a gym that meets their standards and to decrease your risk of failure.
What happens when you join a gym franchise?
When you join a franchise, you automatically become part of a more extensive network. Many franchises have hundreds of gyms throughout the country. The gym chain can put you in touch with other franchises in your state, which can give you insight into the local market and how to thrive there.
What is the most reputable gym brand?
Brands such as “Gold’s Gym” and “Planet Fitness” have a strong brand following, and these brands are the most reputable gym brands in the world. Fitness enthusiasts are actively looking for the branches of brand gyms in their city.
What is a fitness studio?
A fitness studio software is essential to manage and operate your gym. The franchise will provide you with the best in class gym management software and have the software set-up to manage and run your gym seamlessly.
How to get a gym license?
You’ll have to hire a lawyer to help you deal with the city administration and gain permits for the gym. The licenses issue at the local level and the mayor’s office can help you get a license for your gym as a commercial entity.
How much does it cost to franchise a gym?
The total upfront investment for a gym franchise can fall anywhere between $30,000 and $300,000, including the one-time franchise name fee (ranging from $15,000 to $30,000).
How much does it cost to start a gym franchise?
Besides the initial fee you'll pay to join the franchise, a gym requires a great deal of equipment, as well as a large commercial space.
What are the pros and cons of owning a gym?
Pros of owning a gym franchise 1 Brand recognition: Franchises are well-known brands with a history of success. This makes finding members a cinch—there's already a built-in customer base. Plus, the franchisor will likely handle marketing for the entire franchise. 2 Training and ongoing support: If you've never owned a business before, there will be lots of things to learn. With a franchise, you'll have the ongoing support of your franchisor to walk you through every step of the process. 3 Higher profits: Franchises typically see higher profits than non-franchise businesses, as there is a loyal customer base and formula for success. While the initial investment to open a gym franchise can be high, you'll likely turn a profit more quickly.
What is a FDD in franchising?
If you move along in the application process, the franchisor will share their franchise agreement, which includes the franchise disclosure document (FDD). Both you and your business attorney should review this document carefully, as it will lay out exactly what both you and the franchisor are responsible for over the course of your business relationship. If all looks good, you're ready to sign and officially join the franchise family.
What should be included in a gym franchise plan?
There are some key points you want to make sure your business plan hits, including a market analysis of competition in the area and the need that your gym franchise will fill that's currently not being filled by competitors. You should also include other information like expected costs, how many people you expect to hire, what your role in the franchise will be, financial projections about how long until you expect to turn a profit and more.
How many hours does a gym open?
Remember, gyms typically have long hours—some are open 24 hours a day—so they're open when their customers want to work out.
What is the best location for a gym?
An easily accessible and convenient location for your gym is crucial. For most gym-goers, close to home or work is best. As to figuring out what constitutes “convenient” for your target membership, it all starts with studying the data available to you.
How long is the franchise term?
Term of Agreement and Renewal: The length of the initial franchise term is 10 years. An additional 10-year term is available, if requirements are met.
How much does it cost to become a certified coach at World Gym?
Coaching certification fee of $99 for non-host World Gym attendees (i.e., attendees from another World Gym facility).
What is franchising training?
Training Overview: Franchisees (or their successor ), their designated operator or gym manager must satisfactorily complete the initial training program to the franchisor’s reasonable satisfaction before they open and begin operating their facility and as a condition for any renewal or transfer of the Franchise Agreement. The initial training program varies depending on whether the facility size qualifies franchisees to participate in the World Gym Athletics program and on their experience in operating a fitness center. Classroom training generally refers to direct training that is conducted by an instructor either on a personal, one-to-one basis or in an academic format, such as a lecture, workshop, seminar or tutorial, which generally follows a predetermined syllabus and that makes use of instructional materials. On-the-job training is typically hands-on training in which the trainee practices, in their facility or the franchisor’s designated training facility, the skills taught in a training program. Currently, the franchisor provides several mandatory, ongoing training and certification programs related to the World Gym Athletics program. In the future, the franchisor may offer additional training programs, which will be either voluntary or mandatory, as determined in its reasonable discretion. Franchisees and their designated employees must attend all mandatory training programs.
Who is the designated operator of a franchise?
Obligations and Restrictions: Either franchisees, if they are an individual, or another person they appoint, if they are a company, will serve as their designated operator. The designated operator has overall control of the facility and the ultimate responsibility for its operation. Franchisees must always employ a sufficient number of properly trained and qualified employees to operate the facility according to the franchisor’s standards. Franchisees may only offer to their members and the public those products and services the franchisor specifies in writing, as stated in the Franchise Agreement and its manual. If the franchisor designates a particular supplier as the sole source for goods or services franchisees use or sell in their facility, they may buy only from that supplier.
Does Franchise Direct sell your information?
Franchise Direct's reputation for integrity in the franchise industry has been established over our 20+ years in business. We NEVER sell your information or share it with anyone other than the companies from which you have requested information. Please view our privacy policy.
Does a franchisor have a protected territory?
Territory Granted: The franchisor does not grant franchisees an exclusive area or territory. The franchisor does provide franchisees with a protected territory. The franchisee’s approved location will be surrounded by a protected area described in the franchise agreement within which the franchisor agrees to refrain from licensing any franchised facility or operating a facility by the franchisor or by any of its affiliates. The protected area excludes all facilities and similar businesses located in special event locations, mobile units, hotels, airports, casinos, military installations, Indian reservations, apparel or sporting goods stores, or colleges and universities within the borders of the protected area. The protected area is typically defined as a circular area radiating from the facility that has a residential population of (1) approximately 100,000 people for facilities over 20,000 square feet, (2) approximately 50,000 people for facilities under 20,000 square feet, and (3) approximately 30,000 or less people for facilities under 10,000 square feet.
