How Much Does It Cost To Open A Gym Franchise
- #1 – GymGuyz Image Source: GymGuyz Initial Investment required: $56,000 - $123,000 Locations: 194 ...
- #2 - Planet Fitness Initial Investment required: $970,000 to $4,300,000 Locations: 1600+ ...
- #3 - 9Round Image source: 9Round Initial investment required: $91,600 to $134,000 ...
- #4 – UFC Gym Initial investment required: $1 Million Locations: 135 ...
- #6 – Gold's Gym Initial investment required: : $2,218,250 to $5,000,500 ...
Full Answer
How much does it cost to open a gym franchise?
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.
What makes a successful gym franchise?
Good franchises have systems in place to receive feedback from members as well as do extensive research to help identify opportunities for delighting customers. This is makes a fitness club a true personalized experience.
What to consider before buying a franchise?
What to Consider Before Buying a Franchise
- Make Sure Your Family is On Board. Owning a franchise—or a business of any kind—is truly a family affair. ...
- Count Your Cash. ...
- Reach Out to Other Franchisees. ...
- Do Some Soul Searching. ...
- Test the Product. ...
- Understand What You’re Getting Into. ...
- Talk to a Franchise Consultant. ...
- Come Up With an Exit Strategy. ...
- Consult With Franchise Experts. ...
- Do Your Due Diligence. ...
How to open up a gym franchise?
Start a gym by following these 10 steps:
- Plan your Gym
- Form your Gym into a Legal Entity
- Register your Gym for Taxes
- Open a Business Bank Account & Credit Card
- Set up Accounting for your Gym
- Get the Necessary Permits & Licenses for your Gym
- Get Gym Insurance
- Define your Gym Brand
- Create your Gym Website
- Set up your Business Phone System
How much does it cost to own a gym franchise?
between $30,000 and $300,000The 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.
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 it cost to invest in a gym?
It can cost you anywhere from $8,000 for a studio to $50,000 for a large gym with all the equipment you could need. While investing in gym equipment make sure you look out for the best quality equipment so that you do not have to keep maintaining it.
How much does it cost to buy a Planet Fitness franchise?
Planet Fitness's franchise fee is $10,000 for a 10-year renewable agreement, though the total investment ranges from $700,000 to $3.8 Million. Franchisees must also pay a 5% ongoing royalty fee on all sales to Planet Fitness. To open a gym, a franchisee must have of $3 million with $1,500,000 in liquid assets.
Do small gyms make money?
Market research across the USA shows that a gym owner of a medium-sized gym could earn around $150,000 per year. The general setup costs for a medium-sized gym is around $100,000. But your profits for the first financial year could be as little as $50,000.
Is opening a gym a good investment?
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.
How much money do gyms make?
So, how much does a gym owner make? According to a report by ZipRecruiter, a Gym Owner in the USA can make anywhere from $17,000 to $187,500 per year depending on the above-mentioned factors. A good average would be $69,794 per year which makes $5,816 per month.
How can I open my own gym?
Start a gym by following these 10 steps:Plan your Gym.Form your Gym into a Legal Entity.Register your Gym for Taxes.Open a Business Bank Account & Credit Card.Set up Accounting for your Gym.Get the Necessary Permits & Licenses for your Gym.Get Gym Insurance.Define your Gym Brand.More items...•
How do you start a gym from scratch?
Step 1: Get trained and accredited. ... Step 2: Identify your fitness niche. ... Step 3: Find the location. ... Step 4: Figure out what additional staff and equipment you will need. ... Step 5: Get financed. ... Step 6: Market your gym.
What is the most profitable franchise?
Most Profitable FranchisesDunkin'7-Eleven.Planet Fitness.JAN-PRO.Taco Bell.Orangetheory Fitness.Great Clips.Mac Tools.More items...•
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 can I own a Starbucks franchise?
You can't. Starbucks Coffee doesn't franchise. Even though franchising is a classic, successful growth strategy for myriad beloved, familiar brands, Starbucks does not grant franchises. It's not because franchising isn't a time-tested model for growth.
What is the most profitable franchise?
Most Profitable FranchisesDunkin'7-Eleven.Planet Fitness.JAN-PRO.Taco Bell.Orangetheory Fitness.Great Clips.Mac Tools.More items...•
How much do Planet fitness franchise owners 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
Is owning an Anytime Fitness profitable?
How much do Anytime Fitness Franchises Make? The average revenue across the 1,103 Anytime Fitness centers that implemented the Training Suite for the year ending December 31, 2021, is below. The average Anytime Fitness reported $384,958 in annual revenue.
How can I get money to open a gym?
What gym financing options are available?Bank loan. One way to secure funding is by getting a business loan from the bank. ... Personal savings. ... Find a business partner. ... Pitch investors and lenders. ... Invest in a gym franchise. ... Fitness equipment financing. ... Monthly payments. ... Legal fees and insurance.More items...•
How much does it cost to start a jazzercise franchise?
Investment costs will vary depending on the company you choose. Franchises like Jazzercise have an initial fee as low as $1250. This number seems incredibly low because you don’t need an actual gym or equipment to start this particular franchise, as it relies primarily on the instructor qualifications.
How much does it cost to start a special strong gym?
Average startup costs for gym franchises range from $250,000 to $500,000, while Special Strong startup costs range from just $25,000 to $50,000.
How to find the best fit for a gym?
To find the best fit, make sure you are on par with the brand you choose and its values. Some gyms may prioritize certain things like a fun and inclusive brand culture, while others may highlight endurance and high-intensity workouts.
What to do when your clients are exercising?
WiFi and cable: Make sure your clients always have an option for entertainment while they are exercising!
Should gym employees be friendly?
Not only should your employees be friendly ; they should also be skilled, knowledgeable and supportive of the clientele. Gyms can be a vulnerable place for people, so kindness and encouragement goes a long way.
Do franchisees need proof of insurance?
Proof of insurance: All franchisees are required to attain and submit proof of insurance, including Special Strong.
Is a gym franchise a good investment?
Since gym franchises can be a large investment , it’s important to make sure your values are reflected in your business. Refer to the table below for several notable gym franchises, including some of the most popular companies, and their brand values:
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 start a gym franchise?
The total cost of a gym franchise varies by brand, but you should expect to pay anywhere from $45,000 to $330,000 to get started. Common starting costs include:
How much does a gym need to be for a security deposit?
Most commercial spaces require a security deposit of three months’ rent.
What gym equipment does my fitness center need?
As a gym owner, you’ll no doubt be well aware of the equipment needs of your business. The good news is that there are finance options available to help you purchase all the essential items that any successful gym needs, including:
What to do before investing in a franchise?
Before you invest in a franchise, do some research on the company. What are the opinions of people in online forums? There’s no point buying into a franchise that has a terrible reputation among consumers and former employees.
Is gym a franchise?
Bottom line. Gyms are a booming business across the US and can be a solid franchise option for people looking to get into the industry or expand their current options. The total investment cost vary, but you have a range of loan options available to help you fund your venture.
Is gym membership increasing during recession?
Gyms have seen a steady increase in membership — even during the recession. American’s interest in a healthy lifestyle has only continued to grow, resulting in a search for the place to work out. If you’re interested in starting your own business but aren’t sure how to find financing, a franchise can be a great place to start.
Can a lender extend a gym loan?
A lender wants to know that you’re capable of running a gym before extending a loan. You’ll have to meet a few basic qualifications in order to apply.
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 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 much does Planet Fitness franchise cost?
Planet Fitness has the franchise fee of up to $20,000, with total initial investment from $969,600.
How much money do you need to open a Planet Fitness franchise?
In order to open a Planet Fitness franchise, you must have a net worth of more than $3,000,000. Appreciate the investment required for a fitness club franchise. You will need to consider building and real estate costs, the cost of equipment and signs, the costs of licenses and permits, the cost of uniforms, the cost of insurance, etc.
What is a planet fitness franchise?
Planet Fitness franchise is one of the largest fitness US chains by a number of members and locations. They provide an affordable, high-quality fitness experience in a welcoming environment. Planet Fitness franchise opportunities are proven by 1,500 clubs successfully operating worldwide. If you are thinking about how to open a Planet Fitness ...
How much is the area development fee?
If you acquire rights under our Area Development program, you will pay an Area Development Fee equal to $10,000 per location to be developed under the Area Development Agreement when you sign the Area Development Agreement. The Area Development Fee is uniform and non-refundable. The Area Development Fee is in addition to the then-current Initial Franchise Fee due for each location at the time the Franchise Agreement for that location is executed.
Estimated Total Initial Investment
The total cost of opening a gym franchise varies on many factors, including size and location. When you partner with Workout Anytime, we estimate that you’ll spend approximately $449,800-$866,000 on your new business.
Initial Franchise Fee
To open a Workout Anytime franchise, you’ll pay a one-time franchise fee. Many investors wonder why they should go the franchise route when they’re expected to pay a franchise fee when they could simply open a business independently. The truth is that your initial franchise fee is your ticket to keeping other costs low.
Exercise Equipment
Of course, a key expense of opening a gym is exercise equipment. We estimate that our franchisees will spend at least $325,000 on the equipment they’ll need to keep their clients working out.
How often do you have a new member at Anytime Fitness?
A new member every minute - At Anytime Fitness, we have a new member join one of our clubs every minute of every day.
How many territories does Anytime Fitness have?
Largest presence of any fitness franchise - Anytime Fitness is the first franchise on all 7 continents, with over 4,700 territories sold and 4 million members worldwide.
How long is Anytime Fitness training?
With Anytime Fitness, the training never stops. Initially, we have a mandatory, two-week training course at our corporate office in Minnesota. Once the two-week training is complete, we provide daily or weekly assistance via the phone, onsite visits, email communications, and various publications. Assistance is available for as long as you need it. There is no additional cost for this valuable training and assistance.
How much liquid capital do you need to invest in a company?
Interested parties should have at least $100,000 in liquid capital to invest.
Is Anytime Fitness a business?
We offer a business and product that people need and enjoy, in an industry that continues to grow every year. With Anytime Fitness, you're in business for yourself, not by yourself.
