Are you a fitness fanatic looking to turn your passion of building strength and endurance into a business? If so, opening a location for one of the many health and fitness franchises out there might be right for you! Unlike when you start a gym of your own, a gym franchise comes with the parent company’s brand awareness, customer base, proven business plan and marketing strategy, and support. They give you the foundation to run a successful business—you just need to build it up.
Before you start researching gym franchises for sale, it’s important to understand what, exactly, you’re getting into—and how much owning a gym will cost. In this blog, we’ll be discussing exactly that, along with some tips for finding the best gym franchise for your investment. Let’s get started!
Is Starting a Gym a Good Business?
Starting a gym can be a great business move—as long as you have the passion, dedication, and work ethic for it. As of 2022, the market size for all gym and fitness franchises in the U.S. reached $7 billion. That number has grown, on average, by 2.8% per year since 2017. And while 22% of gyms closed permanently during the COVID-19 pandemic, the industry is springing back as more people get back into a fitness routine. Should you choose to open a gym franchise of your own, you’ll be joining an ever-expanding market.
Other reasons opening a gym can be a smart business decision include:
- Multiple Revenue Streams: Depending on the gym franchise you open, you can make money on more than just membership fees. You can also turn a profit by selling merchandise, food, and drinks, as well as charging for personal training services, classes, or massages.
- Variety in Styles of Gym: Whether you want to open a big box gym or a boutique gym for cycling, rock climbing, yoga, or some other fitness style, you can find a franchise that fits your interests. You can start perusing the different types here.
- Discounts for Members. Some health insurance providers offer to pay part or all of a person’s gym membership fees to encourage healthier lifestyles. As insurance companies continue to offer this benefit to their policyholders, you can expect to see more people joining your gym who otherwise might not have.
How Much Does It Cost to Open a Gym Franchise?
When opening a gym, startup costs are typically between $30,000 and $300,000, according to NerdWallet. That amount includes the one-time franchise fee, which is the fee you pay to the parent company to own and run a business using their name. The fee typically costs somewhere between $20,000 and $50,000, according to the Small Business Administration. These startup costs vary due to several factors such as:
- Parent company
- Location
- Amount of franchisor support
- Demand
Some of the expenses that you might have on your gym expenses list include:
- Real estate and/or rent
- Supplies and equipment
- Staff training and wages
- Marketing campaigns
- Gym licenses and permits
- Royalty fees
- Utilities
The parent company will list all fees and expected startup costs in the franchise disclosure document (FDD). To get an early idea of what you can expect to pay for a particular franchise, visit FranchiseOpportunities.com!
Is Owning a Gym Franchise Profitable?
With the right tools, location, and work ethic, you can own a profitable gym franchise. In fact, at the time this blog was written, gym owners in the U.S. made, on average, $64,260 a year in base salary and $25,346 in additional salary for a total of $89,606. Your profit margins will vary depending on several factors, including:
- Demand in your area
- Amount of competition in your area
- Typical costs in your area
- Level of brand recognition
- The number of staff you must hire to keep operations running
- How skilled and experienced you are at running a business
If you think you’re up for the challenge, then start looking for a fitness franchise using FranchiseOpportunities.com today!
Find the Best Gym Franchise for Your Budget at FranchiseOpportunities.com
Whether you’re looking for a low-cost gym franchise, a highly profitable one, or something in between, you can find it at FranchiseOpportunities.com. Our directory of franchises makes it easy to sort opportunities based on location, investment level, and industry. To get you started on your search, here is a list of five of the most affordable fitness franchises on our website.
- OverTime Athletics: This franchise gives kids a place to stay active after school, over the summer, at birthday parties, or in leagues and clinics. OverTime Athletics partners with schools and organizations to teach kids how to play different sports.
Minimum Cash Required: $20,000
- StretchLab: This franchise offers assisted stretch services to help people of any age or fitness level to improve their range of motion and reduce their chances of injury.
Minimum Cash Required: $60,000
- GYMGUYZ: This franchise brings personal trainers to the comfort of clients’ homes. No more intimidation for clients, just results! Franchisees won’t need a brick and mortar location and can be up and running in just eight weeks.
Minimum Cash Required: $75,000
- StarCycle: This franchise focuses on the riders rather than screens and numbers to bring members an entire body workout. They provide childcare, encouragement, and community to all class attendees.
Minimum Cash Required: $80,000
- Rumble: This franchise is a boxing studio with a celebrity-backed fitness concept. It provides 45-minute long group classes with cardio and resistance training spread throughout ten circuits. Anyone is welcome to join, no matter their boxing experience.
Minimum Cash Required: $100,000
Still have questions about franchising? Visit our Resources page for more information, including a guide to buying a franchise, frequently asked questions, and more.