So, here you are! Starting your adventure in the fitness industry, as an owner of your own gym. Without any fears for a business model or unknown brand.
Or maybe you are a gym franchise owner-to-be and you need to be sure if the idea is good enough to make a living?
In both cases, stay with us. In this article we are going to give you a detailed report on how much you can earn as a fitness franchise and tips on how to make it even better.
Key Takeaways
- There are many franchise gym chains in the USA and you can choose the best one for you, according to your needs and possibilities.
- There are some additional ideas helping you to earn more as a fitness franchise owner, if allowed in your contract, of course.
- You can help yourself in running a successful business by implementing a gym management system. One of the most recommended options on the market is WodGuru with its reasonable price and many useful features.
- For more information, check out our guide: how to open a gym franchise step-by step.
According to FitBiz, in 2024, the average yearly salary of a franchise owner in the USA fitness market is approximately $90,073.
This figure represents the typical earnings after accounting for expenses and varies based on factors such as location, gym size, and the competitive environment.
What Is Franchise in the Fitness Industry?
In the fitness industry, a franchise refers to a business model where an individual (the franchisee) purchases the rights to operate a gym or fitness center under the branding and operational guidelines of an established company (the franchisor).
This allows the franchisee to benefit from the franchisor’s recognized brand, proven business systems, marketing support, and often, ongoing training. In return, the franchisee usually pays an initial franchise fee and ongoing royalties based on revenue.
This model is popular in the fitness industry due to the strong brand recognition and business support provided by franchisors, which can help new gym owners attract members and run their businesses more efficiently.
What Are the Average Fitness Franchise Owner’s Earnings?
In 2024, the average annual earnings of a fitness franchise owner in the USA are approximately $90,073.
This figure can vary significantly based on factors such as location, gym type, and operational efficiency.
Some reports indicate that franchise owners earn between $65,000 and $75,000 after expenses, with the top earners making up to $399,000 annually.
Remember though, that you will be operating on a different money before you finally get the salary you dream of. Be prepared for both expenditures and earnings. Here’s a table letting you know about the operating costs and incomes of running a franchise gym:
Costs | Incomes |
Lease or Mortgage | Annual Membership Fees |
Staff Wages | Additional Services (e.g., personal trainers) |
Equipment Purchase / Equipment Maintenance | Merchandise Sales |
Utilities (Electricity, Water, etc.) | On-site Advertisement of other fitness related products |
Franchise Fees (Royalties, Marketing Expenses) | |
Insurance |
What Do Franchise Owner Incomes Depend On?
If you are planning to open a fitness franchise, consider these factors. Perhaps you are on the local market and you can choose a location where you will find more customers, offer them larger and luxurious rooms and locate in a place where there is not too much competition. All this will have a positive impact on your earnings and running a profitable business.
- Location: A gym’s location significantly affects its profitability. Gyms in urban areas with high foot traffic and affluent populations tend to earn more than those in less populated or lower-income areas.
- Competition: The level of local competition influences a franchise’s success. In highly competitive areas, standing out can be challenging, but successful gyms in these areas can achieve high earnings.
- Gym Size and Type: The size and type of gym (e.g., boutique, traditional, or specialized fitness studios) impact revenue potential. Larger gyms with more amenities can attract more members but also have higher operational costs.
- Business Expertise: The owner’s business acumen, including their ability to manage operations, market effectively, and control costs, plays a crucial role in determining income
. - Membership Pricing: The price structure for memberships and services offered can greatly influence revenue. High-end gyms with luxury services can charge more, leading to higher income
. - Operational Costs: Expenses such as rent, utilities, staff wages, and maintenance affect net income. Managing these costs efficiently is essential for profitability
. - The brand you choose and its initial and yearly fee: Let’s show as an example one of the most popular gym franchises:
The franchise fee for opening a Planet Fitness gym is typically $20,000. This fee grants you the right to use the Planet Fitness brand and access their established business model. In addition to this initial franchise fee, franchisees are required to pay ongoing royalties, which are generally a percentage of the gym’s monthly gross revenue, often around 7%.
Pros and Cons for Franchise Owners
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How to Earn More as a Gym Franchise Owner?
Although we said a moment ago that the creativity is a bit limited for fitness franchise owners, you may try to introduce your ideas, always taking into account the provisions of your contract, of course. This way, you can be appreciated by franchisors as an active and forward-thinking businessman.
New Elements in the Offer
If the contact allows it, think about introducing additional elements to the offer. If generally all fitness franchises under the XZY brand do not offer personal training sessions, stretching or yoga classes, you can stand out and attract more members.
Negotiate the Financial Projections
After a year or two of effective operation, you can boast about your successes and renegotiate the franchise agreement. Perhaps you will then be able to obtain better financial terms of cooperation than at the beginning of your business. It’s always worth a try!
Introduce a Fitness Franchise Management System
If you’re thinking about opening your own fitness franchise, plan to make your life easier right away. Check out the best gym management software available on the market and choose the option for yourself.
One of the most recommendable SaaS on the market is WodGuru. It serves as a comprehensive solution for managing all aspects of a fitness business, from: gym member management software, to marketing software for gyms, gym payment systems, and analytics thanks to gym reports, ultimately helping gym owners run more profitable and successful operations.
BONUS: Average Earnings in 10 Most Popular Franchise Gym Chains in the USA.
- Initial Fee: $100,000 – $300,000
- Monthly Fees: $500 – $1,000 (includes ongoing royalties)
- Average Earnings: $100,000 – $150,000 per year
Planet Fitness
- Initial Fee: $10,000 – $20,000
- Monthly Fees: $2,000 – $4,000 (includes ongoing royalties and marketing)
- Average Earnings: $200,000 – $300,000 per year
Orangetheory Fitness
- Initial Fee: $60,000 – $130,000
- Monthly Fees: $2,500 – $4,000 (includes ongoing royalties)
- Average Earnings: $150,000 – $200,000 per year
Gold’s Gym
- Initial Fee: $150,000 – $400,000
- Monthly Fees: $1,500 – $3,000 (includes ongoing royalties)
- Average Earnings: $200,000 – $250,000 per year
- Initial Fee: $49,500 – $73,500
- Monthly Fees: $1,000 – $1,500 (includes ongoing royalties)
- Average Earnings: $75,000 – $125,000 per year
F45 Training
- Initial Fee: $50,000 – $100,000
- Monthly Fees: $2,000 – $3,000 (includes ongoing royalties)
- Average Earnings: $120,000 – $180,000 per year
Club Pilates
- Initial Fee: $75,000 – $125,000
- Monthly Fees: $1,500 – $3,000 (includes ongoing royalties)
- Average Earnings: $100,000 – $150,000 per year
TITLE Boxing Club
- Initial Fee: $50,000 – $100,000
- Monthly Fees: $2,000 – $3,000 (includes ongoing royalties)
- Average Earnings: $100,000 – $160,000 per year
YMCA
- Initial Fee: Variable (often a non-profit model with fundraising requirements)
- Monthly Fees: Varies by location; typically includes membership dues and program fees
- Average Earnings: Generally not applicable, as YMCA operates on a non-profit basis
Pure Barre
- Initial Fee: $59,500 – $84,500
- Monthly Fees: $1,500 – $2,500 (includes ongoing royalties)
- Average Earnings: $70,000 – $120,000 per year
FAQ
- Pros: Established brand recognition, proven business model, and ongoing support from the franchisor.
- Cons: High initial investment, ongoing fees, and less control over business decisions compared to an independent gym.
If you’re willing to follow the franchise system and invest time and money, it can be a rewarding venture. Make sure to thoroughly research the franchise, understand the costs, and assess the local market demand before making a decision.
In most cases, the franchisee is responsible for selecting the location for their franchise. However, the franchisor may provide guidance, criteria, and assistance in the site selection process to ensure that the location meets the brand’s standards and has the potential for success.
Gym franchises have the potential to be profitable, but success depends on various factors such as location, market demand, competition, brand strength, management expertise, and operational efficiency.
Depending on the gym brand, location and scale opening a gym franchise may range from $50,000 to $250,000.
