As an Orangetheory franchisee, youll be responsible for a monthly royalty fee of 8% of gross sales. "[20] In 2003, Planet Fitness opened its first franchised location in Florida, with Eric Dore and Shane McGuiness. The initial Planet Fitness Franchise Fee is $20,000. Thats why we put together this complete mailing/telemarketing list containing contact the names, phone numbers and physical addresses of business owners in the franchise system and certain former franchise operators. The biggest expenses in the additional costs section are leasehold improvements and construction costs which vary greatly from $1,250,000 to $2,163,000. To be eligible to open a. , candidates must have at least $1 million in net worth and access to $300,000 to $400,000 in liquid assets. 4 Liberty Ln. But buying into a gym franchise is a less risky venture than building a gym from the ground up. And in 2019, gym franchises specifically contributed $4 billion to the $34 billion gym, health, and fitness industry. Please scroll down for a partial list of franchise businesses. - In Mexican currency, the investment comes around Peso 20,19 million to Peso 88,33 million. Plus, the outlook for gym franchises is bright: According to a report by IBISWorld, the health and wellness boom over the past few years has led to a sizable increase in gym membership levels, which continues to grow. Crunch isnt quite as widespread as Planet Fitnesscurrently, they have 300+ open locations in 29 states and five countriesbut with plans to open an additional 1,000+ locations, theyre growing quickly. For example, this includes replacing your cardio equipment every 5 years and replacing your non-cardio equipment every 7 years. [61], In January 2020, Planet Fitness partnered with The Biggest Loser to be the official sponsor of the show's 2020 reboot.[62]. Paid by you to advertisers or Planet Fitness if it elects to collect from you. He joined the Company as General Counsel in 2014 and played a critical role in the Companys initial public offering in August of 2015, and has since overseen all public company, corporate governance and franchising matters as a key member of the companys leadership team. And in 2019, gym franchises specifically contributed $4 billion to the $34 billion gym, health, and fitness industry. Overall, Planet Fitness is making a decent amount of profit, and we also see that the profit chart . Ms. Kaplan has over 20 years of experience, most recently serving as Global Marketing Operations Advisor for Advent International, a global private equity firm. The Planet Fitness initial franchise fee is $20,000. Pre-qualified offers are not binding. The gym utilizes a "lunk alarm", which is a loud siren and rotating light that is used when a gymgoer grunts too loudly or drops weights. Planet Fitness estimates the total costs to re-equip your facility with both cardio equipment and all other exercise equipment will range from $314,000 to $922,000 every 5 to 7 years. The number of fitness franchise locations has been steadily increasing to a total of about 2,039. . Under Rondeaus leadership, Planet Fitness has experienced tremendous growth and has been recognized for many accolades including, Entrepreneur Franchise 500 Fastest Growing Franchise List, Franchise Times Top 200, Forbes Americas Best Franchises, Newsweek Best Customer Service, and Best Places to Work in New Hampshire. Pre-qualified offers are not binding. Crunch isnt quite as widespread as Planet Fitnesscurrently, they have 300+ open locations in 29 states and five countriesbut with plans to open an additional 1,000+ locations, theyre growing quickly. This investment is much higher than the industry standard of $253,000. Brand fund contributions (aka advertising fees) are 2% of monthly gross sales, though they may be increased to 3%. The franchise has since modernized their routines and worked Pilates, yoga, hip hop, kickboxing, and strength training into their classes, which they claim can burn up to 800 calories in one hour. Paul Barber joined Planet Fitness in October 2022 as the Companys Chief Information Officer. service, Computer System. Planet Fitness franchise opportunities are proven by 1,500 clubs successfully operating worldwide. Ms. Gentilozzi is a certified Senior Professional in Human Resources (SPHR). [28] It ranked in the top 50 of Entrepreneur magazine's Franchise 500 in 2017. The graph below and the table that accompanies it depicts the total return to shareholders between 2015 and 2021 on Planet Fitness class A common stock relative to the performance of the S&P 500 Index and the Russell 2000. And with an incredibly low initial franchise fee and upfront investment, Jazzercise is one of the best low-cost franchises youll find, especially within the health and fitness industry. This metric is the standard industry investment amount for a single unit franchise investment in this industry. This could be an indicator that franchisees are doing really well. Planet Fitness growth continued over the next decade and in 2013, TSG Consumer Partners, LLC became an equity partner in the Planet Fitness franchise. SVP Communications and Corporate Social Responsibility, General Counsel and SVP, International Division. To be eligible to open a Crunch Fitness franchise, candidates must have at least $1 million in net worth and access to $300,000 to $400,000 in liquid assets. has over 8,900 franchises across the country. [44][37] In 2016, over 90% of Planet Fitness locations were opened by existing franchise owners. This influences which products we write about and where and how the product appears on a page. [54][55] Also in 2016, the company donated more than $1 million to the program. The Fitness Center industry has over 111,000 businesses with a market size of $34 billion, and it supports over 800,000 jobs. Franchisees must also pay a 5% ongoing royalty fee on all sales to Planet Fitness. Your Royalty payment is currently based on the total gross monthly and annual membership fees for the, You must maintain your equipment according to, Your actual costs may be higher or lower depending on the size of your, You must maintain the franchise premises according to, Franchise Disclosure Document (FDD) Database, Your Lender; Approved Suppliers; Our Affiliate, Paid to various media companies and other third parties to promote the opening of your business, Computer System, Point of Sale System, and other Supplies, Utilities, banks/credit card companies, leased equipment vendors, alarm company, telephone company, Your Out-of-Pocket Initial Training Expenses. Royalty fees are 7% of the total gross monthly and annual membership fees, and advertising fees vary. So long as you are not decided on the fitness industry, we recommend you have a look at other offerings. If you are an individual with a passion for fitness and are willing to invest an amount ranging from $657,542 $2,105,322 or more, Orange Theory might be the right fit for you. Even though its smaller than Pure Barre. And with an incredibly low initial franchise fee and upfront investment, Jazzercise is one of the best low-cost franchises youll find, especially within the health and fitness industry. West Hampton, NH 03842, USA, Interested? An offshoot of the (purportedly) $7 billion UFC brand, UFC Gyms offer MMA-inspired personal and specialized training, traditional and fusion martial arts classes, and youth fitness classes. We offer the most complete and most accurate mailing/telemarketing list for Planet Fitness franchise owners. The franchise has locations in the United States, Canada, Dominican Republic, Panama, Mexico, and Australia. As a franchise owner, youll benefit from a proven business model, brand recognition, existing customer base, vendor network, and robust franchisee support system. Estimated total initial investment: $304,500 to $2.1 million. Pure Barre has over 500 open locations across North America with tons of available studio markets in the U.S. Mind that the franchise requirements for sale could be different depending on the format and scope of business. The Area Development Fee is uniform and non-refundable. Prior to joining the Company, Mr. ODonnell most recently served as Vice President of Finance and Chief Accounting Officer at Sonus Networks. "[21] Planet Fitness has been criticized for prohibiting certain weightlifting exercisessuch as deadlifts and clean-and-jerksthat many experts believe are highly effective. 4. 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. At Yum! [16] Planet Fitness became known as the "Judgement Free Zone", aimed more at the average user than the bodybuilder type of fitness enthusiast. Franchising began one year later, and today Orange Theory studios can be found in 18 countries, and across 49 states. The name came from his daughter's school project, "Fitness Planet". The owner of the franchise (the franchisee) is expected to be involved in all aspects of day-to-day operations. In this role, she oversees general HR operations, talent acquisition, leadership development, business partner support, culture and employee engagement, benefits and compensation. However, this ultra-famous franchise is the most expensive on this list, with an estimated upfront investment potentially reaching over $5 million. For those looking to get started with a Planet Fitness franchise, it's important to factor in all of these costs so that you have a clear understanding of the total investment required. Initial investments: $969,600 - $4,242,500 Net Worth Requirement: $3,000,000 Liquid Cash Requirement: $1,500,000 Estimated Initial Investment Initial term lengths last 10 years. The fitness center industry has grown with the rise in disposable income and demand for a more health-conscious lifestyle among millennials. And while our site doesnt feature every company or financial product available on the market, were proud that the guidance we offer, the information we provide and the tools we create are objective, independent, straightforward and free. [27], In February 2016, the franchise was added to the Franchise Times' "Fast and Serious" list of top franchises (No. Paid Grace Period. Greater of $15,000 or 7% of the total gross quarterly EFT Dues Draft, Expended quarterly according to our Methods of Operations as per your advertising budget, Varies, maximum of 9% total gross monthly EFT Dues Draft, Our actual costs, which may range from $3,000 to $15,000. Thats why we put together this complete mailing/telemarketing list containing contact the names, phone numbers and physical addresses of business owners in the franchise system and certain former franchise operators. We got you! Prior to joining Planet Fitness, Mr. Vartanian was a corporate attorney at Devine Millimet. Sorry. Gym franchises dont get much more classic than Jazzercise, the high-intensity, dance-cardio fusion class that became a fitness mainstay during the 80s exercise boom. Initial term lengths last 10 years. Like Planet Fitness, Crunch Fitness prides themselves on creating an environment free of judgment (they actually trademarked the phrase No Judgments). On this Wikipedia the language links are at the top of the page across from the article title. -In thousands and rounded; represents electronic funds presented for draft for the 12 months of calendar year 2019 and 2020, respectively. Planet Fitness Franchise Owners' Salary Your gross monthly take is based on your memberships, which range from $10 to $25 per month for the franchise. Initial Franchise Fee: $20,000 The difficult part of this step of the franchise buying due diligence process lies in obtaining a current list of Planet Fitness franchise owners. Anytime Fitness also prides themselves on engendering a supportive environment for members and they prioritize employee wellness. Call (888) 977-4374. This may influence which products we review and write about (and where those products appear on the site), but it in no way affects our recommendations or advice, which are grounded in thousands of hours of research. Office Depot, Planet Fitness, Roto Rooter, Starbucks, Taco Bell, Travelers, and United Health Group. We reviewed the larger franchise industry as well as selling price multiples for larger systems where more transaction data is available. All told, their gyms boast over 14 million members worldwide. She is based in Santa Monica, California. If you can name a franchise business, it's probably on our Franchise owners marketing list. Classroom Training: 80 hours Considering its massive brand recognition, the initial investment required to open a UFC Gym franchise is relatively low. As an Orangetheory franchisee, youll be responsible for a monthly royalty fee of 8% of gross sales. [6], In 1992, Planet Fitness founders, Michael and Marc Grondahl acquired a struggling Gold's Gym franchise in Dover, New Hampshire. Mr. Rondeau also received an honorary doctorate degree from Philadelphia University and received the Universitys honorary innovation medal. By becoming a franchise owner, you can benefit from a proven business model, existing customer base, and franchisee support system. Even though the history of barre dates back to 1959, when the discipline was created by former ballerina Lotte Berk, the ballet/Pilates/yoga hybrid saw a huge boom in the 2010s. Earlier in her career, Ms. Kaplan held several digital and marketing leadership roles at global brands including American Express and Citi, Inc. She serves as an independent member of the Fiesta Restaurant Group Board of Directors, as well as the Massachusetts Innovation & Technology Exchange (MITX). Orangetheory claims to be one of the fastest-growing franchises in the world, and theyre ranked 60th in Inc. Magazines Fastest Growing Private Companies List. [15], Rondeau and the Grondahls recognized that there was a greater opportunity to serve a much larger segment of the population if they changed the gym environment, both in attitude and format, by creating a non-intimidating, low-cost model. Franchising Since: 2000. 3- Based on a midpoint investment of $3,273,300 with estimated profits of $831,881 at a 15% profit margin, it would take about 14 years to recoup your investment. ? But perhaps most important to this process is interviewing current franchisees. Your Royalty payment is currently based on the total gross monthly and annual membership fees for the Planet Fitness business that are due and payable to you each month and annually, as applicable, by or on behalf of your members through authorized EFT withdrawals (the EFT Dues Draft), regardless of the amount of membership fees you collect. Net Worth Requirement: $3,000,000 With that in mind, Planet Fitness franchisees will need to pay for that international brand recognitionopening a Planet Fitness franchise may cost over $4 million. [32][33], Planet Fitness started franchising units in 2003. Pure to Joseph Pilates' original Reformer-based Contrology Method, but modernized with group read more. As a franchisee, youll be required to pay 6% in royalty fees and 2% in marketing fees. Founded in 1992 in Dover, NH, Planet Fitness is one of the largest and fastest-growing gym franchises in the United States. Additionally, he held several leadership positions at Liz Claiborne, was Chief Financial Officer at Burlington Coat Factory, and served as Chief Operating Officer of Bath & Body Works. Even after the pandemic hit, it continued to grow at a rate of over 100 units. Fitness franchises are currently booming with the largest franchises globally being Anytime Fitness and Planet Fitness. We offer detailed franchise research and contact data reports. Do not sell or share my personal information. Orange Theory Franchise was founded in Boca Raton, Florida in 2009. | United PF Partners, the largest Planet Fitness franchisee, has acquired a 19-club Planet Fitness franchisee in the Phoenix market, the company announced. Upon your submission of your Construction Development Plans for our approval, Point of Sale Support, Processing and Account Management Services Fees, $149-$199 plus processing and credit card fees based on the number of transactions processed per month or number of eligible accounts enrolled in collections. United PF Partners, the largest Planet Fitness franchisee, has acquired a 19-club Planet Fitness franchisee in the Phoenix market, the company announced. [5] It markets itself as a "Judgement Free Zone" that caters to novice and casual gym users, and has faced both praise and criticism for its atmosphere. Point of Sale System, and other Supplies, Your Out-of-Pocket Initial Training Expenses, Operating Cash (Additional Funds Pre-Opening and first six months), $7% of the total gross monthly and annual membership fees payable to you via EFT Dues Draft, Internet Membership and Balance Payment Administration Fee, Set according to our Methods of Operations, presently 55 per membership application or balance payment we process for your franchise location, Fees to Evaluate and Approve Alternative Suppliers, Our reasonable costs and expenses, which currently are expected to range between $1,000 and $5,000, although costs could greatly exceed those amounts depending on the product, Will var under the circumstances: estimated insurance premiums for your first year are $10,000 to $20,000. Mr. Hymes has over 30 years of experience leading domestic and international retail, franchise, and e-commerce businesses for global companies, most recently serving as the President and Chief Executive Officer of Jiffy Lube International. In 1992, Planet Fitness founders, Michael and Marc Grondahl acquired a struggling Gold's Gym franchise in Dover, New Hampshire. Both within the fitness industry and American culture at large, Golds Gym has become legendary for their famous members (including Arnold Schwarzenegger) and their status as the mecca of bodybuilding. Since their founding by a Merchant Marine veteran in 1965, the Los Angeles-based gym has opened over 700 gyms in 29 states and 29 countries, and their international membership is 3 million devotees strong. Except for signage, Planet Fitness will not require substantial remodeling more often than every 5 years during the term of the Franchise Agreement. The second Toronto location opened in early 2015. Gathering all available information about each potential franchise will help you land on the gym that not only works for you financially, but that also resonates with your lifestyle and values. Planet Fitness Fitness clubs 2023 Franchise 500 Rank #28 Ranked #7 last year See the Full List Initial investment $1.6M - $4.9M Units as of 2022 2,324 25.0% over 3 years Jump to Franchising. We started our business in 1992 and refined our brand for a decade or so before franchising in 2003. She has also held editing roles at LearnVest, a personal finance startup, and its parent company, Northwestern Mutual. You may need additional operating capital, or you may need it for a longer period of time. Mr. ODonnell holds a CPA and received his Bachelors degree in Accounting from Assumption College in Massachusetts. was founded in 1992 by Marc and Michael Grondahl in Dover, New Hampshire. In this role, he is responsible for all aspects of financial strategy and management. Brian ODonnell joined Planet Fitness in February 2016 and currently serves as VP, Chief Accounting Officer. Prior to that, he served as the Director and General Manager of internet startup Kozmo, where he was responsible for new market development and operations. He began working at Shell in 2001, holding broad and diverse roles including strategy, business development, project management, and deal delivery. ), and that attitude trickles down into their culturethey genuinely want people to have fun while they work out. - In currency of the United Kingdom, the investment comes around 694,900 to 3,040,600. This article originally appeared on JustBusiness, a subsidiary of NerdWallet. Both of these fitness companies, while they differ in business models, use your own fitness data and others to create a competitive atmosphere. To open a gym, a franchisee must have a net worth of $3 million with a minimum of $1,500,000 in liquid assets. An individual planet fitness franchise owner can make around $513,00 to $5,554,000 annually. In 2020, he joined the International Franchise Association (IFA) Board of Directors; board members are drawn from a world-class set of franchise brands. Even more reason to consider investing in a gym franchise? Planet Fitness Franchise Cost The estimated total investment necessary to begin the operation of a Planet Fitness Franchise ranges from $1,625,600 - $4,921,000. Use this opportunity to ask qualitative questions that you wouldnt necessarily have answered through the FDD, or from the franchisors marketing materialslike how happy they are with the initial training and ongoing support they receive, and their opinions about the overall outlook of the business. 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 theyre growing). Please renew to keep using our services. That said, all of the gym franchises on this list (and those that arent on this list) allow curious investors to request more information for free. Initial franchise fee: $30,000 to $50,000, Estimated total initial investment: $100,000 to $2 million. Ms. Medeiros has been instrumental in developing and refining Planet Fitness marketing strategy and differentiated Judgement Free positioning in the fitness industry. Follow along as PF Trainer Teddy teaches you the basics of fitness, right in the comfort of your own home. The graph includes a comparison against the Russell because there is no industry benchmark or line-of-business index for the fitness industry or a peer group that is publicly traded. industry. Christine Aebischer is an assistant assigning editor on the small-business team at NerdWallet who has covered business and personal finance for nearly a decade. All initial fees are the same for both initial and conversion franchises. LearningRx Franchise Corporation 5085 List Drive, #200 Colorado Springs, CO 80919 Phone: (719) 264-8808 Liz Anderson . "[30] They stated that they were unable to stop the pre-scheduled payments on short notice, but would not charge future monthly dues until they reopen, and would also provide a credit for closed days previously paid for. Royalty fees are 7% of the total gross monthly and annual membership fees, and advertising fees vary. The $10 per month level includes access to cardio and strength equipment, unlimited group fitness instruction and pizza and bagels once a month; the $24.99 per month ("Black Card") level allows members to bring one guest per day at no charge, access to all Planet Fitness locations, and access to extra amenities, such as tanning booths, massage chairs, red light therapy and water massage beds. Kick off your search with this list of nine of the most promising gym franchises to buy. [22] In 2010, Men's Health magazine called Planet Fitness "the worst gym in America. [31], While Planet Fitness closed many facilities during the onset of the COVID pandemic, during the Delta and Omicron variants there was not a decrease in gym attendance. Bode was also responsible for U.S brand compliance and business development along with leadership positions overseeing training, store development, marketing, and franchising. Building in competition to workouts enhances ones motivation and keeps consumers coming back. [47] The contestants on the show worked out on Planet Fitness equipment and then at Planet Fitness gyms near their homes, working with Planet Fitness instructors. [13] The new model was an effort to provide a fitness hub for everyday people. Prior to joining Dunkin' Brands, he was a Dunkin' Donuts franchisee in Richmond, VA. Tom Fitzgerald joined Planet Fitness in 2020 as the Companys Chief Financial Officer. Currently, the Planet Fitness franchise has 1,800+ open locations across all 50 states, along with Canada, Latin America, and Australia. According to their website, Pure Barre is the oldest and most established barre studio out there. They eventually closed that original location, opened a gym called Coastal Fitness and brought on a third partner, current CEO Chris Rondeau. [4], In October 2011, Planet Fitness reached an agreement with NBC to sponsor the network's reality show The Biggest Loser beginning with the 2012 season. Estimated total initial investment: $58,870 to $521,437. [39][29][40], In December 2014, Planet Fitness opened its first international location in Toronto, Ontario, Canada. Planet Fitness (PFIP LLC) is an American franchisor and operator of fitness centers based in Hampton, New Hampshire. Orange Theorys success is quite similar to Pelotons rise to fame. Planet Fitness Independent Franchisee Council Join Us Today! Order now to get instant access to the complete Planet Fitness franchise owners. Its the easiest way to get honest reviews from franchisees that have already invested in the franchise opportunities youre considering buying. The franchise has locations in the United States, Canada, Dominican Republic, Panama, Mexico, and Australia. Even more reason to consider investing in a gym franchise? Robert Beaupre leads the SMB team at NerdWallet. 2% of the total gross monthly EFT Dues Draft. The total investment to open a Planet Fitness gym ranges from $728,290 - $3,777,800. The highest Planet Fitness franchise made over 3 million dollars in revenue, whereas the lowest earning one made $165,000. Orange Theory was ranked 49th in the franchise 500 rankings according to entrepreneur.com. 6.4 miles away from Planet Fitness. process lies in obtaining a current list of Planet Fitness franchise owners. The Grondahls had acquired a struggling Golds Gym franchise and closed it in 1993. The fitness center industry is mainly divided into two groups, either a specialized fitness boutique or a full-scale gym with multiple amenities and services. Depending on the location and pre-existing structure that is being purchased, you could see your expenditure being on the lower or higher end of this spectrum. Initial franchise fee: $32,000 to $40,000, Estimated total initial investment: $2.2 million to $5 million. Planet Fitness franchisees also compete against other smaller gym and fitness business locations. After a few years of growth, Planet Fitness started franchising in 2003 with the first franchised gym opened in Florida.