Cost to Open one Anytime Fitness Franchise – US $84,700
Table of Contents
| Company Type | Private |
|---|---|
| Industry | Fitness |
| Founded | 2002; 18 years ago |
| Founders | Chuck Runyon Dave Mortensen Jeff Klinger |
| Headquarters | Woodbury, Minnesota, United States |
| Number of locations | 4,520 (2019) |
| Revenue | US$1.45 billion |
| Website | anytimefitness.com |
| Anytime Fitness Franchise Cost | $84,700 |
| Franchise Royalty Fee | $499 |
Are you looking to start a fitness business by opening a Gym or a fitness centre? The best way to start in the Fitness business is by starting a Franchise of a popular Fitness centre or Gym. Anytime Fitness Franchise is a global brand and a fast-growing chain of Gyms across the world. In this post you’ll find complete details about the cost to open Anytime Fitness Franchise and complete details about the requirements to start your own franchise.
The cost to open one Anytime Fitness Franchise is approximately US $84,700.
Anytime Fitness is a fast-growing chain of gyms with a total of 4,520 locations around the world. The uniqueness of Anytime Fitness centers is that the clubs are open 24 hours and members can access the gym with a secure key card, even when there’s no staff at the gym.
Founded in 2001 by Chuck Runyon, Dave Mortensen, Jeff Klinger Anytime Fitness already has 4,500+ franchises worldwide and its headquarters is based in Woodbury, Minnesota, United States. Anytime Fitness was ranked the 10th best franchise in the country by Entrepreneur in 2016 on the Franchise 500 list. Anytime Fitness succeeded in the highly competitive Gym and Fitness industry because of its low operating costs compared to other gym franchises, as well and franchises in other industries. Anytime Fitness has made history as it opened a Gym in Antarctica in 2019, which made it the only Fitness company in the world to have presence in all the seven continents of the world.
Buying a Gym Franchise in a highly competitive fitness market has it’s own risks and downside so before investing, you should have a clear idea about the initial investments required to open Anytime Fitness Franchise and if it’s a business that you want to invest in. Below are the details about the cost of opening Anytime Fitness Franchise and other fees structure.
How much is Anytime Fitness Franchise Cost?
The franchisor is Anytime Fitness, LLC. Anytime Fitness has a fee and financial requirement structure that is similar to most other franchises, both in the gym industry and beyond. Franchisees must meet minimum net worth and liquid assets (i.e. cash) requirements to be considered. Once accepted, there is an initial franchise fee due upfront, then ongoing royalty and advertising fees.
Here’s the detailed breakdown of costs:
- Initial Franchise/Development Fee: $3,150 – $42,500
- Travel and Living Expenses While Training: $413 – $2,750.
- Interior Signs: $516 – $3,925.
- Outside Signs: $825 – $5,500.
- Miscellaneous Opening Costs: $609 – $6,428.
- Real Estate and Improvements: $20,706 – $207,130.
- Architect/Design Fees: $1,200 – $9,000.
- Fitness Equipment: $16,417 – $116,471.
- Technology Solutions (Equipment Package): $3,968 – $36,399.
- First Aid Equipment: $210 – $1,400.
- Pre-Sale/Grand Opening Advertising: $1,755 – $17,700.
- Insurance: $398 – $2,750.
- Supplies and Furniture: $675 – $4,500.
- Legal and Accounting Expenses: $500 – $4,500.
- Additional Funds – 3 months: $7,528 – $60,484.
- ESTIMATED TOTAL: $58,870 – $521,437.
Discounts are available is some circumstances, so it’s important to check with the company to see what is currently being offered. Franchise fee discounts are awarded to qualifying veterans.
Franchise Review and Cost
How much does it cost to buy an Anytime Fitness franchise?
The cost of buying Anytime Fitness Franchise runs between $46,299 and $321,899, depending on the size of the gym. The franchise owners pay a flat fee of $499 to Anytime Fitness as a royalty.
The Table below shows a Breakdown of Cost to Buy an Anytime Fitness Franchise
| Name of Fee | Low | High |
|---|---|---|
| Initial Franchise/ Development Fee | $3,150 | $42,500 |
| Travel and Living Expenses While Training | $413 | $2,750 |
| Real Estate and Improvements | $20,706 | $207,130 |
| Architect/Design Fees | $1,200 | $9,000 |
| Fitness Equipment | $16,417 | $116,471 |
| Technology Solutions (Equipment Package) | $3,968 | $36,399 |
| First Aid Equipment | $210 | $1,400 |
| Interior Signs | $516 | $3,925 |
| Outside Signs | $825 | $5,500 |
| Miscellaneous Opening Costs | $609 | $6,428 |
| Pre-Sale/Grand Opening Advertising | $1,755 | $17,700 |
| Insurance | $398 | $2,750 |
| Supplies and Furniture | $675 | $4,500 |
| Legal and Accounting Expenses | $500 | $4,500 |
| Additional Funds – 3 months | $7,528 | $60,484 |
| ESTIMATED TOTAL | $58,870 | $521,437 |
Other Costs and Fee Apart from the Initial cost of buying Anytime Fitness Franchise include:
- Currently:1-3 centers: $699 per center.
- 4-9 centers: $699 per center.
- 10+ centers: $649 per center.
- General Advertising Fee: Currently, $600 per month, beginning when franchisees open their center; $300 per month for an Anytime Fitness Express center.
- $449 per month for Anytime Fitness Express centers.
- The franchisor reserves the right to periodically increase this fee.
- Grand Opening and Ramp Up Program: $11,000 to $23,000 for an Anytime Fitness center; no minimum for an Anytime Fitness Express center.
Base Technology Fee (formerly, Global Access Fee)
- Currently:1-3 centers: $799 per center.
- 4-9 centers: $649 per center.
- 10+ centers: $599 per center.
- $720 per month for Anytime Fitness Express centers. The franchisor reserves the right to periodically increase this fee.
- Construction Document Review Fee: $2,700.
- Training Suite Registration Fee: Currently, $250 per person.
- On-Site Training Suite Registration Fee: $6,000 for one owner, with up to a total of 21 attendees. $4,500 per owner for two owners, with up to a total of 21 attendees. $3,500 per owner for three owners, with up to a total of 21 attendees.
- On-Site Training Cancellation Fees: The then-current fee, which may vary based upon the type of scheduled training and how far in advance the franchisee cancels the training.
- Training Suite Fees – Currently:1-3 centers: $149 per center. 4-9 centers: $109 per center. 10+ centers: $109 per center. for the first 9 centers, and $0 for each additional center thereafter. The franchisor reserves the right to periodically increase this fee; however, the franchisor will not increase this fee to more than $300 per center per month.
- No Show Fees Currently, $500, or the actual costs of rescheduling travel, whichever is greater.
- Healthy Contributions Reimbursement Program – Initial Fees: Currently, no cost for set-up of the first Reimbursement Program, and $20 for each additional Reimbursement Program. Also, currently, $1.50 initial member fee for each member the franchisee enrolls on the Healthy Contributions website, and $3 for each member enrolled by Healthy Contributions.
- Healthy Contributions Reimbursement Program – Ongoing Fees: Currently $5 per Reimbursement Program per month, and a transaction fee of $0.15 per reimbursement if sent directly to the member or to the franchisee and $0.30 if the franchisee applies it to the member’s fees.
- Charitable Contribution: $100 per month.
- Inspection Fee Generally: $50-$100
- Participation Fee: Up to $1,200 for each year the franchisee fails to complete 1,200 continuing education credits (CEC), as outlined in the Operations Manual.
- Customer Service Webinar: Currently, $250
- Peer Compliance Default Fee: Up to $1,000 per violation.
- Standard Default Fee: Up to $250 per violation.
- Additional Assistance: Currently, $500 per day plus travel costs.
- Marketing Materials: Variable, but currently at the franchisor’s cost plus shipping.
- Conference Fee: Currently, $439 for early registration increasing to $659 at the Conference.
- Renewal Fee: $4,500, reduced to $4,000 if the franchisor receives the fee, and all the franchisee’s signed renewal documents, at least 30 days before the franchise expires.
- Transfer Fee: $7,500 – $12,000
- Relocation Fee: $1,500
- Liquidated Damages: $10,000
- Insurance/Bond Handling Fees: Currently, $100
- Costs and Attorneys’ Fees: Will vary under circumstances.
- Interest: The lesser of 1.5percent per month or the maximum rate allowable by applicable law.
- Lease Renegotiation Program: 5percent of any lease savings the franchisor achieves for the franchisee.
- Club Enhancement Program: $500 per month.
- Digital Marketing Program: Currently, fees are the actual costs of media purchases, subject to a minimum of $350 per month plus an administrative charge of 20percent, plus an initial set up fee, currently, $300. A three-month initial commitment is required.
- Local Marketing Spend: $600, $800 or $1,000 per month, depending on the franchisee’s market tier; no minimum for an Anytime Fitness Express center.
- Indemnification: Will vary under circumstances.
- Re-sale Assistance Program: $549, plus $79 per month until the business is sold or the franchisee decides to terminate his or her participation in the program. The franchisee also pays a commission of up to 5percent of the sale price, depending on the amount of the sale price.
Revenue and Profits
On average, Anytime Fitness franchise generates a yearly revenue of $421,800, and the average yearly profit is $114,611 for Anytime Fitness Franchise owner. Anytime Fitness Revenues and profits vary from franchise to franchise depending on the location and membership fee that customers pay. Company provides assistance in setting the appropriate membership prices according to the local economy and median income of the people.
In addition to membership fees, franchisees have opportunities to create additional revenue streams by offering certified personal training, tanning and vending. The company will assist with these decisions as well.
Steps on How to Open Anytime Fitness Franchise
The initial investment to open Anytime Fitness franchise is large but the amount of yearly profit that a Franchise owner makes on average $114,611, it looks like buying Anytime Fitness Franchise is worth.
Once you’re determined that you want to open Anytime Fitness Franchise and you can meet minimum financial requirements to become a franchise owner, it is time to complete the request information form on the company’s website and submit it. Company’s representatives will then be in touch with you to move forward.
1. Company’s Financial Team will review your financial status and Liquid assets and if you are approved then you become a qualified applicant for Anytime Fitness Franchise. You will then be contacted by a member of the company’s New Business Development Team who will guide you further to complete the process of owning a Franchise. Completing the required steps does not guarantee acceptance into the Anytime Fitness, LLC franchising system as there other steps that need to be fulfilled by the prospective franchise owner such as permission from the local authorities to open a Gym at the chosen location, submitting a Business plan and personal financial statements .
2. A franchise owner has to provide, company & Personal Financial Statements, Store Income Statements—(P&L) (Latest Annual & Interim). Business Operating Plan, Resume/Brief Biography
3. Before Anytime Fitness can enter into a Development Agreement with the prospective franchise owner, Anytime Fitness may be required to complete certain registration and disclosure processes as required by the local authorities where a Franchise is planned for opening.
4. Once all the legal and financial formalities are completed by Anytime Fitness, company will enter into a Development Agreement with the Franchise owner and assist the owner in the development of the Franchise.
We hope the above information will help you figure out whether it’s worth investing in an Anytime Fitness Franchise or not. We’ve also provided a detailed guide to open Anytime Fitness Franchise along with initial investment costs and fees to help you better understand the cost structure of opening a Franchise.
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