Growth Club
1851 Growth Club
Comparing Franchise Brands in the Fitness and Health & Wellness Industry
Breaking down the number of locations and FDD Items 7 and 19 for some of today’s leading brands in the fitness and health and wellness space.
According to the 2019 Fitness Industry Market Report, the U.S. is the world’s largest health and wellness market, with 38,477 clubs and an annual growth rate of 3.6%. Industry revenue is growing at a slightly higher rate of 6.1% and is currently estimated at $30 billion.
Through their franchise disclosure documents (FDDs), the brands will be broken down for potential owners vetting their options. We’ve broken down the FDD details for 10 major franchisors to showcase today’s health, wellness and fitness landscape.
Locations: 1,200-plus
Item 7: $563,529 to $999,121
Item 19: Not available
Orangetheory Fitness is one of the fastest-growing brands worldwide, with more than 1,200 studios opened in just eight years of existence—including 269 opened in 2018 alone. The fitness brand was ranked No. 25 in Entrepreneur Magazine’s annual Franchise 500 and has been featured in The New York Times, SHAPE, Inc., Bloomberg Businessweek and Men’s Journal. With a presence in 49 states and 22 countries, Orangetheory Fitness continues to pursue growth through multi-unit development deals nationwide.
Locations: 150-plus
Item 7: $449,800 to $866,000
Item 19: Not available
Workout Anytime is a fast-growing health club franchise in the industry with 150 locations open and many under development in 19 states. Since opening its first location in Atlanta in 1999, the brand has continued growing steadily, with a continuity rate of 99.4%. With a low initial investment and multi-unit opportunities, Workout Anytime provides its franchise partners with ample opportunities to scale their business. The franchisor was ranked No. 263 in Entrepreneur Magazine’s 2019 Franchise 500.
Locations: 208
Item 7: $148,830 to $353,150
Item 19: Average gross annual revenue of $460,700
Ranked No. 31 on Entrepreneur Magazine’s 2019 Franchise 500 list and named among this year’s fastest-growing franchises, Burn Boot Camp recently opened its 200th location and has plans for major national expansion through 2022. Despite being sold out in a handful of states including North and South Carolina, Burn Boot Camp has availability in prime territories across more than 36 states. The brand requires prospective franchisees to have a net worth of $300,000 and $150,000 in liquid capital.
Locations: 20-plus
Item 7: $425,000 to $870,500
Item 19: Not available
Opening the door to franchise opportunities in 2018, budding industry player Regymen Fitness is gearing its development efforts toward growing concentrically throughout the Southeastern U.S. from its Baton Rouge, Louisiana base. The brand is seeking qualified franchisees in nine different markets, including the greater Atlanta area. The fitness company requires a $500,000 net worth and $250,000 in liquid assets, and offers a 20% discount on its franchise fee to veterans.
Locations: 234
Item 7: $56,072 to $121,673
Item 19: Average EBITDA of $183,727
Jumping 200 spots from last year, GYMGUYZ rose to the No. 231 ranking in Entrepreneur Magazine’s 2019 Franchise 500. The in-home personal training franchise currently operates in 29 states and three countries, and offers prospective franchisees the opportunity to own a single territory or a three-unit territory. Because GYMGUYZ doesn’t require opening a brick-and-mortar space, the brand maintains less-than-average financial requirements—a $100,000 net worth and $35,000 in liquid capital—and franchisees can expect their business to be open in as little as 8 weeks.
Locations: 9
Item 7: $423,480 to $920,800
Item 19: Average gross revenue of $986,000 for affiliate-owned studios (2017)
With nine locations, Shred415 is a high-intensity interval training fitness concept combining strength training and treadmill work. Founders Bonnie Micheli and Tracy Roemer weren’t finding what they wanted and needed in any workout option available to them, so they created the Shred415 model, which has since been franchised and seen success thanks to its membership-driven recurring revenue.
Locations: 2,300-plus
Item 7: $78,012 to $521-437
Item 19: Average EBITDA of $202,300
Recognized by Entrepreneur as one of the best franchises to buy in 2019, Anytime Fitness is a global brand that is the first fitness franchise to claim a presence on all seven continents. In 2019, the brand had 2,398 U.S. and 1,645 international franchises. The franchise offers both express and standard gym footprints with varying estimated initial investments, leading to increased opportunity for multi-unit ownership; more than 60% of existing Anytime Fitness franchisees own more than one club.
Locations: 500-plus
Item 7: $191,650 to $439,250
Item 19: Not available
One of the largest networks of barre studios worldwide, Pure Barre has more than 500 studios across the U.S. and Canada. A part of the Xponential Fitness family of brands as of late 2018, Pure Barre has available markets across the U.S. including multiple opportunities in California and New York. The brand is seeking prospective franchisees with a minimum net worth of $500,000 and liquid assets of at least $100,000.
Hand & Stone Massage and Facial Spa
Locations: 279
Item 7: $532,563 to $618,327
Item 19: Average gross sales of $996,739 (2016)
Spa visits are no longer just a luxury, they are becoming part of a balanced health and wellness regimen—and no business knows this more than Hand & Stone Massage & Facial Spa. Ranked No. 133 in Entrepreneur Magazine’s 2019 Franchise 500, the brand offers franchisees opportunities across the U.S. and has seen consistent growth; Hand & Stone is projected to end 2019 with 467 total locations.
Locations: 232
Item 7: $225,350 to $374,350
Item 19: Average annual revenue of $1,010,645 for the top third of studios
Ranked No. 340 in Entrepreneur Magazine’s Franchise 500 list and No. 4005 in the Inc. 5000 in 2019, Elements Massage has been continually recognized as one of the fastest-growing companies. Founded my specialized massage therapists, Elements Massage has experienced consistent double-digit revenue growth for over a decade, with its membership model generating recurring revenue that stabilizes businesses over time.
*This brand is a paid partner of 1851 Franchise. For more information on paid partnerships please click here.
