Ms. Simmons has an MBA in Finance from the University of New Hampshire and holds dual Bachelors degrees in Economics and Sociology from Indiana University. Total Investment $728,290 - $3,777,800. 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. An innovative entrepreneur, Mr. Rondeau was honored as an EY Entrepreneur of the Year and inducted into the UNH Alumni Entrepreneur Hall of Fame. Order now to get instant access to the complete Planet Fitness franchise owners. Over the last three years, franchises have opened at a rate of 148 units a year. Brands, he supported the team tasked with transforming and modernizing technology and data systems both domestically for KFC and internationally in Australia for Pizza Hut. "[23], In the fall of 2013, TSG Consumer Partners LLC became an equity partner in the Planet Fitness franchise. On this Wikipedia the language links are at the top of the page across from the article title. has over 8,900 franchises across the country. New franchise owners can also expect to participate in a comprehensive training program, as the franchise requires their franchisees to be certified barre instructors. OK92033) Property & Casualty Licenses, NerdWallet | 55 Hawthorne St. - 11th Floor, San Francisco, CA 94105. [52], In March 2016, Planet Fitness partnered with STOMP Out Bullying,[53] a national organization dedicated to bullying prevention, and the Boys & Girls Clubs of America to launch the company's national philanthropic initiative to address bullying, The Judgement Free Generation. We started our business in 1992 and refined our brand for a decade or so before franchising in 2003. Even though its smaller than Pure Barre. You must maintain your equipment according to Planet Fitness brand standards. Brand fund contributions (aka advertising fees) are 2% of monthly gross sales, though they may be increased to 3%. The estimated total investment necessary to begin the operation of an Orange Theory Franchise ranges from $657,542 to $2,105,322. [3] The company reports that it has around 2,400 clubs, [4] making it one of the largest fitness club franchises by number of members and locations. Royalty fees are 7% of the total gross monthly and annual membership fees, and advertising fees vary. Our opinions are our own. Initial franchise terms are 10 years. Prior to that he served as the Chief Operating Officer since 2003. Over the last three years, the company has been expanding. All financial products, shopping products and services are presented without warranty. 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. This document includes information about the franchises financial standing, capital requirements, franchisee training, and ongoing franchise fees, among other crucial information. There are both advantages and disadvantages of franchising, so make sure you weigh both sides thoroughly. When you go to sell a Planet Fitness franchise based on the median multiple of .67 and net sales in 2021 of $1,545,877, it would sell for $1,035,737. Paid Grace Period. There are tons of gym franchises seeking new location owners, but this list represents nine of the most promising gym franchises on the market right nowbased mainly on name recognition, growth rate, and franchisor support system. In addition to offering their signature classes, Pure Barre studios also generate revenue through teacher training and selling premium workout clothes. As an Orangetheory franchisee, youll be responsible for a monthly royalty fee of 8% of gross sales. Planet Fitness Announces 2019 Franchise Awards 2- Based on a midpoint investment of $3,273,300 with estimated profits of $154,587 at a 10% profit margin, it would take about 21 years to recoup your investment. That said, franchisees are responsible for additional costs, including a monthly continuing franchise fee (CFF) of either 20% of gross revenue or at least $250 per month. Franchise fee: one-time $42,500 Royalty fees: $699/mo Planet Fitness Planet fitness has locations in Canada, Mexico, Panama, and all 50 states of the US. Thanks to that near-legendary status in the fitness world, and their loyal customers, Jazzercise has over 8,900 franchises across the country. Who Owns Planet Fitness? (Franchise, CEO & More) - Trusty Spotter When evaluating offers, please review the financial institutions Terms and Conditions. Along with Pure Barre, The Bar Method is one of the best-known barre studios in the country. At the moment we can not connect you to the representative of this franchise. Largest Planet Fitness Franchisee Acquires 19 Planet Fitness Clubs in All financial products, shopping products and services are presented without warranty. [51] In April 2022, Planet Fitness appeared as a sponsor on a race truck for the first time in the 2022 Pinty's Truck Race on Dirt with Logano driving the truck. That way, participants can both track their own progress, and see how it stacks up to other people in the classso if you thrive on competition, this is the gym franchise for you. Royalty fees and advertising fees are generally calculated as a percentage of gross sales in franchise agreements, but Anytime Fitness rates are flat from month to month, which makes it easier for you to plan and organize your expenses. Of the total gross monthly and annual membership fees payable to you via EFT Dues Draft. Planet Fitness Franchise Cost and Requirements for 2023 - IFPG As a franchise owner, youll benefit from a proven business model, brand recognition, existing customer base, vendor network, and robust franchisee support system. Building in competition to workouts enhances ones motivation and keeps consumers coming back. Planet Fitness franchise opportunities are proven by 1,500 clubs successfully operating worldwide. Jamie Medeiros joined Planet Fitness in 2000, where she worked at the front desk in the Companys third location before transitioning to the Planet Fitness corporate marketing team. in Management Information Systems from Northwood University. She played a pivotal role in creating breakthrough nation marketing campaigns that have built the brand over the past two decades, including iconic advertising campaigns like Lift Things and No Gymtimidation, along with pillar marketing sponsorships like the brands New Years Eve celebration in Times Square. Mr. Fitzgerald holds an MBA in Finance from Indiana University Kelley School of Business and received his Bachelors degree in Finance from the University of Florida. At Yum! 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. 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. ASK QUESTIONS ABOUT THE FRANCHISE, Distributorship Opportunities For Business, the terms of
They also take a fun, irreverent, quirky, and motivating approach to marketing (ever see the mustache commercial? Mr. ODonnell has nearly 20 years of experience in a variety of finance and accounting roles. Based on a midpoint investment of $1,378,500 with estimated profits of $94,820 (10% profit margin) it would take about 15 years to recoup your investment. So how do we make money? Looks like your subscription is due. The following costs are part of the upfront costs included in the initial investment for Planet Fitness locations. Airfare, ground transportation, meals, lodging, Government agencies and bonding companies, Payroll, debt services, ongoing pre-sale/grand opening marketing, and cash to cover miscellaneous day-to-day expenses, Estimated Selling Price = Net Sales * 0.67, Estimated Selling Price = Net Sales * 1.21. As a franchisee, youll be required to pay 6% in royalty fees and 2% in marketing fees. Prior to Sonus, he worked for more than 10 years in public accounting with both Deloitte and Touche and Arthur Andersen. Cash Required $1,500,000. 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. Previously, she was an editor at Fundera, where she developed service-driven content on topics such as business lending, software and insurance. - In currency of Germany, the investment comes around EUR 805,430 to EUR 3,524,180. Comment. Our research and analytics team analyzed over 120 franchise concept investment breakdowns in order to calculate this figure. Assistant Assigning Editor | Small-business finance, personal finance. [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. This large discrepancy indicates the potential different costs you could face when building your Orange Theory franchise as a franchisee. Mr. Fitzgerald began his career at PepsiCo, where he held various leadership roles in finance and planning. The prospects for growth and success within the industry and the Orange Theory brand itself, are extensive, and some markets continue to be available as they move forward with growing their presence across the country. The franchise requires that candidates have access to over $90,000 in liquid capital, and a minimum net worth of $300,000. According to Franchise Direct, the initial franchise fee is $20,000, while the area development fee is $10,000. The private equity owners of United PF Partners, the largest Planet Fitness franchisee conglomerate, have sold the group to American Securities, another New York-based private equity firm, for an undisclosed sum, the companies announced in a Jan. 6 media release. The initial Planet Fitness Franchise Fee is $20,000. The fitness center industry has grown with the rise in disposable income and demand for a more health-conscious lifestyle among millennials. After a few years of growth, Planet Fitness started franchising in 2003 with the first franchised gym opened in Florida. This investment is much higher than the industry standard of $253,000. Benson is back on the board of Planet Fitness Mr. Hymes started his career at Kmart Corporation, where he worked his way up the ranks starting as an hourly store team member and entered management after graduating with a Marketing degree from Northwest Missouri State University. This metric is the standard industry investment amount for a single unit franchise investment in this industry. 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. This, too, is best evaluated with the help of an accountant or business lawyer, who can help you break down the fine print. If you sign an Area Development Agreement, the Initial Franchise Fee for each location opened under the Area Development Agreement will be $20,000 for Franchise Agreements entered into within four years of the effective date of your Area Development Agreement. Call (888) . Prior to joining Planet Fitness, Ms. Simmons worked in Finance and Business Planning roles for Timberland, PepsiCo, and Fisher Scientific International. Office Depot, Planet Fitness, Roto Rooter, Starbucks, Taco Bell, Travelers, and United Health Group. Planet Fitness franchise costs, based on Item 7 of the company's 2022 FDD: Initial Franchise Fee: $20,000 Site Selection Costs: $0 to $10,000 Construction Development Plan Review Fee: $0 to $4,000 Leasehold Improvements: $1,250,000 to $2,163,000 Fitness Equipment: $34,000 to $953,000 Non-Fitness Equipment: $63,000 to $825,000 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. The number of fitness franchise locations has been steadily increasing to a total of about 2,039. . Planet Fitness ( PFIP LLC) is an American franchisor and operator of fitness centers based in Hampton, New Hampshire. 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. Jennifer Simmons joined Planet Fitness in 2013 as a business analyst, later joining the executive leadership team as Senior Vice President of Business Strategy and Analytics and in 2022 was named Division President, Corporate Clubs. 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. Orange Theory was ranked 49th in the franchise 500 rankings according to entrepreneur.com. Mr. ODonnell holds a CPA and received his Bachelors degree in Accounting from Assumption College in Massachusetts. In this role, he will lead the Companys technology evolution and strategy, focused on delivering technology solutions that will continue to enhance the member experience while optimizing infrastructure, data and operations for flexibility and scale. Mr. Rondeau joined Planet Fitness in 1993, working the front desk at the very first location in Dover, NH, one year after the original founders, Michael and Marc Grondahl, started the Company in 1992. Today, there are Planet Fitness franchise locations around the U.S. as well as Canada and the Dominican Republic. Performing this action will delete your account. If you can name a franchise business, it's probably on our Franchise owners marketing list. Franchise Owners Marketing Lists - Dataman Group Direct They opened a new gym called Coastal Fitness and the Grondahls hired current CEO. 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. - In Indian currency, the investment comes around Rs 7,14 crores to Rs 31,23 crores. Disclaimer: NerdWallet strives to keep its information accurate and up to date. 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. Review the chart below to see how much it costs to buy a Planet Fitness franchise in 2022. Under Rondeau's 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' America's Best Franchises, Newsweek Best Customer Service, and Best Places to Work in New Hampshire. These figures are estimates based on Planet Fitness and its affiliates experience in operating locations. It offers classes for dance, aqua, cycle, box, pilates, and many more. PLANET FITNESS - 57 Photos & 19 Reviews - Yelp Planet Fitness Franchise Ownership FAQs - smallbiztrends.com [19] According to a Planet Money episode from 2014, "half of the Planet Fitness members don't ever go to their gyms. Planet Fitness businesses are fitness training facilities offering exercise machines and free weights, fitness training services, tanning services . This is significantly lower than the midpoint investment of $3,273,500. 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. You must commit to opening a one or more PLANET FITNESS locations as a condition of acquiring area development rights, either yourself or through one or more entities in which you own 51% or more interest. ), and that attitude trickles down into their culturethey genuinely want people to have fun while they work out. 8. The board of directors at Planet Fitness is as follows: Stephen Spinelli, Jr. (Ph.D.), Chairman Chris Rondeau (CEO) Bernard Acoca Enshalla Anderson Craig Benson Cammie Dunaway Frances Gregg Rathke Christopher Tanco 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. Ultimately, the only way to know which gym franchise is right for you is to do your own due diligence. 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. ", "Planet Fitness revokes woman's membership after transgender complaint", "Planet Fitness Has New Investor; Promotes Rondeau To CEO", "Former Radio Shack CFO Fills Planet Fitness Hole", "Planet Fitness goes public, hits mark in first day of trading", "Ranking America's Best And Worst Franchises: Which Are The Best Investments? The concept currently has over 1,000 franchises in the United States and another 150 international locations and is a subsidiary of Ultimate Fitness Holdings. [3] The company reports that it has around 2,400 clubs,[4] making it one of the largest fitness club franchises by number of members and locations. As a franchisee, youll be required to pay 6% in royalty fees and 2% in marketing fees. [44][37] In 2016, over 90% of Planet Fitness locations were opened by existing franchise owners. There are very few reasons why one might want to open a Planet Fitness franchise. If you are thinking about how to open a Planet Fitness franchise, begin with a franchise investment information. Planet Fitness Announces Winners of Annual Franchisee Awards - PR Newswire You will pay a lump-sum nonrefundable Initial Franchise Fee in the amount of $20,000 when you sign the Franchise Agreement. You must be logged in to view this form. Training starts with one week at the companys San Francisco headquarters, followed up by three to six months of training, led by a dedicated trainer, in your home location. Like Planet Fitness, Crunch Fitness prides themselves on creating an environment free of judgment (they actually trademarked the phrase No Judgments). With this purchase, which was for an undisclosed amount, United PF's club count has . Bode was also responsible for U.S brand compliance and business development along with leadership positions overseeing training, store development, marketing, and franchising. Planet Fitness Franchise (Costs + Fees + FDD) | Franchise Direct Planet Fitness trademarked the phrase judgment free zone, so that alone should give you a sense of this gyms major value: inclusivity for all people, regardless of their fitness levels. It is reported to be the nations fastest growing fitness center franchise. Therefore, this may include substantial remodeling of your premises as frequently as every 5 years. Even if your network of Planet Fitness franchises earns above $% a million, you will not be able to recover costs just by selling it. [56][57][58] Planet Fitness has also provided mini "Judgement Free Zone" gyms to Boys & Girls Clubs in Manchester, New Hampshire[59] and Pasadena, California. The Area Development Fee is uniform and non-refundable. Its the easiest way to get honest reviews from franchisees that have already invested in the franchise opportunities youre considering buying. Franchisees must also pay a 5% ongoing royalty fee on all sales to Planet Fitness. Reaching out to multi-unit franchise owners and regional developers gives you the ability to get your products and services into many locations with just one sale . He began working at Shell in 2001, holding broad and diverse roles including strategy, business development, project management, and deal delivery. Find other similar franchises in our catalog! And in 2019, gym franchises specifically contributed $4 billion to the $34 billion gym, health, and fitness industry.