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Planet Fitness isn’t currently seeking new franchisees for its ongoing US expansion, but ambitious entrepreneurs will want to be ready when the fitness club chain that has become famous as a “judgment-free zone” opens the books again.

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More than a decade after launching in 1992, Planet Fitness was opening its fifth location when it started the franchise in 2003. Today, it has over 2,000 locations and 15 million members in all 50 states, Canada. , Latin America and Australia.

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The company estimates that 80% of the population in the United States and Canada do not have gym memberships – and Planet Fitness is on a mission to enroll every single one of them.

If you are interested in making money as a franchisee once the business starts accepting applications again, you will need to be prepared to spend money to make money.

Here’s what you need to know.

Is my net worth buff enough for Planet Fitness?

Although Planet Fitness isn’t currently looking for new franchisees, FranchiseHelp has some hard numbers on what kind of people the company will be looking for when that changes. If you want to have your own slot, you must have a net worth of at least $3 million to be considered. At least half of this amount – $1.5 million – must be liquid capital.

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How much should I invest to start?

The initial franchise fee for Planet Fitness is $20,000, according to Franchise Direct — figures FranchiseHelp backs up — but the start-up costs barely end there.

Site selection costs alone will set you back between $1,000 and $10,000 – a big change, compared to the rest. Then there are tenant improvement costs, which can cost between $575,000 and $1.94 million.

Then, of course, there’s fitness equipment, which will cost you between $43,000 and $953,000, and non-fitness equipment, which will cost between $61,000 and $721,000.

Other big start-up costs include:

  • Pre-sale and grand opening marketing: $40,000 to $60,000
  • Exterior signage: $11,000 to $36,000
  • Informatic Systems: $6,000 to $20,000
  • Assurance: $5,000 to $25,000
  • Real estate lease deposits: Up to $87,000
  • Professional fees: Up to $25,000

There is also a vague but expensive category called “additional funds – six months”. One of the costliest charges on the menu, it can reach $598,000.

In total, a prospective Planet Fitness franchisee can expect to spend between $936,600 and $4,558,500 in initial investment costs.

What about ongoing charges?

Part of the Planet Fitness business model is to maintain a steady stream of revenue from its franchisees. If you purchase the brand, you will need to be prepared to pay a royalty in the form of 7% of your club’s total gross monthly and annual membership fees. You will also have to pay 18% interest. Refitting costs will cost you between $431,000 and $953,000 and renovation costs will be between $70,000 and $800,000.

Since your location will benefit from all those advertisements you see for Planet Fitness, you will need to pay 2% for the company’s national advertising fund and up to 7% for special marketing programs.

It’s quite a change, but the tradeoff is your own little slice of one of the biggest and fastest growing fitness brands in the country and the world.

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About the Author

Andrew Lisa has been writing professionally since 2001. An award-winning writer, Andrew was previously one of the youngest nationally distributed columnists for the nation’s largest newspaper syndicate, the Gannett News Service. He worked as a business editor for amNewYork, the most widely distributed newspaper in Manhattan, and worked as an editor for TheStreet.com, a financial publication at the heart of New York’s Wall Street investment community. .