F45 Franchise Cost Owner Salary Failure Rate

F45 franchise is a global fitness and training center founded in Australia, but is considered a local player in the United States with around 470 franchise units and more than 2300 units globally. F45 Training believes in innovative, high-intensity, focus group sessions and fast, result-oriented workouts. The Fitness franchise is showing an upward trend despite the Covid-19 economic slowdown. The fitness industry is experiencing unique and innovative business models like personal training centers, cycling studios, hybrid gym models, and budget fitness centers.

Among them, the franchising fitness concepts have witnessed maximum growth in the United States. The reasons for this growth are proven and tested business prototypes, brand building, and a low-cost franchise marketing plan.

This brand is the fastest-growing fitness franchise in the United States in 2023. Hence I am writing about the f45 fitness opportunity for you. In this article, you will find more info on this franchise brand, its growth, franchise cost, profit, and, most importantly, how quickly you can get your investment back.

How much does the F45 franchise cost?

The cost to start the f45 franchise varies in different parts of the world and the f45 cost in Canada is the same as in the USA.

The franchise fee of $ 50,000 is slightly higher than the overall cost to start the franchise in the United States as provided for in their latest FDD 2023. The other price is about $ 200,000, including initial fees and the training opening package. The upfront fees range from 40-60 % of the total f45 cost.

F45 franchise fee and start-up cost of $ 200,000 is justified if you make money fast with this brand.

F45 Franchise Cost in the United States and Canada

Owing an F45 requires a cash capital of $ 120,000.

Every franchise business has ongoing royalties. F45 Training has a monthly royalty of 7% and 2% as brand marketing fees and a $ 2500 monthly marketing fund.

The Fitness franchise industry in the United States has an average royalty fee of 6% and 2% as brand fees. The f45 training royalty is slightly higher, but the monthly marketing fees of $ 2500 can burden franchises in the first year of operations.

How much does it cost to start a F45 franchise?
F45 Franchise Fee	$ 50,000
F45 Franchise Cost	$313,200 – $485,100
Royalty Fee	7% or $2,500 per month
Advertising Fee	2 % or $200 per month
Term of Agreement	5 years
Is the franchise term renewable?	Yes
Renewable Franchise Fees	50% of Initial Franchise fees

The mentioned financial numbers in this post are based on the updated franchise disclosure document.

How much do F45 franchise owners make?

F45 studio owners can make a lot of money. They can make up to $1 million per year in F45 franchise revenue as per latest FDD.

The average F45 franchisees owner makes a profit between $30,000 and $50,000 annually. The F45 franchise profit depends on revenue; membership sold, ongoing running costs, and operating margins.

According to f45, the f45 training studios enjoy a profit margin of 30%, which is relatively high compared to fitness industry margins of 9.6%.

The f45 franchising profit is calibrated with average sales and margins. The average f45 franchises make $ 359,000 for 3rd year, and the margins are 30%, which is a franchising profit of $ 110,000.

However, there are a few things that franchise owners need to keep in mind. They need to make sure that they are charging their clients enough to cover their costs and need to make sure that they are providing a good service.

How much is the F45 franchise owner salary?

As explained above, the f45 fitness franchise owner salary or profit is around $ 100,000-$ 150,000 if the f45 gym franchisees make an annual revenue of $ 350,000-$ 450,000.

In case you wish to work full-time with your f45 training studio, then the f45 studio owner can draw out the salary from the business based on the studio owner’s role.

As per Glassdoor, the average f45 fitness franchise salary is $ 40,000-$ 50,000 annually. In this case, the f45 owner will make both profit and salary. This cumulative salary and profit can be $ 120,000-$ 180,000.

Is the F45 Franchise Owner Salary and Profit Worth the Cost?

Ultimately, whether the salary and profit from owning an F45 franchise are worth the cost depends on your specific circumstances and goals. It’s essential to conduct thorough due diligence, consult with financial advisors, and consider the risks and rewards before making a decision. Additionally, speaking with current F45 franchise owners can provide valuable insights into the franchise’s profitability and challenges.

Deciding whether the salary and profit from owning an F45 franchise are worth the cost depends on various factors, including your financial goals, business acumen, and personal circumstances.

F45 Studio Requirements

You can see the requirements if you consider owning an f45 franchises and transforming bodies and your life.

1. Minimum $100,000 cash capital or accessibility to investors
2. Total franchise investment of $ 313,200 – $ 485,100
3. Retail or commercial real estate location with a minimum of 170 sq.m or 1830 sq. ft for an f45 studio
4. Passionate about fitness and gym training and building a business.

These requirements and start-up costs are as per the latest f45 FDD.

F45 franchise reviews

The F45 Training franchisees come from various backgrounds and cultures. They have more than 2200 franchises worldwide in more than 50 countries. These individuals are passionate about the fitness industry and love to see people get healthy with the best F45 training sessions.

The f45 reviews should matter to you if you want to own an F45 training business. You should meet the franchises near you or contact them electronically and understand their f45 franchise’s reviews and perspectives on the business opportunity.

You should see these impressive stories of Jennie Demas (Multi-Unit Franchise) and Laura Rutledge (new franchise owner).

I have a few f45 studio reviews from the company website, maybe their best-performing franchises. I request the existing f45 franchises to share their reviews on the business in the comment section below, or we could have an interview with you.

F45 Training Franchise Rankings

F45 is a global fitness that is quickly gaining popularity. Several publications have ranked the company as one of the top fitness franchises, including Entrepreneur Magazine and Franchise Times.

The F45 Training 2022 Franchising Rankings as below

• Ranked #44 for the top franchise for veterans in 2023
  
• Ranked #26 for the fastest-growing franchise in 2023
  
• Ranked #23 for Top global franchises in 2023
• Ranked #29 for Franchise 500 in 2023
  

What is the F45 Franchise Failure Rate?

You can find the F45 franchise failure rate with their latest franchisee disclosure document and relate it with complaints. You need to check the number of units closed and opened in the last 3 to 5 years. Ideally, you can ask this question in your interview with senior management.

As per my research, the F45 franchise’s failure rate is low and the franchises are doing well. Previously I listed concerns related to low-price sales of existing units, very small territory, and the majority of franchises of f45 training are sold and not passed over to the next generation. There can be plenty of reasons for these concerns, Covid pandemic can be one of the reasons.

Before owning an F45 franchise, you should identify the existing franchise reviews and failure rate.

The failure doesn’t always indicate franchise closures or low-value resales. It can be less profitable franchises or low support and training provided by franchisors. If you have any more questions on the failure rate, ask me in the comments below.

Franchise Training & Support Offered.

Whether a seasoned franchisee or a first-time operator, the F45 Training and support programs are designed to set you up for success, from comprehensive initial training to ongoing operations support, we’re with you every step of the way.

Initial Franchise Training

All new franchisees and key staff must attend our intensive initial training program. This comprehensive course covers everything from studio set-up and equipment to marketing and sales and is delivered by an expert team of franchise managers and support staff.

Operations and franchise support

F45 Training is one of the world’s fastest-growing fitness franchises, and it’s no wonder why. With affordable membership options, a high-intensity workout, and a supportive community, F45 has quickly become the go-to workout for busy people who want to get in shape.

But what makes F45 Training different from other fitness franchises? One big difference is the level of support that F45 provides to its franchisees.

When you sign on as a franchise, you will receive updates related to the franchise start-up checklist and studio opening procedures.

How is F45 Territory Granted to Franchises

The f45 categorizes territory based on population, urban or semi-urban locality, and other demographics.

According to recent updates, F45 territories have a population of 15,000. This franchise territory is relatively small as per my franchising experience.

There are a few F45 franchise complaints on this concern of territory allocation. The f45 management has started another unit in or near the existing territory. These concerns have resulted in a few franchise closures and have increased the F45 franchise failure rate. When signing your agreement, you can reduce this f45 failure rate by demarking your territories.

I will also appeal to f45 to address these franchise complaints and reduce your franchise failure rate. The hard-earned money of your franchise is as important as your brand growth. If your franchise is satisfied and motivated, they will open new locations within or nearby territories.

Does F45 provide Financial Funding to franchises?

The franchise can apply for SBA and other franchise loans available in the market.

F45 is the first fitness company in the United States to provide debt financing to veterans seeking to own an f45 studio. As per Businesswire, The U.S. Department of Defence committed $ 100 million for f45 franchises.

Why start F45 Training Studio?

There are a lot of benefits to owning an F45 franchise. Probably the most apparent use is the money you make. As a franchise owner, you must have guaranteed a certain percentage of the sales your franchise makes. This method can be helpful if you are starting and don’t have much business experience.

Another significant benefit is the support you get from the F45. The f45 management will help you with everything from marketing to training to franchising your business. F5 is there to help you succeed, and that is valuable.

There are many reasons for owning an F45; perhaps you are passionate about it. Whatever your reasons, there are many benefits to beginning an F45 like

1. F45 Training has been around for over a decade and has become one of the world’s leading and fastest-growing fitness franchises.
2. F45 franchises have a unique approach to fitness and health that has helped countless people get in shape and live healthier lives.
3. F45 Fitness Studios have a solid social media presence and are constantly innovating new ways to keep their customers engaged.
4. F45 is known for its high-quality equipment and customer service.
5. F45 Training is expanding rapidly worldwide and is poised for continued success.

Franchise Deck Overview

Are you looking to start your own business? There are many opportunities available to you, whether you’re looking to create your own business from scratch or join an existing business. Here’s an overview of some of the most popular franchise opportunities. Entrepreneurs who want to open a franchise should do enough research and franchise review before buying a franchise.

I have tried my best to get you complete and accurate information on the F45 Training business opportunity. Moreover, most of you will ask – Are the F45 franchises profitable?

I aim to inform you of the pros and cons of all franchise opportunities on the franchise deck. I have never posted a biased or sponsored review on any franchise opportunity.

In the case of F45 Training, the studios are making decent money month on month.

The few concerns me on this franchising opportunity which can increase the f45 franchisee failure rate is

• Market Saturation saturation and shrinking of franchise territories

• 40-50% of the total investment is into upfront fees

• Few Low resale value sales of f45 training studios.

What is the F45 Training?

The F45 Training integrates two different constructive fitness business models. The workout includes cardio and strength training resulting in an effective team training program.

These training programs facilitate members in muscle strengthening or fat burning. The F45 Training delivers quality aerobics exercises to its center members, continuing to build the f45 brand character.

The three pillars behind the success of f45 Training

• Innovation

• Motivation

• Results

Is F45 a Franchise Opportunity?

F45 is a global gym and fitness franchise with more than 2,200 locations in more than 30 countries. F45 opportunities are available in the United States, Canada, the U.K., Spain, France, Italy, Germany, Australia, New Zealand, and the Philippines. There are also opportunities to open F45 restaurants in other countries.

There are more than 470 f45 studios in the United States, expanding quickly. If they provide returns of investment and popularity in the United States, they will soon reach 1000 f45 locations in the United States.

It has robust franchise training systems and a franchise training manual to deliver Training to its new and current franchisees.

F45 Franchise Review and Information

F45 Review and Information
Industry Type	Health & Wellness Franchise
Sub Category	Fitness Franchise Opportunities
Year Established	2011
Franchising Started	2013
Franchising Started in US	2015
Company Name	F45 Training Holdings Inc.
Founder/Management Head	Adam Gilchrist, CEO
Employees at Company H.O	130 + employees at H.0
Number of Units	2300 +
Number of Franchise Units	2200 +
Social Media Handles	Facebook
	Twitter
	LinkedIn
	Instagram
	Youtube
Company Office location	F45 Training USA H.Q.
	236, California St.
	El Segundo,
	CA 90245, USA

Conclusion: Should You Buy the F45 Franchise For Sale?

F45 franchise is a unique fitness concept combining high-intensity interval training (HIIT) with functional Training. The workouts are constantly changing, so members never get bored, and the classes are small, so everyone gets individual attention. If you decide to own an f45 studio in your neighborhood, you should talk and find studio reviews in your area—study my above concerns in the overview. You could also look for an existing f45 franchisee for sale, and if you are a fitness industry expert, you could turn the f45 studio into a superprofit center.

Choose your F45 studio model

• Franchise – Standalone F45 Training and fitness studio for an individual, single, or multi-unit opportunity

• Military – Franchise and Employment Opportunites for Military Veterans

• College – F45 F45 COLLEGIATE NETWORK for your universities and college campus

• Corporate – On-site F45 studio to enhance your corporate wellness.

I will be happy to hear from you with suggestions, feedback, and questions on this franchise opportunity. You can also read about F45 training competitions in franchising. The competitors include Orange Theory franchise and Planet Fitness Franchise.

Entrepreneurs who want to open a franchise in the fitness franchise opportunities categories can look at

1. Orange Theory Franchise
2. Anytime Fitness Franchise
3. Planet Fitness Franchise
4. Snap Fitness Franchise
5. Crunch Fitness Franchise
6. Gold’s Gym Franchise
7. Hotworx Franchise
8. Kidstrong Franchise
9. Best Gym Fitness Franchises

Frequently Asked Questions F45 franchise

1. What is the F45 Fitness Franchise Term of Agreement and Renewal?

The franchising agreement term is five years and further renewed twice for another two terms of 5 years each.

2. How much is the F45 franchise?

The new F45 studio will cost you $313,200 – $485,100. This cost includes initial franchise fees and other upfront fees, equipment, and site improvement costs.

3. How to get Insurance for F45 franchise?

It is always advisable to start with franchise insurance when starting any franchise business. The Franchisee Manager will suggest franchising insurance options for your new f45 studio.

4. Are f45 franchises profitable?

Yes, an F45 studio franchise can prove to be highly profitable.

5. How many F45 franchises are there?

There are more than 2200 F45 franchise units, and the number is only increasing with time!