Kickboxing Gym Franchises: Two Reasons for Going with It
According to various studies, most Americans wish they were fitter than they currently are. This may be one of the reasons for the increase of kickboxing gyms around the country. Most of the successful gyms around the country are set up as franchises. At the gyms, customers can enjoy various workouts and equipment which they would otherwise not be able to afford to buy for use at home.
From recent data available, the country has more than 30,000 registered health clubs and gyms. Over the last 10 years, most gyms have been seeing an increase in uptake of paid memberships. If you want to be fit, active and healthy, you should sign up for a gym membership.
For any entrepreneur looking at the possibility of starting their own gym, going for franchises can fast-track your success. Running an independent gym has its benefits. However, before you go for an independent gym, consider the benefits of a franchise gym.
Below are two tips to consider before getting into a kickboxing gym franchise.
i) High startup costs
Before you start a kickboxing gym franchise, you should know of the costs you are likely to incur. Apart from this, residual fees to the corporate office may apply.
You can end up spending from $30,000 to $300,000 to start a franchise gym. The fee is inclusive of a one-time fee for the franchise name. You can end up spending up to $30,000 in fees for using the franchise’s name.
The gym brand you will go with will determine how much you will end up paying in terms of franchise fees. You should check the financial requirements of the gym franchise you want to get. Some of the well-established brands may have capital requirements running into millions of dollars. Your costs can also be affected by the location of the gym. Costs are likely to increase if you will be purchase equipment from the franchise.
Cost is another factor to consider when you want to start a gym franchise. To continue using a gym brand name, you will have to pay some royalty fees. Some gym franchises will require you to pay $500 or per month in royalties. Other franchises may charge you a percentage of the gross revenues you will be making. The brand name you are using can be a huge deal breaker for new customers. When you are a franchise of an established brand, marketing your gym will be easier.
ii) Where is the gym located?
Location is another factor to keep in mind before starting a gym franchise. Make sure the location is both accessible and convenient. Studies have indicated most people will pay from $10 to $50 a month for a more convenient gym option.