24/7 fitness chain, Anytime Fitness, is the second-hottest franchise concept on Entrepreneur’s annual Franchise 500 list of fastest-growing franchises, and it’s easy to see why.
Not only are fitness centers great high-growth businesses, the 24-hour nature of Anytime Fitness in particular meets a unique need that few competitors can match. Due to a unique security access setup, customers can visit the gym whenever they want, even when the location is unstaffed, to work out. That provides a solid competitive advantage while helping to keep staffing costs down.
In addition, Anytime Fitness members can not only visit their local location but any one of the 2,000-plus locations in the chain.
Anytime Fitness has been franchising since 2002 and, as of 2015, has 2,839 locations worldwide, including 2,010 in the U.S., 108 in Canada and 685 overseas. The company currently owns 36 locations itself.
Anytime Fitness is currently seeking franchisees worldwide.
The total investment per location is $78,700 – $371,175 as of 2015, with a franchise fee of $22,500 – $32,500 and an ongoing royalty of $549 per month. The franchise term is for 5 years, renewable, and veterans can get a 20% discount off of the franchise fee.
As for the potential franchisees themselves, the company requires $250,000 in net worth and between $70,000-$100,000 in liquid cash available for applicants. Compare that to Subway, generally considered one of the cheaper franchise options available today, which estimates restaurant costs at between $216,100 – $1,530,050 and requires at least $250,000 in net worth and at least $125,000 in liquid cash.
As for operations, the company offers ongoing training for franchisees, as well as marketing, security, real estate and general business services support. Absentee ownership is allowed, though 100% of all current franchisees are owner-operators, Anytime Fitness says. 40% of all franchisees own more than one unit.
What do you think? Does an Anytime Fitness franchise sound like a good investment to you? Let us know in the comments section below, or @sgengine