Elements Massage Franchise in 2024: Costs, Fee & FDD
Discover why Elements Massage is a top choice in the wellness industry. Explore its proven success, revenue potential, and franchise model, offering strong support and a growing market. Is this the right investment for you?
Table of Contents:
Elements Massage, founded in 2006 by licensed massage therapist Michele Maruniak, has established itself as a prominent player in the wellness industry. Recognizing a gap in the market for personalized therapeutic massage services, Maruniak launched the first studio in Highlands Ranch, Colorado. The brand’s commitment to delivering customized massage experiences has set it apart, emphasizing the healing power of touch and fostering a client-centric approach.
At its core, Elements Massage offers a range of therapeutic services tailored to individual needs. These include deep tissue, Swedish, sports, trigger point, couples, and prenatal massages. The Elements Wellness Program™ provides members with exclusive benefits and flexible scheduling without long-term contracts. The primary clientele comprises individuals seeking stress relief, pain management, and overall wellness enhancement, catering to a diverse demographic that values personalized care.
As of 2024, Elements Massage operates nearly 250 independently-owned studios across the United States and Canada, reflecting significant growth since its inception. This expansive network serves thousands of clients daily, underscoring the brand’s widespread appeal and the increasing demand for therapeutic massage services.
Franchisees benefit from comprehensive support systems designed to ensure operational success. This includes initial training programs covering business operations, marketing strategies, and client service protocols. Ongoing support encompasses field operations assistance, marketing and advertising resources, and continuous education opportunities. The backing of WellBiz Brands, Inc., a leader in health and wellness franchising, further enhances the support framework, providing franchisees with the tools and resources necessary to thrive in the competitive wellness market.
Elements Massage Franchise Insights
- Elements Massage was founded in 2006 and has been offering franchise opportunities for nearly two decades, demonstrating sustained growth and stability.
- With 245 U.S. locations, including 244 franchised units and one corporate unit, the brand has a robust presence in the wellness market.
- Franchisees report higher-than-average customer satisfaction scores, with massage services maintaining strong repeat business rates.
- The Elements Wellness Program™ boasts impressive customer loyalty, with members accounting for a significant portion of recurring revenue.
- Approximately 73% of Americans experience physical symptoms of stress, aligning Elements Massage’s personalized therapeutic offerings with widespread consumer needs.
Elements Massage Franchise Key indicators
Growth YOY (%)
0%
vs industry 5%
Total U.S. Franchised Units
244
3-Year Failure Rate
9%
vs industry 6%
Sales-to-Investment ratio
1.4:1
How much does it cost to open an Elements Massage franchise?
Understanding the potential investment size and capital requirements is crucial when considering opening an Elements Massage franchise. These financial commitments, including initial franchise fees, equipment costs, and ongoing operational expenses, impact the feasibility and profitability of the venture. Thoroughly evaluating these factors ensures that potential franchisees are prepared for the financial responsibilities and can make informed decisions about their ability to sustain and grow the business, ultimately contributing to long-term success.
Min & Max Investment
Opening an Elements Massage franchise involves several key costs, which are outlined in Item 7 of the Franchise Disclosure Document (FDD). you can see a breakdown of the costs to open an Elements Massage below from the most recent Item 7 below:
| Type of Expenditure | Minimum Investment | Maximum Investment |
|---|---|---|
| Initial Franchise Fee | $40,000 | $40,000 |
| Real Property, Utility, Security, and Other Deposits | $3,900 | $9,400 |
| Leasehold Improvements (net of landlord tenant allowances) | $231,800 | $350,000 |
| Cabinetry, Millwork, Furniture, and Décor | $38,700 | $61,000 |
| Initial Opening Package | $18,000 | $24,000 |
| Initial Software Set-Up and Technology Fees | $1,974 | $1,974 |
| Computer System & Other A/V Technology | $26,000 | $31,000 |
| Training Program and Other Training Expenses | $2,850 | $4,250 |
| Architect, Engineer, Drawings | $12,000 | $15,000 |
| Grand Opening Spend Requirement | $20,000 | $20,000 |
| Signage and Graphics | $7,100 | $12,600 |
| Office and Business Supplies | $3,630 | $5,500 |
| Business Licenses and Permits | $1,100 | $12,570 |
| Insurance (Initial 20% Payment) | $2,100 | $2,300 |
| Professional Fees | $1,980 | $13,530 |
| Additional Funds (Three Months) | $59,550 | $91,150 |
| Total Estimated Initial Investment | $470,684 | $694,274 |
Item 7 in the Franchise Disclosure Document (FDD) is the “Estimated Initial Investment” section. It outlines the total costs a franchisee can expect to incur when starting a franchise, including the initial franchise fee, equipment, inventory, real estate, and other startup expenses. This section is crucial because it provides potential franchisees with a detailed understanding of the financial commitment required, helping them assess affordability and plan their investment strategy effectively.
Required Capital
To open an Elements Massage franchise, the required capital involves both the initial investment costs and a net worth requirement set by Elements Massage. Let’s take a closer look below:
- Initial Investment As shown above, the total estimated initial investment ranges from $470,684 to $694,274. This includes all the startup costs such as the franchise fee, real estate, construction, equipment, initial inventory, and additional funds for initial operating expenses. Assuming that you will finance your franchise investment, you should plan to have 20% of the total investment amount in the form of equity (cash) for the investment.
- Liquid Capital:A minimum of $450,000 in liquid assets is required.
- Net Worth Prospective franchisees should have a net worth of at least $1,800,000.
How much does an Elements Massage franchise owner make?
Calculating the salary of an Elements Massage franchise owner involves analyzing gross sales to determine total revenue, assessing operational efficiency to understand profit margins, and accounting for franchisor fees and additional expenses such as rent, utilities, and payroll. Effective management of these factors can significantly impact the profitability and financial success of an Elements Massage franchise owner. This comprehensive financial analysis helps estimate net profits, from which the owner’s salary can be derived. A clear understanding of these factors ensures accurate salary projections and financial planning for sustainable business operations.
Elements Massage Revenue & Gross Sales
In recent years, Elements Massage has demonstrated strong revenue performance, reflecting its growing appeal in the wellness industry. According to the most recent Franchise Disclosure Document (FDD), the median gross sales for its franchise locations reached $832,173, showcasing the brand’s consistent ability to drive high customer demand and recurring business. This impressive figure underscores the potential profitability of the franchise model, supported by Elements Massage’s focus on personalized therapeutic services and a loyal membership base. With a solid median revenue benchmark, prospective franchisees gain confidence in the financial viability of this business opportunity.
Which key factors impact the average revenue performance of Elements Massage franchisees?
The strong performance of Elements Massage franchisee median gross sales, reaching $832,173, can likely be attributed to several key factors. First, the increasing demand for wellness and self-care services in the U.S. has positioned therapeutic massage as a staple in many consumers’ health routines. Second, the Elements Wellness Program™ has fostered high customer retention, generating steady recurring revenue. Additionally, effective marketing strategies, including local and digital outreach supported by the franchisor, have helped drive new client acquisition. The post-pandemic recovery has also played a role, as consumers prioritize stress relief and physical health. Finally, the brand’s focus on personalized services and high operational standards ensures franchisees can meet and exceed customer expectations, translating to strong financial performance.
Elements Massage Franchise Operational Costs
When operating an Elements Massage franchise, you should consider the following key ongoing operational costs specific to the business model:
- Staff Wages The largest expense category, as licensed massage therapists and front-desk staff are essential to daily operations.
- Facility Rent Leasing a high-quality, conveniently located studio space is crucial and will be a significant recurring cost.
- Utilities and Maintenance These include electricity, water, heating/cooling, and regular upkeep of the studio to maintain a relaxing environment.
- Supplies and Equipment Ongoing purchases of massage tables, linens, oils, and other consumables required for services.
- Technology and Software Costs for booking, scheduling, and membership management systems to streamline operations.
- Local Marketing Expenses for community outreach, partnerships, and promotional events to attract and retain customers.
Careful management of these costs is vital to maximize profitability.
Elements Massage Franchise Fees
When operating an Elements Massage franchise, there are several ongoing fees to consider that directly impact your monthly expenses. These fees ensure you have the support and resources needed to maintain brand consistency and drive growth.
- Royalty Fee 6% of gross receipts, paid monthly, supports the franchisor’s ongoing operational and administrative functions.
- Brand Marketing Fund 2% of gross receipts, paid monthly, contributes to national advertising and brand promotion efforts.
- Local Advertising Fee A fixed $2,000 per month, ensuring visibility and client acquisition in your local market.
There might also be additional fees for optional services, required software, or compliance needs depending on the specific requirements of your location.
Understanding and budgeting for these costs is essential to effectively manage cash flow and sustain profitability.
Elements Massage Franchise Earnings
Based on the most recent data, Elements Massage franchisees operating as owner-operators reported median gross sales of $832,173. This impressive revenue figure highlights the franchise’s ability to attract and retain a loyal customer base through its personalized wellness offerings. It reflects the consistent demand for therapeutic massage services and the value of the Elements Wellness Program™ in driving recurring revenue.
From these gross sales, owner-operators earned a median income of $149,791. This figure represents the potential profitability of managing the business directly and keeping operational costs under control. With strong brand support, an established customer base, and effective local marketing, Elements Massage provides a solid opportunity for franchisees to achieve financial success while contributing to the growing wellness industry.
How to Open a Elements Massage Franchise
The process to become an Elements Massage franchisee involves several well-defined steps to ensure a smooth transition from inquiry to business launch. Here’s an overview of the typical journey:
- Initial Inquiry You or your franchise specialist submits an initial inquiry basic information about your interest and background. You should also conduct thorough research on the franchise, including seeing all of the information available on the Vetted Biz franchise intelligence platform, including access to the most recent Franchise Disclosure Document (FDD).
- Discovery Day You may be invited to a Discovery Day, where you’ll meet with the corporate team, learn more about the brand, and assess if it’s the right fit for your goals.
- Application Approval: Once you’ve decided to move forward, you’ll complete a formal franchise application. If approved, the franchisor will guide you through signing the Franchise Agreement.
- Securing Financing At this stage, you’ll finalize funding for your franchise, whether through personal savings, loans, or other financing options.
- Site Selection and Lease Negotiation The franchisor assists in finding an ideal location and negotiating lease terms. A great location is crucial for business success.
- Training and Onboarding You’ll attend an initial training program covering operations, marketing, and customer service to ensure you’re fully prepared to run your business.
- Build-Out and Setup Once the lease is signed, you’ll oversee the build-out of the studio, guided by the franchisor’s specifications. This includes purchasing equipment, installing technology, and ensuring compliance with brand standards.
- Marketing and Pre-Opening Support The franchisor helps plan a local marketing strategy and pre-opening promotions to build excitement and attract customers.
- Grand Opening and Start of Operations After final inspections and setup, you’ll officially launch your studio with a grand opening event, marking the start of your journey as an Elements Massage franchise owner.
Pros & Cons
Pros
Established Brand and Support: Backed by WellBiz Brands, Elements Massage offers robust franchisee support, including marketing, operations, and ongoing training.
Growing Market Demand: The wellness industry is booming, with massage therapy increasingly sought after for stress relief and health benefits.
Recurring Revenue Model: The Elements Wellness Program™ fosters customer loyalty and consistent, predictable income.
Cons
Operational Complexity: Managing a massage studio requires hiring and retaining skilled licensed massage therapists, which can be challenging in competitive markets.
High Competition: The wellness market is saturated with competitors, ranging from independent massage providers to larger wellness chains.
Location-Dependent Success: The profitability of a studio can vary significantly based on demographics and market demand in the chosen location.
Time-Intensive Management: While profitable, running an Elements Massage franchise may require a hands-on approach, especially for owner-operators.
