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Gym Franchise and Business Opportunities
Gym Industry
Gym Franchise Sector
The Commercial Gym and Fitness Sector is one of the fastest-growing parts of the franchising world. Over the past few years, the Gym and Fitness industry has benefited from multiple public health initiatives that have proved the importance of fitness in overall health and wellness. Due to this health-conscious social climate, the number of gym memberships has been growing steadily. Gym and fitness franchises in the United States account for a $4 billion annual revenue, and the overall Gym health and fitnesss sector accounts for an estimated $34 billion. The United States, which holds 19% of the gyms and fitness centers in the world, is the largest fitness market in the world, bringing in around 1/3 of the total world revenue for gyms and fitness centers. The fitness industry is expected to grow at 1.5% through 2022.
Gym Industry Trends
The CDC estimates that approximately 70% of Americans are considered overweight. Furthermore, 36% of U.S. adults and approximately 17% of children and adolescents out of this overweight 70% are considered obese. These numbers are encouraging more and more Americans to flock to gyms. Approximately one in five Americans are paying for a membership. A vast American population is looking for ways to get in shape, and the demand is projected to increase in the coming years.
Key Fitness Industry Numbers
The Paid-in-Full RateReferring to the SBA 7(a) Loan Program, how many businesses in a particular industry paid their SBA loans in full including interest relative to all the businesses in that industry. Note that many businesses are exempt from sharing their loan statuses as part of the… is when the SBA loan is fully paid off by the small business owner including interestA payment from a borrower or deposit-taking financial institution to a lender or depositor of an amount above repayment of the principal sum, at a particular rate. In Vetted Biz, it is typically the additional rate of a loan a business buyer would pay off…, indicating financial strength.
The Charged Off RateAlso can be referred to as the SBA Loan Default Rate, the charged off rate is percentage of businesses in set field (e.g. industry) that defaulted their loan, are unable to pay their loan in full, and/or there is no confidence that they will be… is the SBA loan default rate where loans have no confidence in being paid off by the small business owner.
For every 8 SBA franchise loans fully paid including interestA payment from a borrower or deposit-taking financial institution to a lender or depositor of an amount above repayment of the principal sum, at a particular rate. In Vetted Biz, it is typically the additional rate of a loan a business buyer would pay off…, 1 SBA loan was unable to be paid back, or defaulted.
*SBA Franchise Loan Data from 2010-2019
*Non-Franchise Businesses taken into account: 6,473
Gym Franchise Review
Most of the franchises in this sector are fitness facilities of some sort. There are also increasing amounts of sport-related franchises that support the business of staying in shape by encouraging members to participate in athletic games and activities. This has increased demand by introduciing a different demographic to the gym franchise scene, which assisted franchises in their goals of expansion. Gym and Fitness related franchises are expected to grow exponentially as this market increases.
Gym Franchising Trends
One of the newest and most exciting trends in the fitness industry is the insertion of gyms into workspaces and vise versa.With this trend, gyms are attempting to monetize Americans’ recent gravitation towards productivity by opening office space within the gyms.
During the standard working hours of the weekdays, many traditional gyms are relatively empty. By inserting gym’s into workplaces and workplaces into gyms, gyms will gain a new clientele and new revenue stream.
Average Fitness Franchise Industry Percentage Fees
Standard Fitness Franchise Industry Investment
This metric is the standard industry investment amount for a single unit franchise investment in this industry. Our research and analytics team analyzed over 120 franchise concept investment breakdowns in order to calculate this figure.
The Paid-in-Full RateReferring to the SBA 7(a) Loan Program, how many businesses in a particular industry paid their SBA loans in full including interest relative to all the businesses in that industry. Note that many businesses are exempt from sharing their loan statuses as part of the… is when the SBA loan is fully paid off by the franchisee including interestA payment from a borrower or deposit-taking financial institution to a lender or depositor of an amount above repayment of the principal sum, at a particular rate. In Vetted Biz, it is typically the additional rate of a loan a business buyer would pay off…, indicating financial strength.
The Charged Off RateAlso can be referred to as the SBA Loan Default Rate, the charged off rate is percentage of businesses in set field (e.g. industry) that defaulted their loan, are unable to pay their loan in full, and/or there is no confidence that they will be… is the SBA loan default rate where loans have no confidence in being paid off by the franchisee.
For every 13 SBA franchise loans fully paid including interestA payment from a borrower or deposit-taking financial institution to a lender or depositor of an amount above repayment of the principal sum, at a particular rate. In Vetted Biz, it is typically the additional rate of a loan a business buyer would pay off…, 1 SBA loan was unable to be paid back, or defaulted.
*SBA Franchise Loan Data from 2010-2019
*Franchise Businesses taken into account: 3,686
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