Yoga Six Franchise in 2024: Costs, Fee & FDD
They believe that everyone deserves the mind-body experience of yoga. Connecting the student to a practice that is energizing in wellness industry.
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Yoga Six, founded in 2012 and now part of the powerhouse Xponential Fitness family, offers a modern approach to yoga that blends tradition with a contemporary vibe. With the vision of making yoga accessible, empowering, and inclusive for all, Yoga Six has redefined the boutique yoga experience. This franchise focuses on breaking down barriers by providing a fun, approachable environment for people of all fitness levels to practice and enjoy the benefits of yoga. The brand’s significance lies in its ability to appeal to both seasoned yogis and newcomers, offering classes that focus on flexibility, strength, and mindfulness.
At Yoga Six, the core offerings revolve around six diverse class types, including Hot Yoga, Power Yoga, Restore, and Slow Flow, ensuring a well-rounded fitness experience. Ancillary services include workshops, private sessions, branded merchandise, and community events. Their target market spans busy professionals, fitness enthusiasts, and individuals looking for stress relief and overall wellness. The franchise’s consistent and structured class formats ensure that members know exactly what to expect, making Yoga Six an appealing option for people seeking consistency in their practice.
Yoga Six has grown steadily, with over 180 locations across the United States. The franchise’s reach continues to expand, thanks to the support of Xponential Fitness, which backs multiple top boutique fitness brands. Each studio serves hundreds of clients weekly, fostering a sense of community and wellness. This scalability, combined with the increasing popularity of boutique fitness and yoga’s mainstream appeal, positions Yoga Six as a formidable player in the wellness industry.
Franchisees are supported through a robust system that includes comprehensive initial training, covering operations, class structure, marketing, and business management. Ongoing support includes marketing strategies, site selection assistance, and access to industry-leading technology platforms. Yoga Six provides resources for instructor certification and continuous education to ensure class quality and consistency. With the backing of Xponential Fitness’s proven business infrastructure, franchisees have the tools to thrive in a competitive market, making this an enticing investment opportunity for those passionate about wellness and community.
Yoga Six Franchise Insights
- Yoga Six has grown to over 180 locations across the U.S., making it one of the fastest-growing boutique yoga franchises under the Xponential Fitness umbrella.
- With six distinct class types ranging from hot yoga to power flow, Yoga Six caters to a broad audience, ensuring members can find the perfect fit for their fitness goals and preferences.
- The yoga and mindfulness market is expected to surpass $66 billion by 2027, highlighting the increasing demand for wellness and fitness experiences like those offered by Yoga Six.
- Backed by Xponential Fitness, franchisees benefit from a robust support system, including site selection, marketing strategies, and instructor training, to ensure a successful launch and ongoing operations.
- Leveraging the strength of Xponential Fitness, Yoga Six enjoys national recognition alongside sister brands like Club Pilates and Pure Barre, enhancing marketing reach and credibility.
Yoga Six Franchise Key indicators
Growth YOY (%)
12%
vs industry 5%
Total U.S. Franchised Units
185
3-Year Failure Rate
8%
vs industry 9%
Sales-to-Investment ratio
0.9:1
How much does it cost to open a Yoga Six franchise?
Understanding the potential investment size and capital requirements is crucial when considering opening a Yoga Six 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 a Yoga Six 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 a Yoga Six below from the most recent Item 7 below:
Type of Expenditure | Minimum Investment | Maximum Investment |
---|---|---|
Initial Franchise Fee | $60,000 | $60,000 |
Initial Training Program Fee | $0 | $0 |
Travel & Living Expenses While Training | $0 | $3,000 |
Real Estate/Lease and Professional Fees | $25,000 | $43,000 |
Net Leasehold Improvements | $225,500 | $242,927 |
Signage | $15,000 | $26,000 |
Insurance | $1,200 | $2,600 |
Payments for Fitness Equipment & FF&E | $3,300 | $8,700 |
Pre-Sales and Soft Opening Retail Inventory Kit | $12,000 | $12,000 |
Audio/Visual Package and Computer System | $22,000 | $22,000 |
Initial Grand Opening Marketing & Advertising Spend | $15,000 | $15,000 |
Initial Instructor Training Fee | $3,000 | $4,500 |
Music Licensing, Technology, and Software Fees | $2,370 | $2,370 |
Additional Funds – 3 Months | $15,000 | $20,000 |
TOTAL ESTIMATED INITIAL INVESTMENT | $399,370 | $462,097 |
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 a Yoga Six franchise, the required capital involves both the initial investment costs and a net worth requirement set by Yoga Six. Let’s take a closer look below:
- Initial Investment As shown above, the total estimated initial investment ranges from $399,370 to $462,097. 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 Assets Requirement While Yoga Six doesn’t publicly disclose this, similar boutique fitness franchises generally require liquid assets of around $100,000 to $150,000 to ensure you can cover operational expenses during the initial months.
- Net Worth Requirement Based on industry norms, a net worth of approximately $500,000 to $600,000 is recommended. This demonstrates financial stability and the ability to support the business through its growth phase.
How much does a Yoga Six franchise owner make?
Calculating the salary of a Yoga Six 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 a Yoga Six 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.
Yoga Six Revenue & Gross Sales
Yoga Six has shown solid performance in the boutique fitness sector, with recent median gross sales reaching $394,968. This figure reflects consistent demand for its diverse class offerings, including vinyasa, power, and restorative yoga. The franchise’s revenue is driven by a loyal client base and a strong membership model, encouraging repeat business and community engagement.
Which key factors impact the average revenue performance of Yoga Six franchisees?
Several factors have likely contributed to Yoga Six’s recent median gross sales performance. The growing popularity of boutique fitness and wellness trends, particularly among younger demographics, has driven increased demand for yoga classes. Yoga Six’s diverse class offerings—from power and hot yoga to relaxation and restorative sessions—cater to a broad range of fitness levels and preferences, helping attract and retain members. Their membership model promotes steady, recurring revenue, while strong community engagement and a focus on modern, inclusive yoga experiences have strengthened brand loyalty. Additionally, strategic marketing efforts and the support from Xponential Fitness, which offers operational guidance and nationwide brand recognition, have provided franchisees with the tools needed to sustain and grow their businesses.
Yoga Six Franchise Operational Costs
When opening a Yoga Six franchise, key ongoing operational costs to consider include:
- Staff Salaries Paying certified yoga instructors, front desk staff, and managers to ensure high-quality class delivery and smooth daily operations.
- Rent and Utilities Leasing a prime location in high-traffic areas and covering expenses for electricity, water, heating, and air conditioning to maintain a comfortable environment.
- Class Supplies and Maintenance Regular replacement of yoga mats, blocks, towels, and cleaning supplies, along with upkeep of the studio and locker room facilities.
- Technology and Software Subscription fees for member management systems, scheduling software, and payment processing tools to streamline operations.
- Insurance Coverage for liability, property, and workers’ compensation to protect your business and staff.
- Cleaning Services Routine professional cleaning to maintain hygiene and safety standards, especially given high foot traffic.
Managing these costs effectively is essential for maintaining profitability and ensuring a consistent, high-quality member experience.
Yoga Six Franchise Fees (H3)
When operating this franchise, here are the key ongoing fees to keep in mind:
- Royalty Fee 7% of Gross Sales, payable weekly via electronic funds transfer (EFT) based on the previous week’s Gross Sales. This fee covers ongoing access to the franchise’s systems, branding, and resources.
- Brand Development Fund Contribution 2% of Gross Sales, payable weekly along with the Royalty Fee. This fee supports national and regional marketing initiatives to promote brand visibility.
- Potential Additional Fees There may be charges for extra training or technology updates.
Being aware of these fees helps ensure effective financial planning and operational success.
Yoga Six Franchise Earnings
Based on the most recent data, the franchise’s median gross sales reached $394,968, reflecting steady demand for its services. For an owner-operator, this translates to estimated earnings of $71,000. This figure indicates a good return for those actively involved in day-to-day operations, balancing revenue generation with effective cost management.
These earnings suggest a solid income potential within the boutique fitness industry, especially if operational efficiency and customer retention are prioritized. Factors such as location, marketing strategies, and service quality can further influence profitability. For owner-operators who actively engage with the community and maintain high-quality service, this franchise offers an attractive business opportunity with consistent returns.
How to Open a Yoga Six Franchise
Becoming a Yoga Six franchisee is a rigorous process that involves financial scrutiny, extensive training, and thorough evaluation.
The full process for how to open a Yoga Six franchise is outlined below:
- 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).
- Introductory Call Participate in a discovery call to learn about the franchise model, requirements, and expectations. Ask preliminary questions and assess if the opportunity aligns with your goals.
- Application Submission Submit a formal application detailing your experience, qualifications, and financial resources. The franchisor will review your eligibility to proceed.
- Discovery Day Attend Discovery Day at the franchise’s headquarters. Meet the leadership team, tour facilities, and gain deeper insight into the business operations.
- Franchise Agreement Signing Once approved, sign the franchise agreement and pay the initial franchise fee. This secures your territory and marks your official commitment.
- Site Selection & Lease Negotiation Work with the franchisor’s real estate team to identify and secure a suitable location. Receive assistance in negotiating lease terms and ensuring brand standards.
- Training Program Complete comprehensive training on operations, marketing, customer service, and systems. Training may include classroom sessions, online modules, and hands-on practice.
- Build-Out & Setup Begin construction and interior setup based on franchise guidelines. Install equipment, fixtures, and branding elements.
- Pre-Opening Marketing Launch marketing campaigns to build community awareness. Hire and train staff with guidance from the franchisor.
- Grand Opening & Operations Celebrate your grand opening with franchisor support. Start serving customers and benefit from ongoing assistance to ensure success.
Pros & Cons
Pros
Established Brand Recognition: As part of a well-known franchise system, you’ll benefit from strong brand credibility, which can attract customers faster than starting an independent business.
Diverse Revenue Streams: With offerings like group classes, private sessions, and branded merchandise, you have multiple ways to generate income.
Growing Industry: The boutique fitness industry is booming, with increasing demand for specialized wellness services, making this a lucrative market to enter.
Community-Oriented Model: Focus on personalized service and community engagement helps build a loyal customer base and enhances word-of-mouth marketing.
Cons
Ongoing Operational Costs: Expenses such as rent, staff wages, equipment maintenance, and utilities can add up and impact profitability if not managed carefully.
Market Competition: The boutique fitness sector is crowded with competitors like Pure Barre, Orangetheory, and F45, which means differentiating your offering is crucial.
Dependency on Location: Success relies heavily on finding a high-traffic location with the right demographic; poor site selection can negatively affect performance.
Seasonal Fluctuations: Membership retention may dip during holidays or summer months, impacting consistent revenue flow.