Business GrowthBusiness ManagementFundamentals and Best Practices How Much Do Fitness Franchise Owners Make?

How Much Do Fitness Franchise Owners Make?

Are you considering starting or investing in a fitness franchise and wondering how much franchise owners make and what it could mean for your financial future? That’s a smart thing to ask yourself—’cause in the world of fitness franchises, your success and your salary are closely intertwined! 

At ABC Trainerize, we help gym owners take their fitness franchises to the next level through streamlined operations and management. If you’ve been considering becoming an owner of one of these businesses, you want to know what it’ll take and what you’ll make—and we’re happy to share all our insider intel. (We got you.) 

Let’s dive right in to discuss how much fitness franchise owners make and the factors that influence their salaries!

How much do fitness franchise owners make?

 The average annual salary of franchise owners ranges from $39,000 to $62,000 in the United States, with a total average of $49,588. There’s a lot of variance here though— franchise owners with more experience (and those in large markets) can make much, much more. Franchise fees are a factor too, and your Franchise Disclosure Document will outline how you and your franchisor will exchange funds. 

Industries change, and most fitness franchise owners have seen their businesses vary in performance based on several factors—some expected, and others not so much. With the growing interest in health and wellness, the fitness industry has increased year-over-year, with a total value of more than $87 billion, which is expected to increase by 171.75% by 2028. 


Although this general growth is promising, it’s also important to remember that industry performance can vary depending on the niche of your business. During the COVID-19 pandemic, 25% of gyms and health clubs were forced to close their doors. However, businesses that centered on at-home workouts thrived. Our industry’s success depends directly on consumer behaviors and public interest—like any other industry, of course. 

Put simply, though: buying a franchise can be a perfect way to jump into the ownership side of the fitness industry. Instead of jumping in the deep end alone, you’ll start off with a proven brand and client base—and that’s so ideal. Reputation is everything, and you won’t be starting from zero. (That’s the same logic behind food franchises, and those are big money-spinners.)

5 factors that affect your fitness franchise earnings

These core factors play a huge role in shaping how your business will perform—and your personal bottom line. 

1. Location

The location of fitness franchises can play a significant role in their financial performance and earnings. Although health and fitness is a global industry, the fact remains that it’s more popular and more likely to perform in certain areas. Setting up shop in an area where fitness culture is thriving usually increases how much those franchise owners earn. Plus, choosing a location where locals have a high amount of disposable income can also increase your revenue. .

2. Competition

The fitness industry is growing at a very fast rate, and quite a few people are looking to enter this space. The competition is fierce in this industry, and entering a niche or area that has a lot of competition may undermine your franchise’s performance. That said: high-competition areas are usually dense with gym-goers, so if you manage to stand out in your locale, you’ll build a profitable franchise. 

3. Business expertise

Passion and innovative ideas are driving forces in growing a successful business, but the reality is that having a keen understanding of business also plays a large role. You’ll want to have enough business expertise to be able to lead your business to greatness. Owners make a lot of very tough decisions that can make or break a business, so make sure you know your stuff!

4. Stock options

A stock option allows investors and employees to buy and sell a stock at a certain price and on a certain schedule. Many franchise owners use stock options as a part of the employee compensation package. Although this can support paying a lower wage upfront, it’s often considered an expense and will reduce the final earnings for the fitness franchise. 

5. Workforce

For any business, few factors influence performance and earnings quite like the workforce. While a talented and driven workforce can help a business to earn more, a team that performs poorly can have the opposite effect. The workforce can also determine the salaries that are paid for a business since specialty staff can cost quite a bit more. You pay for the best!

6. Real estate

You can’t move a brick-and-mortar franchise online, and the real estate costs associated with your location are a huge determinant of your profitability. If you’re in a high-cost-of-living (HCOL) area (like Vancouver, New York, or London), your monthly rent or mortgage will take more off the top than in a more affordable market. That’s not always a bad thing, though: you’ll be able to charge more in a HCOL area, and access a bigger client base.


5 tips for increasing profit as a franchise owner

Finding fitness franchises with these key features will help you to achieve your goals.

1. Shop around for a profitable franchisor

When you’re starting to look for which franchise to start, look for fitness franchises with high profit potential. You’ll meet with their corporate team, and make sure to ask lots of questions during your franchise business review. Do they have an existing history of high performance, analytics that clearly demonstrate future growth, and a high market interest with low competition? How much does a Planet Fitness owner make, and how much does a GoodLife owner make? These are all things you’ll want to ask before you sign. 

2. Keep your startup costs low

Increasing your profit is always easier when you do not start off already in the red. If you can find a franchise that has low startup costs, you are already on your path to higher profits. To achieve this, it’s very important to be realistic about the startup costs to avoid any unpleasant surprises.

3. Operate lean as you grow

The operating costs of your business will eat away at your net profits. By minimizing expenses, you make it much easier for your business to be profitable. Keeping operating costs low means investing in core capabilities like equipment and fitness management software instead of fancy marketing campaigns. As you grow, you’ll get more space to play, but stay careful when you’re new. 

4. Staff up carefully 

One of the largest expenses when operating a business is staffing needs. Even the greatest employee in the world is still an expense. Since your staff will be a significant expense, it’s always best to avoid overstaffing. Having a realistic staff count can cut down on expenses and minimize wasted hours.

5. Expand to multiple locations (when you’re ready)

Growth is not always a linear path, whether you are starting up a fitness franchise or taking over a local fast-food chain. Scaling a business to include multiple locations is a natural growth opportunity for fitness franchises, and it can have a significant impact on the overall profitability of a business.

A standalone fitness franchise can bring in amazing revenue, especially if it’s performing well. Of course, when you are able to open a second or third location, and they all perform fairly well, it only makes sense that your business will bring in even more!


So, what’s next?

Even though the average annual earnings for franchise owners hover around $50,000 a year, the sky’s the limit in our business. ABC Trainerize can help you to manage your membership, grow your community, show off your franchise brand, and increase the value of your business one session, set, and membership at a time!

Leveling up your business expertise and using dedicated tools to support the growth of your fitness franchise can help you to go from a proud startup to a profitable franchise with ease. So come on: let’s build your business, dazzle your clients, and turn workouts into profits!

Ready to take your fitness business to the next level?
Start your free 30-day trial of ABC Trainerize. 

Try it Now

Comments are closed