Crunch Fitness Franchise Costs, Fees & Owner Salary (2023)

Initial Franchise Fee

‍You must pay an initial franchise fee of $25,000 upon the execution of the agreement. This fee is fully earned and nonrefundable. If installment payments are permitted, a promissory note in a form acceptable to Crunch Fitness must be signed. The receipt of the Initial Franchise Fee, or its first installment if installment payment is allowed, is a condition for the agreement to be effective.

Royalty Fee

‍Franchisees are required to pay a monthly Royalty of five percent (5%) of Gross Sales. This Royalty must be calculated and paid within five days after the end of each calendar month. The Royalty will be automatically deducted from the franchisee's bank account.

Brand Marketing Fund Contribution (Marketing Fee)

‍Franchisees must make a monthly contribution to the Brand Marketing Fund. The amount is designated by Crunch Fitness but will not exceed two percent (2%) of Gross Sales. This contribution must be calculated and paid within five days after the end of each calendar month.

The Brand Marketing Fund Contribution will be automatically deducted from the franchisee's bank account. In certain situations, instead of charging a Brand Marketing Fund Contribution, Crunch Fitness may charge franchisees on a pro rata basis for specific marketing and advertising projects.

General Training Overview

‍The Crunch training program, known as Crunch University, adopts a multi-faceted approach that encompasses classroom sessions, virtual meetings, online learning, in-gym training, and certifications.

Franchise Introduction

‍This is a virtual meeting that serves as an introduction to the franchise, focusing on the Intranet & Crunch Connected platforms.

Certification Training

‍Crunch Fitness offers various certification programs, including:

• Group Fitness Certification
• HIITZone Certification
• Hot Yoga Certification
• Ride Studio Certification
• Personal Training Certification which covers Personal Training, CrunchONE Kickoff, and Founding Client Campaign Certification.

Additional Training by ABC Financial Services

‍For those who opt for ABC's Full Service Package, they will provide 10 days of additional training at no extra cost. This is in addition to the training described in the main program. ABC Financial also offers extra training sessions to franchisees upon request, currently priced at $800 per day.

Role-Based Training

‍All managers, regional representatives, and executive-level team members are mandated to attend and successfully complete various aspects of the training based on their specific roles. The franchisee is responsible for covering the expenses of their managers attending this training.

On-Site Training

‍In conjunction with the opening of the Franchised Business, Crunch Fitness provides up to five (5) days of on-site training at the location of the Franchised Business. This training is provided at the expense of Crunch Fitness.

Yes, Crunch Fitness does offer territory protection. Each franchisee will receive a protected territory under their Franchise Agreement. The territory for each Crunch Fitness Franchised Business will encompass a population of approximately 75,000 persons at the time of signing the Franchise Agreement.

The franchise cannot be run purely as a passive investment.