Though you could theoretically own a franchise in almost every industry, they're uniquely suited to the world of fitness. That's because they offer owners the benefit of a trusted business plan in an market segment that's set to grow. At the most basic level, a franchise is a license sold to a third party vendor that allows them to conduct business under the name of the parent company.

Franchisees who are granted the right to use this brand and business model own their own company. They usually pay an annual fee and have to abide by the rules of the franchise organization. Entrepreneurs who buy a fitness franchise, such as a gym, have the freedom to operate as a branch of a national brand and enjoy all of the recognition that comes with it.

Running Your Own Fitness Franchise

Someone who buys a gym franchise is the full owner of their own local workout spot. Though they have the name of a recognizable chain, that doesn't mean that their gym is owned by that company. While they do have to incur the risks that come with owning a business, that means they get to keep their own profits as long as they adhere to the terms of their franchise agreement. This can make them extremely lucrative if they manage to attract a reasonable number of clients.

Fitness franchises usually do best when they focus on retaining customers and bringing in new ones. Eventually you'll reach a point where you've signed up everyone in the immediate area who's interested in a gym membership, so customer retention becomes increasingly important over time. Customers who stay with a gym over a longer period tend to become a large part of a local gym's profit base. Special membership programs for those who have been there the longest are a great way to reward your best customers.

Why Fitness Franchises Are Beneficial

Since a fitness industry franchise provides a service that's genuinely helpful to people, they tend to be more successful than many other types of franchises. Gym members often join because they're sincere about getting in shape and really want to do something that's good for their health. That gives these franchises a much better public image than fast food restaurants.

Individuals who want to invest in a franchise opportunity will usually find that gyms have a much better profit margin as well, since they don't require owners to buy a large number of consumables. Exercise equipment tends to last a while, so capital expenditures are fairly predictable. Though you do need to put some effort into marketing, gym memberships have a tendency to sell themselves. Investors who open up a gym in a community that's never had one might be able to attract a fair attention based on novelty alone.

While there are any number of franchise opportunities competing for attention, those in the fitness industry might be the best bet for people looking to go into business for themselves.