Anytime Fitness

Anytime Fitness charges a $42,500 franchise fee for standard new franchisees — the same for most buyers, with reductions to $22,500 for veterans, multi-unit operators, or Club Purple/Platinum members. That sits mid-range for the fitness category (F45 goes higher; Planet Fitness franchisees don't pay this structure).

The real cost driver is buildout. Leasehold improvements alone run $94K to $430K for a vanilla shell space — the single largest variable in your total investment. On top of that, fitness equipment runs $138K–$156K and a mandatory technology package from the franchisor's affiliate ProVision costs $30K–$36K (including access control, security cameras, sound, and door readers). Add the $37K–$57K for three months' rent and security deposit, and you're looking at a total investment of $459K–$908K before you open.

The ongoing fee structure is distinctive. Rather than a percentage royalty, Anytime Fitness charges a flat $820/month per location. At typical revenue levels ($395K median annual), that's roughly 2.5% of gross — far below the 5–8% fitness category average. The technology fee is another $799/month, and the ad fund is $600/month. Combined monthly fees: approximately $2,219, or about $26,600 annually, before local marketing requirements.

Here's the critical caveat: the franchisor can replace the flat $820 royalty with a percentage fee of up to 8% of gross revenue on just 30 days' notice. At median revenues of $395K, 8% would be $31,600 annually versus the current $9,840. The flat-fee structure benefits high-volume locations most — a club doing $750K would be paying 1.3% in effective royalty versus the potential 8% ceiling. The technology fee increases 10% annually compounded, with no cap disclosure.

Anytime Fitness provides one of the more detailed Item 19 disclosures in the fitness category, using 11 company-owned centers as a proxy for franchisee economics (adjusted for estimated franchisee costs).

Among 1,656 franchised centers with the Coaching Suite program, average annual revenue was $443K with a median of $395K. The top quartile averaged $742K. The bottom quartile averaged $232K. These are total revenue figures including membership, personal training, and program sales.

The company-owned P&L tells you more. On average revenue of $529K, these 11 corporate locations showed EBITDA of $144K (27.2% margin) after a manager salary of $45K. Expenses included $113K in rent and CAM, $105K in personal trainer payroll, $27K in utilities, $10K in advertising fund, $10K in local advertising, and $12K in maintenance. The median EBITDA was $92K — a significant gap from the average, suggesting a few high performers skew the average.

For franchised SmartCoaching centers (those using all five digital engagement tools), average revenue was $532K — about 20% higher than the standard Coaching Suite group. This is meaningful: the tools appear to drive real incremental revenue.

The Anytime Fitness system has declined for three consecutive years: from 2,330 units in 2022 to 2,310 in 2023 to 2,301 in 2024. Net change in 2024 was -9 locations (46 opened, 33 terminated, 21 non-renewals). The franchisor projects only 48 new openings for the next fiscal year.

This is a mature, large system in slow contraction — not a collapsing one. The termination and non-renewal rates are relatively low as a percentage of the 2,290-unit base. But three years of net negative unit counts is a trend worth noting for a fitness franchise competing against Planet Fitness's aggressive growth and Orangetheory's boutique expansion. The 179 signed agreements not yet open suggest the pipeline isn't empty.

The 30-day royalty conversion clause is the most significant financial risk in this franchise agreement. Today you pay $820/month; tomorrow (with 30 days notice) you could owe 8% of gross. At $400K in revenue, that's a $22,000 annual increase in royalty obligations. Budget as if this could change.

The technology fee increases 10% annually compounded. At $799/month today, in five years that's approximately $1,287/month — a 61% increase, adding roughly $5,900 per year to your fixed costs with no corresponding revenue increase required.

If you don't open your Protected Territory within 12 months, the monthly fee clock starts anyway — you begin paying before generating revenue. The renewal fee is $7,500 at the end of a 6-year term, and renewal is for only 5 years (shorter than the original term). Default fees can stack: $1,000/month per violation from both the standard and peer compliance pathways simultaneously.