Crunch Fitness Franchise FDD, Costs & Fees (2024)

KEY FRANCHISE STATS

All you need to know about this franchise in a snapshot

Initial franchise fee
$25,000
Investment required
$668,000 - $6,671,000
Royalty fee
5.00%

Crunch Fitness: A Leader in Innovative Fitness Solutions

Crunch Fitness is a well-known franchise chain of fitness studios that started in New York City.

Founded by Doug Levine in 1989 in NYC’s Greenwich Village, it began as a small fitness studio located in a modest basement.

Crunch Fitness operates under two distinct brands: Crunch Fitness and Crunch Signature.

Crunch Fitness offers the standard format, featuring group classes, advanced HIIT sessions, and typical gym facilities. Crunch Signature Clubs, however, are primarily high-end, full-service establishments with monthly memberships, mostly located in major cities. These clubs provide a wide array of services, classes, and amenities. 

Currently, there are only 28 exclusive Crunch Signature gyms worldwide. Crunch Fitness entered the franchise market in 2010. Today, it has grown to over 400 gyms across the US, Canada, Spain, Portugal, Costa Rica, and Australia, with an impressive 92% of these gyms being franchisee-owned.

Initial investment

Here's what you would need to invest if you were to start this franchise. These costs are provided by the franchisor in the Franchise Disclosure Document.

Crunch Fitness offers 3 types of franchises:

Type of Franchise Initial Investment
Crunch Fitness health club franchise $668,000 to $3,513,000
Crunch Select health club franchise $794,000 to $5,418,000
Crunch Signature health club franchise $1,277,000 to $6,671,000

We are summarizing below the main costs associated with opening a Crunch Signature health club franchise.

For more information on the various types of franchises and its costs, refer to the Franchise Disclosure Document (Item 7).

Crunch Signature health club franchise

Type of Expenditure Amount
Initial Franchise Fee $25,000
Training Expenses $3,000 to $20,000
Real Property, whether purchased or leased See Note (4)
Lease deposits $15,000 to $100,000
Leasehold Improvements $800,000 to $4,000,000
Fitness equipment, fixtures, other fixed assets $250,000 to $1,250,000
Opening Inventory $6,000 to $10,000
Site Selection Travel Expenses $2,000 to $6,000
Security deposits, utility deposits, business licenses bonding (if required) and prepaid expenses $6,000 to $90,000
Professional fees $20,000 to $120,000
Signs $10,000 to $100,000
Office equipment, computer system, furniture graphics package and supplies $25,000 to $35,000
Initial Advertising $30,000 to $75,000
Insurance $10,000 to $40,000
Additional Funds - 3 months of operations $75,000 to $800,000
Totals $1,277,000 to $6,671,000

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Number of units

2023
Franchised units

252

284

318

Company-owned units

23

22

13

Total units

275

306

331

Franchise Disclosure Document

Training 

General Training Overview

Crunch Fitness offers a comprehensive training program called Crunch University. This program utilizes a multi-dimensional approach, including classroom sessions, virtual meetings, online learning, in-gym training, and certifications.

Franchise Introduction

The introductory phase is conducted through a virtual meeting, focusing on familiarizing franchisees with the Intranet & Crunch Connected platforms.

Certification Training

Crunch Fitness provides several 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 franchisees opting for ABC's Full Service Package, an extra 10 days of training is provided at no additional cost. ABC Financial also offers additional training sessions upon request, priced at $800 per day.

Role-Based Training

Managers, regional representatives, and executive-level team members must attend and complete role-specific training. Franchisees are responsible for the costs associated with their managers' attendance.

On-Site Training

Prior to the opening of a new Franchised Business, Crunch Fitness provides up to five days of on-site training at the franchise location, covered by Crunch Fitness.

Territory Protection

Crunch Fitness ensures that each franchisee benefits from territory protection. According to the Franchise Agreement, franchisees are assigned a protected territory that typically includes a population of approximately 75,000 people at the time of agreement signing. This protection helps to minimize competition among franchisees and supports the success of each individual location. 

The protected territory allows franchisees to build their business with the confidence that their market area will not be encroached upon by another Crunch Fitness franchise. This strategic advantage not only fosters a stronger local presence but also encourages franchisees to invest in their community and customer base, knowing they have a secure market area.

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