SNAP FITNESS Franchise Startup Cost, Profit & Opportunities
Snap Fitness Centers operates 24 hours a day and offers the sale of memberships that permits access to exercise tools comprising cardio-vascular, body building and other selected equipment. Snap Fitness has instituted a business structure and method for running a fitness and exercise club that features modern exercise equipment; 24-hour personal keycard permit for members, a web based training portal; personal fitness consultancy service, a wellness regime and web portal; automated customer costing and collection processes and services; web- based video security surveillance; and other confidential information.
The franchise of a Snap Fitness Club featuring modern exercise equipment and 24-hour call card permit for registered members. The franchiser grants the right to a franchisee to run and operate a Snap Fitness exercise and fitness center. The franchisee’s business will cover the sale of Memberships and running his/her Center. A Membership confers on the individual the right to access and use the Snap Fitness Center and any other centers on the affiliate network.
Snap Fitness puts on offer, directly or via a selected financing institution, the following financing modules: the Lease Servicing Center/Matrix Seller Program for new applicants starting a first Club or older franchisees starting an additional Club, the Snap Fitness In-House schedule for already running Snap Fitness franchisees to obtain financing for equipment and machinery to commence the next Snap Fitness site , and the Re-Snap drive for existing Snap Fitness franchisees extending the franchise agreement for another term.
The Snap Fitness franchise program also possesses eligibility for SBA loan schemes by being listed on the SBA Franchise Register. In addition to the above programs , Snap Fitness Center may, from time to time, reach an agreement with third party finance institutions or banks to offer financing to franchisees.
Snap Fitness Center offers an initial training schedule to at least two people in the franchisee’s business team (including the Business owner/General Manager), with an obligation on the attendees to successfully complete to the satisfaction of the franchiser. This training program has duration of 4 days. There are no charges for this training, but the franchisee will shoulder the cost of travel and living expenses and other costs for personnel to be trained.
Without notice and periodically, Snap Fitness Center may offer additional training programs, with the possibility of charging a fee for attending these programs. Training will be held at either Snap Fitness headquarters in Chanhassen, Minnesota, or at the franchisee’s site, just before commencement of operations.
Snap Fitness Franchise Locations and Territory
Snap Fitness Centre does not accord the franchisee any exclusive territories. At the signing of the Franchise Agreement, the franchisee will choose a general geographic location in which he or she proposes to run the Club. Snap Fitness Center will grant approval to the franchisee’s choice of location unless it is determined, at the behest of Snap Fitness Center, that opening such a club may adversely impact on the operations of another Snap Fitness franchisee. At the minimum, a Preliminary Considered Area will comprise one city block and, for a rural and suburban location, such a designation could span a three-mile driving radius from the intended location.
Agreement and Renewal
The franchisee agreement will span 10 years at the start, with the option to renew for an infinite number of additional 10-year terms, if basic requirements are observed.
Obligations and Restrictions
For the duration of the Franchise Agreement, the franchisee or business owner must accord full attention and best efforts in the running of the Center. The franchisee is obligated to stay updated as touching the franchisor’s organizational goals, plans and long term vision, ensuring regular retrieval and assimilation of information sent to the franchisee via electronic mail and other media.
The franchisee will be obligated to provide direct on the spot supervision at the Club. The franchisee must put on offer at the Club all of the product listings, tools and associated services that Snap Fitness Center mandates and may not put on display at the Center any unapproved items or employ the premises for any purpose other than the activities of the center.
Breakdown of Franchise Costs
Here is the cost of snap fitness franchise:
Commencement fee: 25,000 USD
Trademark kit: 8,255USD
Fitness and exercise Equipment: 38,000 USD
Freight ,haulage and Installation: 17,000 USD
Door Permit, Security and Monitoring System: 6,780 USD
Mirrors: I,060 USD
Property Improvement: 125,000 USD
Installation and Flooring: 7,295 USD
Rent: 18,000 USD
Security Deposits: 5,800 USD
Insurance: 900 USD
Training program Expenses: 2,000 USD
Professional charges: 4,000 USD
Miscellaneous funds: 20,000 USD
Other charges include a continuation charge at 509 USD per month, a national marketing pool fund put at 135 USD per month, as well as a Corporate advertising charge set at 200 USD per month.