Are you interested in investing in boxing franchises or eager to invest as a franchisee? However, you’re unsure of the business model’s profitability? Maybe you have a passion for the sport and you’re curious as to how to turn that passion into a career.
If this sounds like you, you’ve come to the right spot!
Boxing gyms across the globe have shown tremendous amounts of promise, especially in recent years; it’s why there seems to always be a new franchise opening up on every street corner!
From the outside looking in, it’s safe to presume that it’s a profitable endeavour. Upon taking a closer look, however, a boxing franchise’s profitability, much like any other fitness facility’s profitability, is highly dependent on a myriad of factors.
These factors include perceived value, actual value, location, ownership, associated costs, franchising model, and more… With that being said, assuming that the boxing franchise in question operates like a well-oiled machine, boxing franchises, in general, can be quite profitable.
In what follows, we’ll be discussing the five main types of franchises and what type boxing franchises fall under, as well as popular boxing franchise brands. Finally, we’ll share some broad insight into what you can expect financially as a boxing franchisee.
Types of Franchises
As mentioned above, there are five primary types of franchising models that encompass an entire host of industries and investment strategies. Before getting involved in a boxing franchise, it’s important to understand what type of franchising model it falls under and what that model entails.
The five (5) types of franchises are as follows:
- Job Franchise
- Distribution Franchise
- Business Format Franchise
- Investment Franchise
- Conversion Franchise
Boxing franchises, much like other fitness-based franchises, restaurants, and retail businesses, fall under the Business Format Franchise. This, as suggested, is the most common type of business franchising model, arguably because it’s also the most profitable.
This type of franchise operates in such a way whereby the franchisee runs the business under the parent company’s brand, being provided with a roadmap on how to market and manage the business from start to finish.
Because of the involvement of the franchisor and the proven recipes for success being passed on to the franchisees, boxing franchises that operate under the business format tend to be very successful and profitable.
Some of the most popular boxing franchise brands that operate under the business format model include LA Boxing, TITLE Boxing Club, Mayweather Boxing + Fitness, Legends Boxing, and of course, Spartans Boxing Club!
What to Expect as a Franchisee
When deciding whether or not to embark on your boxing franchisee journey, there are several things to consider prior to making the commitment. While the ongoing assistance on behalf of the franchisor is likely to lead to profits, none of it matters if you can’t afford the upfront fees.
These franchise fees include but are certainly not limited to the initial franchise fee, training fee, lease and building fees, security deposits, and of course, the available liquid capital and net worth of the potential franchisee.
In other words, if you don’t have the required capital available upfront, the franchisor will not move forth with your application (most franchisors require a minimum net worth and capital investment)…
Assuming that you do meet the minimum financial requirements of a franchisee, below are some averaged-out fees for each of the above that you can expect to pay before making a dollar running the business.
- Available Upfront Capital: $100,000
- Initial Franchise Fee: $50,000
- Training Fee: $5,000
Again, while this differs depending on the boxing franchise in question, you can expect a $150,000 investment on the low end to $500,000 on the high end.
Once you’ve cleared the onboarding stages of becoming a franchisee and you’re now in the swing (no pun intended) of running the business, you might be wondering what you can expect to clear in revenues and profits an on annual basis.
At the risk of sounding redundant, this can be hard to predict, as it varies from brand to brand. With that said, a franchise owner of a large boxing franchise can gross upwards of $250,000 annually, while a franchise owner of a smaller boutique boxing franchise may only take home a salary of $50,000 per year. In comparison to standard big box gym franchises, these numbers are relatively comparable, though boxing gyms tend to have much lower overhead.
In any case, boxing franchises are a lucrative business if the business itself is run properly…
Own Your Own Spartans Boxing Franchise!
If boxing is your passion and you’re looking for ways to make it into a lasting career, owning a boxing franchise might be the career path for you… Here at Spartans Boxing Club, we can help!
With a proven business model that has returned incredible profits year-over-year for our franchisees, and offering all that you need to succeed in the operation of your franchise, there’s no better opportunity than the one here at Spartans Boxing Clubs.
If you’re interested in becoming a Spartans franchise owner or you simply want to learn more about the business and its offerings, be sure to contact us at franchise@SpartansBoxing.com. We look forward to hearing from you!