Overall costs for Orangetheory Fitness run anywhere from $574,900 to $1,750,550. See how the costs break down and what funding options might be right for your new venture into the franchise foray.
How COVID-19 affects franchising costs
Strict sanitation and employee protection measures during the coronavirus outbreak add to the typical costs you face when opening a new franchise. Paired with the unusually heavy amount of promotions that may be required by the franchise, you may not see as much in the way of profits starting out. For more information on what support is out there, read our guide to
loans for businesses affected by the coronavirus.
Estimated initial costs
Our cost estimates are accurate as of 2019 from
https://www.franchisedirect.com and include opening fees and expenses only. Your location may result in higher or lower fees.
Franchise fees
Orangetheory Fitness franchise fees total around $59,950, which is more than the $37,000 average for the 200 largest franchises.
| Initial fee |
$59,950 to $59,950 |
| Estimated total |
$59,950 to $59,950 |
Equipment fees
Equipment fees total $253,700 for Orangetheory Fitness. This costs more than the $180,023 average for the top 200 franchises.
| Reception desk, retail display wall and all interior logo signage |
$11,600 to $14,000 |
| Fitness equipment, including installation and OT Beat startup system |
$122,000 to $190,000 |
| Fitness equipment maintenance |
$900 to $2,400 |
| AED and first aid equipment and training |
$1,000 to $5,000 |
| Exterior signage |
$5,000 to $7,000 |
| Technology system |
$60,000 to $88,500 |
| Estimated total |
$200,500 to $306,900 |
Real estate fees
Real estate will set you back $797,375 for Orangetheory Fitness, which is more expensive than the average of $788,376 for the top 200 franchises.
| Deposit for leasehold |
$8,750 to $206,000 |
| Three months' rent |
$16,000 to $114,000 |
| Leaseholds improvements and construction costs |
$250,000 to $1,000,000 |
| Estimated total |
$274,750 to $1,320,000 |
Training fees
Orangetheory Fitness initial training costs total $5,450, which comes in under the nationwide average of $9,788.
| Travel and living expenses during training for all attendees |
$1,200 to $4,800 |
| Presales coordinator program |
$0 to $4,900 |
| Estimated total |
$1,200 to $9,700 |
Inventory costs
Initial inventory for Orangetheory Fitness shakes out to $5,000. This is less than the nationwide average of $53,119.
| Initial inventory of orangetheory fitness retail merchandise |
$4,000 to $6,000 |
| Estimated total |
$4,000 to $6,000 |
Marketing costs
Advertisement and marketing costs total up to $35,000 for Orangetheory Fitness, which is more than the nationwide average of $9,938.
| Presale and grand opening advertising |
$30,000 to $40,000 |
| Estimated total |
$30,000 to $40,000 |
Licenses and permits costs
Orangetheory Fitness initial licenses and permits will set you back $2,000. This comes out to less than $18,770 — the overall nationwide average.
| Business licenses and miscellaneous opening costs |
$1,000 to $3,000 |
| Estimated total |
$1,000 to $3,000 |
Insurance costs
Initial insurance costs for Orangetheory Fitness run $4,250. This means you'll be paying less than the overall nationwide average of $6,311.
| Insurance |
$3,500 to $5,000 |
| Insurance premiums |
Amount of unpaid premiums, plus an administrative fee. |
| Estimated total |
$3,500 to $5,000 |
All costs were found using the 200 largest franchises nationwide using Franchise Direct's list of more than 300 franchises, and are accurate as of 2019.
How to finance
The best way to finance Orangetheory Fitness comes down to your personal financial situation. What assets you have available will largely determine how much you need to borrow, and which option suits you best. Potential solutions include:
- Bank loan. Your personal credit plays a large role in getting a business term loan from a bank. Typically this type of funding is for larger amounts.
- Online loan. Credit requirements may be more flexible for an online loan than a bank loan, but amounts may max out at a lower amount — typically around $1 million.
- SBA loan. The good part about SBA loans is that they top out at $5 million, but your business has to meet a number of requirements.
- Credit card. Small costs that aren't fixed, such as stray inventory and supply purchases, may be better off on a business credit card. Just make sure you can pay it off quickly to avoid high APRs.
Also check if Orangetheory Fitness franchise financing is available. You may be able to get some of the costs covered for less than you would with other traditional funding options.
Compare small business lenders
How Orangetheory Fitness stacks up
Compare how Orangetheory Fitness holds up against two similarly sized franchises.
| Average Franchise fees |
$18,750 |
$59,950 |
$25,000 |
| Average Equipment fees |
$825,000 |
$253,700 |
$157,400 |
| Average Real estate fees |
$1,830,000 |
$797,375 |
$141,680 |
| Average Training fees |
$47,500 |
$5,450 |
$9,423 |
| Average Inventory fees |
$45,000 |
$5,000 |
$6,000 |
| Average Marketing fees |
$35,000 |
$35,000 |
$30,000 |
| Average Licenses and permits fees |
NA |
$2,000 |
NA |
| Average Insurance fees |
NA |
$4,250 |
$775 |
| Average Admin fees |
NA |
NA |
$4,650 |
| Average Personnel fees |
NA |
NA |
NA |
| Average Other fees |
$87,500 |
NA |
$30,635 |
Bottom line
Orangetheory Fitness franchise costs run a total of $1,162,725. Before you decide to become a franchisee, compare the total costs against industry averages. And to learn more about financing
read our guide to franchise financing.
