Planet Fitness franchise unit economics
Planet Fitness franchisees run gyms that sell Classic and Black Card memberships billed monthly by electronic funds transfer.
Planet Fitness in the news
- Planet Fitness, Inc. Announces Second Quarter 2026 Results · Planet Fitness (SEC filing) ·
The Planet Fitness headline above is the publisher's own and links to the publisher. Averan Advisors checked this Planet Fitness link on 11 October 2026. Franchise news lists news on 95 brands, including Planet Fitness. Planet Fitness is in the Gyms and Clubs franchise guide.
Planet Fitness franchise at a glance
Planet Fitness's Item 19 reports 2025 membership revenue for 2,291 franchised clubs in three groups, and a full profit and loss statement for 262 company-run clubs by third.
Item 19 of Planet Fitness’ 2026 FDD, issued 22 May 2026, reports that 2,291 franchised Planet Fitness clubs trading all of 2025 drew $1,260,539 to $2,705,811 of annual membership revenue across three groups. The 2,291 in that group are 94%* of Planet Fitness’ 2,432 locations.
- A Planet Fitness franchise costs $1,322,500 to $5,386,000 to open, including a $40,000 initial franchise fee, according to the brand's 2026 FDD.
- Planet Fitness charges a royalty of 7% of sales and a 2% brand fund contribution.
- On Averan's reading, Planet Fitness's franchise fees come to about 9% of sales.
- Work out Planet Fitness's fees at your own sales with the minimum fee calculator.
These figures come from Planet Fitness's 2026 Franchise Disclosure Document, as the brand reported them, and were read by Averan Advisors.
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Talk to Averan → Move your books and accounting to Averan →- Wages rise 23.2% while net revenue rises 101%. At the Planet Fitness corporate clubs, wages run $309,345 to $381,069 against net revenue of $1,322,899 to $2,658,690, falling from 23.4% to 14.3% of revenue.
- Rent overtakes wages as the largest line at the top third. $441,654 against $381,069, a $60,585 gap, where the bottom third pays $5,584 more in wages than rent.
- Profit runs $280,839 at the bottom third and $1,104,804 at the top. Margins of 21% and 42%, a 3.93 times range on revenue that doubles.
- Net revenue per square foot is $66.95, $100.99 and $123.82. Those clubs average 19,760, 19,619 and 21,472 square feet, so they are almost the same size.
- The $50,000 minimum local advertising charge binds on any club below $833,333 of membership revenue. At the lowest-selling franchised club, on $429,581, the $50,000 minimum is 11.64% of membership revenue against 6% for everyone else. The 9% paid to the brand does not change.
How much does a Planet Fitness franchise make?
The 2026 FDD for Planet Fitness reports franchised membership revenue by third, from a bottom-third average of $1,260,539 to an upper-third average of $2,705,811, and a profit and loss statement for corporate clubs with margins of 21% to 42%. Planet Fitness had 2,432 franchised clubs at the end of 2025, and the total investment runs $1,322,500 to $5,386,000.
Top performers
What separates the top Planet Fitness performers
Planet Fitness splits its locations into groups instead of publishing one average. The top group averaged $2,705,811 a year. The lowest averaged $1,260,539. Both run the same brand, on the same agreement, paying the same fees.
Decided before you open
- Site and trade area.The top band sells 2.1× the bottom band. Catchment, daytime population and neighboring businesses affect where a location falls.
- Capacity.Locations run 19,619 to 21,472 square feet. The build sets how much you can sell.
- Opening cost range.Opening costs $1,322,500 to $5,386,000, a 4.1× range inside one brand.
Live operating levers
- Membership drives the model.Track how many members join, how many cancel, and what each member spends beyond the plan.
- Fees.Planet Fitness’ fees run about 9.0% of sales, and Planet Fitness sets no minimum royalty, so the rate is the same at every sales level.
Context you underwrite around
- Locations included.Planet Fitness’s franchised figures cover 2,291 of 2,432 franchised clubs. The filing leaves out 133 clubs that opened after 1 January 2025 and 8 sold to a franchisee in August 2025, and it reports 270 of 277 corporate clubs separately.
- What the filing does not include.Planet Fitness’s Item 19 gives no profit or cost data for franchised clubs. The only margin figures in the document come from 262 corporate-owned clubs.
The brand’s own profit and loss
Corporate club results by third, 2025
| Line | Bottom third | Share | Middle third | Share | Upper third | Share |
|---|---|---|---|---|---|---|
| Membership sales by electronic transfer | $1,345,489 | n/a | $1,996,352 | n/a | $2,684,521 | n/a |
| Other membership sales | −$22,589 | n/a | −$15,010 | n/a | −$25,831 | n/a |
| Net revenue | $1,322,899 | 100% | $1,981,342 | 100% | $2,658,690 | 100% |
| Wages | $309,345 | 23.4% | $346,644 | 17.5% | $381,069 | 14.3% |
| Marketing | $109,771 | 8.3% | $160,967 | 8.1% | $219,443 | 8.3% |
| Royalty | $95,680 | 7.23% | $140,450 | 7.09% | $189,608 | 7.13% |
| Utilities | $68,432 | 5.2% | $76,602 | 3.9% | $91,936 | 3.5% |
| Supplies and maintenance | $63,157 | 4.8% | $79,884 | 4.0% | $97,154 | 3.7% |
| Miscellaneous | $91,914 | 6.9% | $104,665 | 5.3% | $133,023 | 5.0% |
| Total costs excluding rent | $738,299 | 55.8% | $909,213 | 45.9% | $1,112,232 | 41.8% |
| EBITDAR | $584,600 | 44% | $1,072,129 | 54% | $1,546,458 | 58% |
| Rent | $303,761 | 23.0% | $363,277 | 18.3% | $441,654 | 16.6% |
| profit | $280,839 | 21% | $708,853 | 36% | $1,104,804 | 42% |
| Average square feet | 19,760 | n/a | 19,619 | n/a | 21,472 | n/a |
| Net revenue a square foot | $66.95 | n/a | $100.99 | n/a | $123.82 | n/a |
Dollar figures, EBITDAR, profit, the filed margins and square footage are as the brand reported it; the share column is marked *.
Wages rise $71,724 while net revenue rises $1,335,791. In percentage terms, Planet Fitness wages rise 23.2% while net revenue rises 101%. A club at the top third serves roughly twice the revenue on 8.7% more square footage and 23.2% more labor. At Planet Fitness, 72% of the extra net revenue at the top third reaches EBITDAR, $961,858 of $1,335,791 *.
At the top third, rent costs more than wages. At the Planet Fitness top third, rent is $441,654 and wages are $381,069. At the bottom third the relationship reverses, with wages $5,584 ahead. The Planet Fitness lease is set at signing, which is why rent falls from 23.0% to 16.6% of revenue while the dollar figure rises 45.4%.
Marketing is 8.1% to 8.3% of revenue at every third. It is the only line in the Planet Fitness statement that scales exactly with revenue. Utilities, supplies and miscellaneous all fall as a share (from 5.2%, 4.8% and 6.9% to 3.5%, 3.7% and 5.0%) because each has a fixed core. Royalty holds at 7.09% to 7.23%, which is what a percentage fee looks like.
EBITDAR runs 44%, 54% and 58% before rent is paid. After rent, the margins are 21%, 36% and 42%. So rent alone accounts for 23, 18 and 16 points of margin, more than any other single line except wages at the bottom third, and more than the entire difference between the bottom and middle thirds.
Net revenue per square foot is $66.95, $100.99 and $123.82. The clubs average 19,760, 19,619 and 21,472 square feet. The middle third is actually the smallest group by area and outbills the bottom third by 51% per foot. Whatever separates these clubs, such as market, membership mix, years open or management, shows up in revenue per square foot.
Fees and what it costs to open
Royalty and advertising costs
| Group | Membership revenue | Royalty at 7% | National fund at 2% | Local advertising | Paid to the brand | Share |
|---|---|---|---|---|---|---|
| Lowest-selling franchised club | $429,581 | $30,071 | $8,592 | $50,000 | $38,663 | 9.00% |
| Bottom third | $1,260,539 | $88,238 | $25,211 | $75,632 | $113,449 | 9.00% |
| Middle third | $1,873,231 | $131,126 | $37,465 | $112,394 | $168,591 | 9.00% |
| Upper third | $2,705,811 | $189,407 | $54,116 | $162,349 | $243,523 | 9.00% |
| Highest-selling franchised club | $5,271,381 | $368,997 | $105,428 | $316,283 | $474,425 | 9.00% |
We built this from Planet Fitness's filed rates. The royalty is 7% of total monthly and annual membership fees, drawn by electronic transfer. The national advertising fund fee is set at 2% of that base during 2026 and capped at 3%. The local advertising requirement is set during 2026 at the greater of $50,000 or 6% of cumulative monthly drafts. Local advertising is spent by the club and is not in the amount paid to the brand.
Fees paid to the brand take 9% of membership revenue at every club. The royalty and national fund are flat percentages with no minimum. Local advertising is 6% of membership revenue above $833,333, which the bottom third’s lowest club, at $429,581, does not reach. Below that line the $50,000 minimum local advertising charge takes over, and at the system's lowest-selling club ($429,581 of membership revenue) it is 11.64%. That minimum is the only non-linear term in this fee schedule and it reaches precisely the clubs least able to carry it.
The corporate statement books royalty at 7.09% to 7.23% of net revenue. Slightly above the 7% headline, because the royalty base is membership drafts while net revenue is that base plus a negative other-membership line. Anyone modeling this business should apply 7% to the draft figure, and the two diverge by roughly the value of returns, declines and refunds.
The join fee is a separate revenue stream for the franchisor. Planet Fitness charges 20% of the regular monthly membership fee for every new member. That is 5% of a prepaid membership, charged once per membership regardless of how it was sold. Planet Fitness signs many new members and loses many, so that fee grows with member turnover. So a club with heavy member rotation pays it repeatedly on the same slot.
Cost to open a club
| Item | Low | High |
|---|---|---|
| Initial franchise fee | $40,000 | $40,000 |
| Site selection costs | $0 | $10,000 |
| Construction plan review fee | $0 | $5,000 |
| Design resubmission fee | $0 | $5,000 |
| Building work | $1,000,000 | $2,167,000 |
| Fitness equipment | $33,300 | $995,000 |
| Non-fitness equipment | $89,200 | $1,315,000 |
| Pre-sale and grand opening marketing | $40,000 | $120,000 |
| Exterior signs | $12,000 | $40,000 |
| Computer and point of sale | $1,000 | $7,000 |
| Insurance | $25,000 | $45,000 |
| Lease deposits | $0 | $95,000 |
| Other deposits | $0 | $23,000 |
| Professional fees | $2,000 | $25,000 |
| Training expenses | $2,000 | $10,000 |
| Licenses and bonds | $10,000 | $25,000 |
| Additional funds, three months | $68,000 | $459,000 |
| Total | $1,322,500 | $5,386,000 |
As the brand reported it, excluding the cost of buying or leasing real estate.
Discounts available
- Planet Fitness currently waives the $40,000 initial franchise fee for franchise agreements signed under an Area Development Agreement, which carries a $10,000-per-location area development fee.
From Item 5 of the Planet Fitness 2026 FDD. The costs on this page use the full initial franchise fee for one unit, before any discount.
Item 7 of the FDD starts the initial franchise fee at $0, a discounted price. This page uses the full fee for one unit, $40,000.
The investment range is $1,322,500 to $5,386,000. Building work alone is $1,000,000 to $2,167,000, and the two equipment lines together run $122,500 to $2,310,000. Against a top-third club drawing $2,705,811 of membership revenue, the high-end build is close to two years of it.
Re-equipping and remodeling are recurring capital events, at $333,000 to $995,000 and $250,000 to $1,200,000. The remodel comes as often as every twelve years. Both sit outside the Planet Fitness operations statement because they count as depreciating assets. So the 21% to 42% profit margins sit above a capital cycle that has to be funded out of them.
Three months of working capital is carried at $68,000 to $459,000. A 6.75 times range, reflecting how differently a pre-sale campaign can go. The pre-sale and grand opening marketing line at $40,000 to $120,000 is separate. A club that opens with a thin member base has a 20,000 square foot rent bill from day one.
Membership revenue
Membership revenue by third, franchised and corporate
| Group | Clubs | Average | Median | Highest | Lowest | At or above the average | Corporate advantage |
|---|---|---|---|---|---|---|---|
| Franchised, bottom third | 764 | $1,260,539 | $1,311,575 | $1,596,261 | $429,581 | 437 / 57% | +$108,769 · +8.6% |
| Franchised, middle third | 764 | $1,873,231 | $1,863,300 | $2,170,135 | $1,597,497 | 370 / 48% | +$145,623 · +7.8% |
| Franchised, upper third | 763 | $2,705,811 | $2,595,549 | $5,271,381 | $2,171,673 | 296 / 39% | +$22,175 · +0.8% |
| All franchised * | 2,291 | $1,946,196 | n/a | $5,271,381 | $429,581 | n/a | +$92,520 · +4.8% |
| Corporate, bottom third | 90 | $1,369,308 | $1,420,479 | $1,703,940 | $768,504 | 50 / 56% | n/a |
| Corporate, middle third | 90 | $2,018,854 | $2,022,485 | $2,306,530 | $1,718,872 | 47 / 52% | n/a |
| Corporate, upper third | 90 | $2,727,986 | $2,651,743 | $4,065,160 | $2,310,003 | 31 / 34% | n/a |
| All corporate * | 270 | $2,038,716 | n/a | $4,065,160 | $768,504 | n/a | n/a |
Averages, medians, highs, lows and counts are as the brand reported it. The all-club rows and the corporate advantage column are marked *, weighting each third by its club count and comparing like third against like.
Corporate clubs lead by 8.6% at the bottom third and 0.8% at the top. Planet Fitness corporate clubs average $1,369,308 against $1,260,539 for franchised clubs at the bottom third, and $2,727,986 against $2,705,811 at the top. The gap closes almost entirely as you move up. The franchisor's advantage is in its lowest-selling clubs. Its own lowest club draws $768,504 where the lowest-selling franchised club draws $429,581.
The highest-selling franchised club draws $5,271,381 and the lowest-selling $429,581. The highest-selling Planet Fitness club bills 12.3 times the lowest-selling one. The corporate range is far narrower at $768,504 to $4,065,160, or 5.3 times. The single $5.27 million club sits well above the corporate ceiling, so the franchised system holds both the top outcome in the brand and the lowest.
57% of the bottom third beat their own average and 39% of the top third beat theirs. The same pattern appears in the corporate group at 56% and 34%. Both distributions are pulled upward at the top by a small number of exceptional clubs. So for a club in the upper third the median of $2,595,549 is the fairer comparison than the $2,705,811 average.
The upper third's minimum is $2,171,673 and the middle third's ceiling is $2,170,135. The two are $1,538 apart. The groups are clean: $1,596,261 to $1,597,497 between the bottom and middle. So these are performance groups, and a club knows precisely which one it sits in.
The network of locations
Clubs opened and closed, 2023 to 2025
| Year | Franchised start | Opened | Terminations | Other departures | Franchised end | Company end | Total end |
|---|---|---|---|---|---|---|---|
| 2023 | 2,082 | 123 | 0 | 4 | 2,201 | 254 | 2,455 |
| 2024 | 2,201 | 100 | 0 | 3 | 2,298 | 270 | 2,568 |
| 2025 | 2,298 | 141 | 7 | 0 | 2,432 | 277 | 2,709 |
As the brand reported it.
364 clubs opened across three years against 14 departures. A 26 to 1 ratio, and the franchised network has grown 16.8% from 2,082 to 2,432. Total outlets crossed 2,700. In a library where several fitness brands are shrinking, this is the clearest counter-example.
2025 had the most openings of the three years, 141, and the only terminations. Planet Fitness recorded seven terminations in 2025 and none in each of the two years before. On a base of 2,298 that is a 0.3% departure rate, low enough that the direction of growth stays intact.
86 signed agreements sit unopened against 53 projected openings. A small pipeline for a system this size, and the franchisor is projecting to convert about 62% of it next year. Against 141 actual openings in 2025, the projection implies a slower year ahead.
What territory you get
An area development agreement has a fee of $10,000 a location. The fee rises to $30,000 a location where the same or a similar territory was covered by an earlier agreement with you or an affiliate that was terminated before completion. The initial franchise fee is currently waived for agreements issued under a development agreement, which makes multi-unit development the cheaper route in.
Questions we get asked
Questions owners ask.
How much does a Planet Fitness franchise make?
Item 19 of Planet Fitness’ 2026 FDD, issued 22 May 2026, reports that 2,291 franchised Planet Fitness clubs trading all of 2025 drew $1,260,539 to $2,705,811 of annual membership revenue across three groups. The 2,291 in that group are 94%* of Planet Fitness’ 2,432 locations.
What should a Planet Fitness club be drawing?
The 2,291 franchised clubs trading all of 2025 drew $1,260,539, $1,873,231 and $2,705,811 of annual membership revenue across the bottom, middle and upper thirds, with medians of $1,311,575, $1,863,300 and $2,595,549. Weighted across all three that is $1,946,196. The range runs $429,581 to $5,271,381. Corporate clubs average $2,038,716.
What does a Planet Fitness club earn?
The cost picture comes from 262 corporate clubs: net revenue of $1,322,899, $1,981,342 and $2,658,690 by third, EBITDAR of 44%, 54% and 58% before rent. Profit is 21%, 36% and 42% after rent, or $280,839, $708,853 and $1,104,804. Equipment replacement and remodeling sit outside those figures as capital, and both are substantial recurring commitments.
Why does margin improve with size at Planet Fitness?
Planet Fitness margin improves with size, and wages rise more slowly than revenue. Wages rise 23.2% across the thirds while net revenue rises 101%, falling from 23.4% of revenue to 14.3%. Utilities, supplies and miscellaneous behave the same way. Only marketing scales exactly, at 8.1% to 8.3%, and royalty holds near 7%. Rent rises 45.4% in dollars but falls from 23.0% to 16.6% as a share. So margins rise with membership volume, and a club with a small membership base keeps a much smaller share of its revenue.
What does Planet Fitness cost a franchisee each year?
Planet Fitness charges a 7% royalty on membership fees drawn by electronic transfer and a national advertising fund fee set at 2% during 2026 and capped at 3%. It also sets a local advertising requirement for 2026 at the greater of $50,000 or 6% of cumulative drafts. The royalty and fund paid to the brand are 9% of membership revenue at every club. The local advertising is spent by the club on top: 6% above $833,333, and 11.64% at the lowest-selling club in the system. On top sits a join fee of 20% of the regular monthly membership fee for every new member. Special marketing programs may take up to 7% of a single month's drafts.
Who does bookkeeping for a Planet Fitness franchise?
The franchisor has published a full operations statement, so the close has an obvious target format and a real benchmark for every line. Three things need particular attention. First, the royalty base is membership drafts: the operations statement books royalty at 7.09% to 7.23% of net revenue against a 7% headline. The difference is returns, declines and refunds. That ran between 2.3% and 38.1% of gross drafts in a single month during 2025. The reconciliation between gross drafts, net collections and the royalty debit belongs in the monthly close. Second, the local advertising requirement is the greater of $50,000 or 6%. So a club under $833,333 of drafts needs the minimum carried as a fixed cost and a multi-club owner in one market should be pooling the requirement. Third, equipment replacement and remodeling sit outside the operating statement entirely, at $333,000 to $995,000 and $250,000 to $1,200,000. So a reserve against them belongs in the cash forecast from year one. Averan provides bookkeeping, controller, and fractional CFO support for franchise owners and has Certified QuickBooks ProAdvisors on the team.
- The filing gives no profit figure for franchised clubs. Planet Fitness reports EBITDA only for 262 corporate-owned clubs.
Questions worth putting to Planet Fitness
These are questions the Planet Fitness filing leaves open. An owner or a buyer can put them to Planet Fitness directly.
- What do locations at the median spend on wages and rent as a share of sales? The filing reports sales only.
- Which factors does Planet Fitness see in its highest-selling locations, such as trade area, years open and size?
- How long does a new location take to reach the average you publish, and what does the build-up look like month by month?
- At what level of sales do the minimum charges stop applying and the percentage take over?
- How many Planet Fitness locations closed, were sold, or changed hands last year, and why?
Run your own numbers.
The Franchise Numbers Check runs the same checks on your own numbers. It scores where you stand and compares you with Item 19 of your brand’s FDD. It works out what one location earns and spends, and builds a 13-week cash forecast. Checks whether you are ready to open another one. It is free and it runs in your browser.
Launch the diagnostic →What is your club earning per square foot at Planet Fitness?
We review your unit economics, cash forecast and reporting, built around drafts, rent and the capital cycle.
Talk to AveranWhere these figures come from.
Every figure here comes from Planet Fitness Franchising LLC's 2026 FDD, covering the 2025 calendar year. The document is unaudited by us. The membership revenue figures come from franchised and corporate clubs and the operations statement from the franchisor's own books under US accounting standards. We are unaffiliated with the brand. The figures describe past performance at other clubs. Calculations of our own are labeled where they appear. The operations statement covers corporate clubs alone because the franchisor receives no complete expense data from franchisees. Equipment replacement and remodeling are excluded from it as capital items. This page is an educational summary and is not legal or tax advice. PLANET FITNESS® is a registered trademark of its owner. How Averan reads a Franchise Disclosure Document.
These figures come from the brand's disclosure. They are not a forecast, an offer to sell a franchise or advice. Source: Planet Fitness Franchising LLC, 2026 Franchise Disclosure Document, issued 22 May 2026.
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Planet Fitness reads against the rest of the gyms and clubs group: Anytime Fitness · Crunch Fitness · Fitness Premier · Snap Fitness · UFC GYM. The gyms and clubs guide compares all of them on the same figures.
Questions owners ask next
The figures above raise these, and each one is answered on its own page.
- At what level of sales does a minimum fee stop costing me more than the percentage?It works out the sales level where a minimum fee stops applying.
- How much cash do I fund before a new location covers its own costs?It builds a 13-week forecast for the months before break-even.
- My payroll percentage keeps climbing. Is that a payroll problem?It shows how to tell whether payroll is rising or revenue is falling.
- What should I be looking at every week?It lists the handful of numbers that move before the P&L does.
- Do I need a bookkeeper, a controller, or a CFO?It explains what each role owns and when the next hire pays for itself.