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Legends Boxing Gym Franchise (2024)
Written by: Patrick Findaro
The Legends Boxing fitness and gym franchise is a specialized fitness center dedicated to serving clients who want a unique, fun, fresh, motivating, and proven workout that guarantees results. Legends Boxing coaches focus not only on losing weight and physical strength but also on technique, form, and mental health.
Legends Boxing Gym Franchise Background
The business of this gym franchise has a very interesting model, with workouts changing daily. Every day centers have a brand new, 1-hour workout created by their certified coaches. Workout incorporate total-body exercises featuring jumping ropes, push-ups, squats, working the heavy bag, and more. Costumers never get bored with versatile training routines.
Legends Boxing values family, community, confidence, mental clarity, and teaching real boxing techniques.
Management Team
Founded in 2013, Legends Boxing is managed by a very experienced franchise team, with over 100 years of franchise experience.
Scott Hatter, president and COO, is an accomplished franchise industry veteran as both a franchisor and franchisee. He has worked with important brands such as Burger King, Baja Fresh Mexican Grill, LunchboxWax, and Deka Lash.
Andrew Scott, Legends Boxing co-founder and National Head Coach, is also a two-time Golden Gloves State champion. Scott decided to open a boxing facility, together with his brother Rob, that features revolutionary workout from his own years of boxing experience.
Both Hatter and Scott are fully involved in the day-to-day operations of the business and constantly works to bring the best support to Legends Boxing franchisees and the best workout experience to its members.
As a franchisee, you will receive strong support from the franchisan or: easy business model, ongoing training, membership marketing plan, a full-service real estate team, and a turn-key construction process.
Fitness Industry
Gym Franchise Strengths
- Well defined and proven concept with brand expanding within the boutique fitness space
- Legends Boxing centers teach the correct way to fight but without getting hurt; concept focused on both fitness/losing weight and boxing
- Unique brand that focus not only on physical strength but also mental health
- Franchisee has support as franchisor closely monitor and help with hiring, training, and real estate
- Does not need to rely on well qualified trainers as basically anyone can run the workout routines
Franchise Weaknesses
- Boutique gym that does not offer all of the resources and amenities of a full-service gym
- With the emphasis on getting members in and out, the concept can seem quite “commercialized”
- In an industry that has been substantially negatively impacted by current COVID-19 pandemic
Franchise Opportunities
- As a boutique concept, able to charge higher pricing than traditional fitness concepts
- Health Clubs attracted a total of 71.5 million consumers in 2018(1)
- Very large and growing market – $34bn industry with continued growth, supporting over 800,000 jobs
- Strong market demand explained by a continued interest in fitness and physical health
- Brand awareness will continue to grow as the concept expands
Franchise Threats
- Operating in a very large, competitive market that is rapidly changing
- Profits can be negatively impacted due to close proximity of a similar competitor
- Potential for change in consumers’ preferred fitness regimen
- The fitness market is very competitive with low barriers to entry
How Much is a Legends Boxing Franchise?
Legends Boxing Franchise cost ranges from $285,065 to $563,939 according to the 2020 FDD.
| Item | Estimated Amount (in USD) | When Due | To Whom Payment is to Be Made | |
|---|---|---|---|---|
| Low | High | |||
| Initial Franchise Fee | $51,900 | $51,900 | Upon entering into franchise agreement | Franchisor |
| Location Assistance Fee | 4,950 | 4,950 | Upon entering into franchise agreement | Franchisor |
| Non-Refundable, Coaches Training Tuition Deposit | 3,000 | 3,000 | Upon entering into franchise agreement | Franchisor |
| Opening Period Training & Assistance | 2,800 | 3,400 | Upon entering into franchise agreement | Franchisor |
| Coaches Initial Training | 6,919 | 15,984 | Before opening, as incurred | Third-party vendors |
| Franchisee Initial Training | 1,350 | 4,050 | Before opening, as incurred | Third-party vendors |
| Design/Architectural Plans | 999 | 14,499 | Before opening, as incurred | Third-party vendors |
| Leasehold Improvements | 21,200 | 148,795 | Before opening, as incurred | Third-party vendors |
| Lighting & Flooring | 18,532 | 24,158 | Before Beginning Operations | Third-party vendors |
| Signage | 5,000 | 17,500 | Before Beginning Operations | Third-party vendors |
| Furniture, Fixtures, and Equipment | 86,822 | 123,133 | Before opening, as incurred | Third-party vendors |
| Computers and Software | 3,440 | 6,810 | Before opening, as incurred | Third-party vendors |
| Start-up Supplies/Inventory | 5,000 | 9,500 | Before opening, as incurred | Franchisor, Affiliate & Third-party vendors |
| Pre-Opening & Grand Opening Marketing | 13,300 | 18,700 | Before opening, as incurred | Third-party vendors |
| Post-Opening Marketing | 9,000 | 12,900 | Before opening, as incurred | Third-party vendors |
| Insurance & Permits | 2,400 | 4,750 | Before opening, as incurred | Third-party vendors |
| Professional Fees | 1,250 | 5,000 | Before opening, as incurred | Third-party vendors |
| Security Deposits | 5,200 | 13,000 | Before opening, as incurred | Third-party vendors |
| Rent | 18,000 | 36,000 | Monthy | Landlord & Third-party suppliers |
| Utilities | 1,080 | 5,385 | Monthy | Third-party utilities |
| Payroll | 18,521 | 32,123 | Bi-Weekly or Bi-Monthly | Employees |
| Additional Funds – 3 months | 4,402 | 8,402 | As Incurred | Franchisor & Third-party vendors |
| Total | $285,065 | $563,939 | ||
| Monthly Fees | |
|---|---|
| Royalty | Marketing Fee |
| 7% | 3% |
How Much does a Legends Boxing Franchise make?
Gross Revenue Table – All Locations open at least 12 months as of Dec 31, 2019 For the Period Jan 1, 2019 to Dec 31, 2019
| Location | Gross Revenue |
|---|---|
| Lehi, UT | $499.697 |
| Riverton, UT | $414.020 |
| Sandy, UT | $228.584 |
| Average | $380.767 |
| Median | $414.020 |
All Locations open as of December 31, 2019 which were built out in compliance with our latest design
| Location | Date Opened | Open Months as of 12/31/20 | Size (SF) | Rent (per SF) | NNN Charges (per SF) | Monthy Rent + NNN |
|---|---|---|---|---|---|---|
| Sandy, UT | 4/12/2018 | 20 | 3,000 | $23.50 | $7.48 | $7,745 |
| 04/19/2019 | 8 | 3,390 | $27.37 | $9.67 | $10,464 | |
| Bountiful, UT | 4/3/2019 | 8 | 3,100 | $27.09 | $4.30 | $8,109 |
| 10/14/2019 | 2 | 3,428 | $23.00 | $10.00 | $9,427 | |
| South Austin, UT | 12/28/2019 | 0 | 3,450 | $24.50 | $12.33 | $10,589 |
| Location | Tenant Improvement Allowance | GC Construction Cost (minus Installation) | Net GC Construction Cost | Wadsworth Expense | Installation Costs | Delivery Condition |
|---|---|---|---|---|---|---|
| $70,000 | $70,000 | $0 | $95,000 | $10,000 | As-is | |
| Trolley Square, UT | $135,600 | $200,000 | $64,400 | $100,231 | $12,500 | Cold Dark Shell |
| $186,000 | $215,000 | $29,000 | $100,231 | $13,366 | Cold Dark Shell | |
| Memorial, UT | $40,000 | $112,500 | $72,500 | $95,000 | $7,500 | As-is |
| $41,400 | $168,000 | $126,600 | $95,239 | $12,000 | As-is | |
| $94,600 | $153,100 | $58,500 | $97,140 | $11,073 | ||
| $70,000 | $168,000 | $644,600 | $95,239 | $12,000 |
