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FDD Talk 2015: The YogaFit Franchise Opportunity (Financial Performance Analysis, Estimated Costs, and Other Important Stuff You Need to Know)

by Franchise Chatter on July 27, 2015

in FDD Talk 2017: Fitness Franchises, Fitness Franchises, Franchise Earnings



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In this FDD Talk 2015 post, you’ll learn the following:

  • Section I – Background information on the YogaFit franchise opportunity, including relevant news updates
  • Section II – Estimated initial investment for a YogaFit franchise, based on Item 7 of the company’s 2015 FDD
  • Section III – Presentation and analysis of YogaFit’s financial performance representations, based on Item 19 of the company’s 2015 FDD, including information on the:
  • projected Annual Membership Operating Revenue; New Member Kit; Miscellaneous Revenue; Total Annual Operating Revenue; Royalty; National Marketing Fee; Website Fee; Occupancy; FitnessOnDemand; Fitware; New Member Kits and Cards Costs; Member Engager Fee; Payment Processing; Insurance; Utilities, Cable, Phone/Internet; Office Supplies and Repairs and Maintenance; Advertising; Wages – Instructors; Commissions; Total Annual Operating Expenses; Gross Annual Operating Cash Flow (Before Manager Wages); Wages – Managers; and Net Annual Operating Cash Flow (Before Taxes and Debt Retirement) for YogaFit Studios with 150, 250, and 350 memberships respectively

Section I – Background Information

Beth Shaw saw the huge potential of introducing yoga to the fitness industry as far back as the mid-1990s.

Very few people were practicing back then, and she knew that one hurdle she’d have to cross was toning down its spiritual aspects to come up with a more secular offering that would appeal to the widest range of consumers possible. She did away with chanting as well as the focus on the Sanskrit names of many of the postures.

Once she perfected her offering, she realized the best way to spread it would be by teaching people how to become certified yoga instructors. Since Shaw offered her first teacher training in Fargo, ND in 1997, her schools have trained more than 200,000 yoga instructors and now add 15,000 to that figure each year.

YogaFit is by far the largest yoga fitness education school in the world with a presence on six continents. That’s been the foundation of the YogaFit brand until very recently, when it worked out an agreement with Lift Brands (which includes such wellness franchises as Snap Fitness, 9Round, Kosama, Fitness on Demand, and STEELE 365) to begin franchising YogaFit studios for people who want to take yoga classes.

Here’s how YogaFit is striking a whole new pose in the fitness industry:

Evolving Yoga Market

Based on the ancient fitness science of hatha yoga, the YogaFit method blends balance, strength, flexibility, and power in a fitness format that includes such traditional exercises as pushups and sit-ups. This is very different from those who practice yoga for its spiritual contributions to wellness, or its deeper medical contributions to wellness.

This new approach is working, especially when offered in the Snap Fitness format of a flexible, small 24/7 club format. It’s practical and accessible, as opposed to mysterious and weird.

People are sometimes surprised by the claims of what yoga can do for people. Articles on YogaFit’s website note how the practice can treat depression, speed PTSD recovery, assist in addiction treatments, and much more.

Fitness and Fashion

A YogaFit line of branded apparel and accessories has been a staple from the very beginning, and has exploded in popularity in recent years and also includes educational books, DVDs, CDs, and more.

Community Service Guidelines

All YogaFit Level One instructors are required to complete 8 hours of community service teaching before receiving their certificate of completion, and the company strongly encourages everyone to give one hour of service per week to make the world a better place.

YogaFit is committed to annually giving $1 million in free yoga training to those in need.

A Founder’s Vision

Beth Shaw has single-handedly built up a yoga empire, which has been complemented nicely with her bestselling author status. Her first book, YogaFit: Human Kinetics has sold more than 100,000 copies worldwide, and the second edition came out in 2008.

Her latest offering is YogaLean: Poses and Recipes to Promote Weight Loss and Vitality-for Life! Published in September 2014, the book has already sold well over 10,000 copies.

Section II – Estimated Costs

  • Please click here for detailed estimates of YogaFit franchise costs, based on Item 7 of the company’s 2015 FDD (updated).

Section III – Financial Performance Representations (Item 19, 2015 FDD) and Analysis



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