If you're looking to invest in a fitness franchise, take a look at what Ultimate Fighting Championship (UFC) gym is up to.  

Casting its net wide with members from 18-55 years, the UFC gym franchise offers mixed martial arts as its niche, with the inclusions of a normal gym. Although the brand’s US presence and trends do influence the model, local offices have autonomy over the franchise offering.

“UFC offers something unique to the market, but we offer members everything available in the industry under one roof,” says Maz Hagemrad, CEO.

He says the model is positioned between the low budget and premium levels.

“We are like a hamburger with the lot,” he adds, laughing.

Market recognition and attachment to the brand is also fruitful. Although multi sites are encouraged, the value of optimising long term growth in the single franchise is more desirable.

Hagemrad says franchisee profitability largely comes from membership, brand equity, and merchandising driven by the brand. Members are not locked into contracts and can pay month-by-month while using the membership at any UFC club globally.

“Memberships are designed to be transparent and easily managed,” says Hagemrad.

However, he believes the right site is also an aspect of success. UFC franchises tend to be 800-1200 sq m sites with high visibility, accessibility and parking.

He says that contrary to popular belief about fitness franchises, potential franchisees need to understand that UFC clubs are not heavily laden with equipment, but financing is available for equipment as they are assets for the business.

The initial investment cost of a UFC franchise ranges between $400,000- $700,000, which includes sites with portions for equipment, cardio, functional training, the octagon (the fighting ring) and martial arts.

Franchisees are provided marketing support from the US head office, social media support from the Sydney head office, and a consultant visiting monthly/bi monthly. Hagemrad highlights that although head office will support the franchises from signing to securing the site, the model is designed to empower franchisees to take leadership and drive profits. Together with the model, the UFC brand is more than 20 years old.

Some challenges that come with buying a UFC franchise are aligning with the culture and providing top quality delivery of services. Having access to plenty of financing does not compensate for franchisee ability to fit within the system.

Ideal franchisees have a basic understanding of business, some idea of the fitness industry, but more importantly a real passion for the brand.

Find out more about owning a fitness franchise.