Red Effect Infrared Fitness Franchise FDD, Profits & Costs (2025)
Red Effect Infrared Fitness is an innovative boutique fitness franchise that merges the intensity of high-energy interval training with the restorative advantages of infrared heat.
The concept was introduced in 2016 by entrepreneur Allie T. Mallad, the founder of Massage Green Spa. Launched in Dearborn, Michigan—where the company still operates its headquarters—Red Effect expanded into franchising the same year, presenting a distinctive model that unites performance-driven training with wellness-focused practices.
Its studios feature an extensive lineup of classes such as yoga, barre, cycling, strength sessions, and water rowing, all held in infrared-heated environments. This setting is designed to boost calorie burn, support detoxification, improve circulation, and speed up muscle recovery.
Initial Investment
How much does it cost to start a Red Effect Infrared Fitness franchise? It costs on average between $185,000 – $278,000 to start a Red Effect Infrared Fitness franchised location.
This includes costs for studio build-out, fitness equipment, technology, and initial operating expenses. The total investment will vary depending on factors such as the size of the facility, geographic location, and whether the franchisee decides to lease or purchase the property.
| Type of Expenditure | Amount |
|---|---|
| Initial Franchise Fee | $20,000 |
| Pre-Opening/Grand Opening Advertising | $10,000 |
| Initial Lease Payments | $4,000 to $14,000 |
| Leasehold Improvements and Construction Costs | $40,000 to $60,000 |
| Reception Desk, Retail Displays, and Interior Signage | $4,000 to $6,000 |
| Fitness Equipment and Infrared Saunas | $75,000 to $120,000 |
| AED and First Aid Equipment and Supplies | $1,000 to $1,500 |
| Exterior Signage | $5,000 to $7,000 |
| Initial Inventory and Operating Supplies | $2,000 to $4,000 |
| Audio/Video Equipment, Other Equipment and Supplies | $2,500 to $5,000 |
| Computer Systems | $2,000 to $3,000 |
| Travel and Living Expenses while Training | $2,000 to $3,000 |
| Insurance Deposits | $1,000 to $2,000 |
| Business Licenses, Professional Fees, and Miscellaneous Pre-opening Expenses | $1,000 to $2,000 |
| Additional Funds (three months) | $15,000 to $20,000 |
| TOTALS | $184,500 to $277,500 |
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Frequently Asked Questions
How many Red Effect Infrared Fitness locations are there?
As of the latest available data, Red Effect Infrared Fitness has a total of 4 locations in the United States. Of these, 3 are franchise-owned units while 1 is company-owned.
What is the total investment required to open a Red Effect Infrared Fitness franchise?
The total investment required to open a Red Effect Infrared Fitness franchise ranges from $185,000 to $278,000.
What are the ongoing fees for a Red Effect Infrared Fitness franchise?
A Red Effect Infrared Fitness franchise requires ongoing payments that include a royalty fee of 7 percent of gross sales, along with a marketing and advertising fee of about 2 percent of gross sales. These fees support the continued operation of the brand as well as national and local promotional efforts.
What are the financial requirements to become a Red Effect Infrared Fitness franchisee?
To become a Red Effect Infrared Fitness franchisee, an individual is required to have a minimum liquid capital of around $100,000 to $150,000 and a net worth between $500,000 and $750,000. These financial requirements ensure that franchisees have the resources to cover startup expenses and sustain operations during the early stages of the business.
Who owns Red Effect Infrared Fitness?
The Red Effect Infrared Fitness franchise is owned by Allie T. Mallad, an experienced entrepreneur who is also the founder of Massage Green Spa.
Disclaimer
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