Real Hot Yoga Franchise FDD, Profits & Costs (2025
Real Hot Yoga was established in 2012 in Knoxville, Tennessee, by founders Cindy Coats, Aaron Goodman, and Jeff Morin. The brand remains headquartered in Knoxville and expanded into franchising in 2020. Its concept was designed to provide a contemporary, fitness-driven approach to yoga, offering participants an intense workout in a heated studio environment.
Each location is equipped with climate-controlled rooms that feature UV air filtration systems capable of removing up to 99% of germs, bacteria, and odors.
The franchise delivers a diverse lineup of classes centered on building strength, improving flexibility, and enhancing balance, making it accessible to practitioners at all fitness levels.
As the brand grows, Real Hot Yoga has built a recognizable identity and an expanding footprint across the country. By combining wellness, innovation, and a strong sense of community, the franchise positions itself as an appealing opportunity for entrepreneurs looking to enter the thriving fitness market.
Initial Investment
How much does it cost to start a Real Hot Yoga franchise? It costs on average between $224,000 – $385,000 to start a Real Hot Yoga franchised facility.
This includes expenses for studio build-out, specialized heating and air filtration systems, fitness equipment, signage, and initial operating costs. The total investment varies based on several factors, including the size and layout of the yoga studio, the specific market location, and whether the franchisee decides to lease or purchase the property.
| Type of Expenditure | Amount |
|---|---|
| Initial Franchise Fee | $49,000 |
| Leasehold Improvements | $120,000 to $240,000 |
| Real Estate/Rent | $3,000 to $15,000 |
| Utility Deposits | $500 to $1,000 |
| Furniture, Fixtures & Equipment | $10,000 to $15,000 |
| Initial Inventory | $4,400 to $5,000 |
| Insurance | $400 to $600 |
| Signage | $4,500 to $10,000 |
| Office Equipment & Supplies | $500 to $1,000 |
| Pre-Opening Expenses | $2,000 to $3,500 |
| Computer Equipment (Hardware, Software, POS System) | $2,500 to $3,500 |
| Training | $1,500 to $2,500 |
| Licenses & Permits | $500 to $1,500 |
| Legal & Accounting | $500 to $2,500 |
| Grand Opening Advertising | $4,500 to $5,000 |
| Additional Funds – three months | $20,000 to $30,000 |
| TOTAL | $223,800 to $385,100 |
Average Revenue (AUV)
How much revenue can you make with a Real Hot Yoga franchise? A Real Hot Yoga franchised business makes on average $596,000 in revenue (AUV) per year.
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Frequently Asked Questions
How many Real Hot Yoga locations are there?
As of the most recent data, Real Hot Yoga operates a total of 15 studios, with 6 company-owned locations and 9 franchise-owned locations.
What is the total investment required to open a Real Hot Yoga franchise?
The total investment required to open a Real Hot Yoga franchise ranges from $224,000 to $385,000.
What are the ongoing fees for a Real Hot Yoga franchise?
As of the latest available data, Real Hot Yoga franchisees pay an ongoing royalty fee of 7 percent of gross sales and contribute 1 percent toward advertising or brand marketing.
What are the financial requirements to become a Real Hot Yoga franchisee?
Real Hot Yoga franchisees are required to have a minimum net worth of $250,000 and at least $70,000 in liquid capital to qualify.
How much can a Real Hot Yoga franchise owner expect to earn?
The average gross sales for a Real Hot Yoga franchise are approximately $0.6 million per location. Assuming a 15% operating profit margin, $0.6 million yearly revenue can result in $90,000 EBITDA annually.
Who owns Real Hot Yoga?
The Real Hot Yoga franchise is owned by its co-founders Cindy Coats, Aaron Goodman, and Jeff Morin, who established the brand in 2012 in Knoxville, Tennessee, and continue to lead its growth and franchising efforts.
Disclaimer
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