Perspire Sauna Studio Franchise Costs $425K – $737K (2024 Fees & Profits)
Perspire Sauna Studio stands out in the wellness and sauna industry as a leading franchise, known for its cutting-edge infrared sauna therapies aimed at health enthusiasts. Established in 2010 and based in Costa Mesa, California, the franchise has carved a niche for itself through its innovative approach.
The distinctiveness of Perspire Sauna Studio lies in its utilization of infrared heat’s healing properties to enhance relaxation, detoxification, and overall health. The franchise’s reputation in the wellness community is bolstered by its dedication to offering tailored sauna experiences.
Perspire Sauna Studio is dedicated to providing a comprehensive wellness journey, supported by a professional team of sauna experts. This commitment has established the studio as a go-to place for individuals in search of mental decompression, body detoxification, and an uplift in their general health, thanks to its innovative and customized sauna treatments.
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Initial investment
Here’s what you can expect to spend to start a Perspire Sauna Studio franchise.
| Type of Expenditure | Amount |
|---|---|
| Initial Franchise Fee | $45,000 |
| Initial Equipment Package (Saunas) | $52,000 to $65,000 |
| Travel Expenses During Training at our offices | $0 to $2,500 |
| Three Months’ Rent and Deposits | $15,000 to $40,000 |
| Audio (TV’s Speakers, Security Cameras) | $7,000 to $24,940 |
| Leasehold Improvements | $179,300 to $369,700 |
| Construction Management | $15,000 to $17,000 |
| Millwork | $20,000 to $28,000 |
| Architecture fees | $7,000 to $15,000 |
| Permits, etc. | $4,000 to $6,000 |
| Office/Spa Furniture and Equipment | $2,500 to $4,500 |
| Computer System & Receipt Printer | $2,500 to $3,500 |
| Opening Inventory and Supplies | $1,000 to $2,500 |
| Pre-Sale Marketing and Grand Opening Advertising | $20,000 to $20,000 |
| Insurance | $2,000 to $4,000 |
| Miscellaneous Pre-Opening Technology, Professional and Organization Costs | $3,000 to $4,000 |
| Estimated shipping and sauna install | $7,500 to $13,800 |
| Signage | $9,000 to $20,000 |
| New Store Opening Kit | $8,500 to $11,500 |
| Additional Funds 3 – 6 months | $25,000 to $40,000 |
| Total | $425,300 to $736,940 |
Note: The table above provides a snapshot of the main costs associated with starting the most common franchise format (as disclosed in the Item 7 of the Franchise Disclosure Document). For a complete overview of all the expenses involved with the various formats offered by the franchisor, please consult the Franchise Disclosure Document.
Franchise fees & Royalties
Here are the main ongoing fees the franchisor will ask you to pay going forward to run the franchise.
Franchise Entry Cost
The entry cost for acquiring a franchise can reach up to $45,000 for one franchise outlet.
Monthly Royalty Contributions
Franchise owners must contribute 6% of their monthly gross income as a royalty to the franchisor.
National Marketing Contribution
Franchisees are obligated to allocate 2% of their monthly gross income to the national marketing fund.
Minimum Local Marketing Spend
Each franchisee is mandated to invest a minimum of $1,500 every month in local marketing initiatives.
Franchise Renewal Charge
When renewing the franchise contract, franchisees are subject to a renewal charge, which is 25% of the initial franchise entry cost.
Ownership Transfer Charge
Should a franchisee wish to transfer their franchise rights, a fee equating to 50% of the prevailing franchise fee for each license is imposed.
Monthly Technology Fee
Franchisees are required to pay a technology fee of $870 every month.
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How to apply
Opening a Perspire Sauna Studio franchise involves several steps, designed to ensure you are a good fit for the franchise. Here are the main steps to follow to open a Perspire Sauna Studio franchise.
1. Research and Self-Assessment
- Understand the Brand: Start by thoroughly researching Perspire Sauna Studio, its market position, and its unique selling points within the wellness and sauna industry.
- Self-Assessment: Assess your own alignment with the brand, your interest in the wellness sector, and your capability to meet the financial and operational demands of running a franchise.
2. Initial Inquiry and Application
- Reach Out: Contact Perspire Sauna Studio through their website or franchise recruitment channels to express your interest and request more information.
- Submit an Application: If you decide to proceed, you’ll need to fill out an initial application, providing details about your background, financial capability, and business experience.
3. Discovery and Evaluation
- Franchise Disclosure Document (FDD): Once your initial application is reviewed, you’ll likely receive an FDD that contains important information about the franchise opportunity, financial performance, fees, and obligations.
- Discovery Day: Many franchisors host a discovery day, giving potential franchisees a chance to meet the corporate team, learn more about the operational model, and ask questions.
4. Financial Review and Approval
- Financial Validation: You’ll need to provide proof of your financial stability and ability to meet the initial investment requirements, including the franchise fee, setup costs, and operational liquidity.
- Approval Process: If your financials are in order, the franchisor will proceed with background checks and further evaluations before granting approval.
5. Site Selection and Agreement
- Location Selection: Depending on the franchisor’s model, you might be involved in selecting a site for your studio, guided by the franchisor’s criteria for location, size, and demographics.
- Sign the Franchise Agreement: Once a location is approved and all parties are ready to proceed, you’ll sign the franchise agreement, committing to the franchisor’s terms and conditions.
6. Training and Support
- Undergo Training: Perspire Sauna Studio will provide comprehensive training covering operational procedures, technology use, customer service, and business management.
- Ongoing Support: Expect to receive ongoing support in marketing, operations, and possibly in selecting and training your staff.
Disclaimer
Disclaimer: This content has been made for informational and educational purposes only. We do not make any representation or warranties with respect to the accuracy, applicability, fitness, or completeness of the information presented in the article. You should not construe any such information or other material as legal, tax, investment, financial, or other professional advice. Nothing contained in this article constitutes a solicitation, recommendation, endorsement, advertisement, or offer to buy or sell any franchises, securities, or other financial instruments in this or in any other jurisdiction in which such solicitation or offer would be unlawful under the franchise and/or securities laws of such jurisdiction.
All content in this article is information of a general nature and does not address the detailed circumstances of any particular individual or entity. Nothing in the article constitutes professional and/or financial and/or legal advice, nor does any information in the article constitute a comprehensive or complete statement of the matters discussed or the law relating thereto. You alone assume the sole responsibility of evaluating the merits and risks associated with the use of any information or other content in this article before making any decisions based on such information or other content.
