Prime IV Hydration Franchise Costs $251K (2023 Stats)

Founded recently in 2017, Prime IV Hydration only began franchising in 2020. It offers intravenous (IV) therapy treatments and as most IV therapy franchise, it has expanded very fast: today, Prime IV Hydration has 76 outlets in the US alone…

There’s no doubt that IV therapy franchises are very popular nowadays (Liquivida Lounge, The DripBar, etc.). So why should you choose Prime IV Hydration? Is this really a profitable business?

Indeed, you would have to invest on average $250,000 to set up a new clinic. Is this worth the profits? How does it compare to competitors?

In this article we’re looking into Prime IV Hydration and its latest Franchise Disclosure Document to find out how much it (really) costs, and how profitable it really is. Let’s dive in!

Key stats

Franchise fee$49,000
Royalty fee7.0%
Marketing fee1.5%
Investment (mid-point)$251,000
Average sales$454,000
Sales to investment ratio1.8x
Minimum net worth$400,000
Minimum liquid capital$100,000
Source: Franchise Disclosure Document 2022

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About Prime IV Hydration

Prime IV Hydration is a premier IV hydration therapy clinic based in Arizona. It was founded in 2017 by Amy Mullins Neary and has been at the forefront of IV vitamin therapies, formulating effective solutions to optimize clients’ health and well-being.

The medical franchise uses state-of-the-art equipment to offer 10 specialized infusions with 100% guaranteed vitamin absorption. As a premier IV hydration therapy clinic, it helps alleviate the symptoms of countless ailments and conditions, including migraines, dehydration, fatigue, anti-aging, seasonal allergies, hangover recovery, and sun exposure.  

Since beginning its franchise operations in 2020, the chain has expanded its services to 47 locations, all of which are franchised in the US. As a franchisee, you will become part of an up-and-coming IV hydration therapy industry that’s expected to grow by 7.97% between 2023 and 2030.

Prime IV Hydration franchise pros and cons

The Pros:

  • Site selection and real estate: The franchisor offers its franchisees site selection assistance to identify a suitable location for their businesses. In addition, it helps them with the lease negotiation and development of their franchises.
  • Exclusive territory protection: Prime IV Hydration & Wellness grants its franchisees the right to operate in an exclusive territory. Under the agreement, the franchisor or its affiliates do not establish any other franchises in the defined area.
  • Comprehensive training program: The franchisor has a detailed training program consisting of 13 on-the-job hours and 40 classroom hours. It trains franchisees about its business, operational concept, staff management, and sales.
  • Marketing and public relations: The franchisor grants its franchisees access to dedicated marketing and advertising programs to help them create awareness of their services and products. These include ad templates, national media, and email marketing among others.
  • Financial assistance: Prime IV Hydration & Wellness offers its franchisees financing assistance through third-party partners. Also, it offers a 15% franchise fee discount to veterans.
  • Low overheads: The franchise has minimal staffing requirements and franchisees benefit from a lucrative membership model to enhance their bottom lines.

The Cons:

  • Not a home-based business opportunity: Prime IV Hydration & Wellness franchise cannot be operated from a home or a mobile facility. Franchisees must have a fixed office space, retail facility, or warehouse to operate from.
  • No absentee ownership: The franchise does not present a passive investment. Franchisees must be involved in the day-to-day operations and running of their centers.
  • Not a part-time business. The franchisor requires its franchisees to have their franchises open on a full-time basis.

Prime IV Hydration franchise costs

You would have to invest an average of $251,000 to open a Prime IV Hydration & Wellness franchise center and $138,000 for an add-on Prime IV Hydration & Wellness franchise center.

The investment covers all the start-up costs you may need to open a Prime IV Hydration & Wellness franchise center. You must pay the franchisor an initial franchise fee of $49,000. In addition to this franchise fee, the investment also covers:

  • Lease & Construction: Leasehold improvements; security deposits; lease expenses; etc.
  • Equipment: medical equipment, computer system, proprietary software, POS system, EMR system
  • Other costs: architecture and design, signage and displays, supplies, inventory, medical and clinical director salaries, medical support salaries, training expenses, security systems, telephone systems, business licenses, and permits, professional fees, insurance deposits, and premiums, pre-opening operations, grand opening, and initial marketing, additional funds (3 months), etc.

Here’s the full breakdown of costs:

New Unit

Initial franchise fees$49,000
Lease & Construction$34,000 – $143,000
Equipment$17,602 – $76,602
Other operating cost$53,300 – $79,300
Total$153,902 – $347,902
Source: Franchise Disclosure Document 2022

Add on unit

Initial franchise fees$34,000
Lease & Construction$5,000 – $23,000
Equipment$3,602 – $73,602
Other operating cost$21,800 – $80,300
Total$64,402 – $210,902
Source: Franchise Disclosure Document 2022

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Prime IV Hydration franchise fees

The initial franchise fee for a Prime IV Hydration & Wellness franchise is $49,000. In addition to the initial franchise fee, you must pay to the franchisor a royalty fee of 7.0% of revenues.

Prime IV Hydration franchise revenue

On average, a Prime IV Hydration & Wellness franchise center makes $454,000 in sales per year.

This is the average gross sales per franchise center for 10 of the 19 franchised centers that operated for at least 7 months in 2021. This is a significant increase compared to 2020 (+22.5%, $370,000).

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