Why gym franchising is a healthy investment in 2025

With a range of franchising opportunities available, there are plenty of options out there for investors and entrepreneurs.

While hospitality and Quick Service Restaurants (QSR) are usually near the top of the list, there are a growing number of alternatives for those looking to diversify their portfolio. 

With the economic landscape continually evolving and costs rising everywhere we look, at Snap Fitness we’re seeing a growing number of investors from other sectors seeing the potential of becoming a gym owner.

Here’s why the fitness industry shapes up as an attractive investment opportunity in today’s market:

1.      The fitness industry’s boom will continue

Gyms have proven resilient over the past few years and the 2024 State of the UK Fitness Industry report shows that the UK fitness industry is at an all-time high in terms of market value and the number of gym members in the UK. In the past year, the number of UK gym members rose from 10.3 million to 10.7 million.

There’s room to grow too; these numbers mean the fitness industry has a penetration rate of just 15.9%, showcasing the huge opportunity out there. Generation Z will be a key driver to growth and research shows that they’re the most health-conscious generation we’ve seen yet.

At Snap Fitness, we’ve been able to capitalise on the population continuing to invest in their health, with our membership base growing by over 17% year-on-year, compared to the 4.1% industry average.

2.     Lower impact of rising operational costs

The rising operational costs associated with running a business are being particularly felt by QSR business owners. The combination of rapidly rising ingredient and food sourcing costs, packaging prices and the increase in minimum wage have made it a tough environment with narrowing profit margins.

While gyms are share the same challenges around rising energy costs, day-to-day operational costs and cost of sale are far less affected.

3.    Lean staffing 

A successful Snap Fitness gym typically operates with two full-time employees; a Club Manager and Assistant Manager, supplemented by self-employed personal trainers and group fitness instructors.

This gives us an average payroll to revenue ratio of around 10%, less than half of what is typically seen in service and retail industries.

The team is the life and soul of your gym and this leaner staffing model means you can maximise your time as a business owner by investing in the development of these team members.

4.    It’s a passion point

We’re fortunate to work in an industry which people have a genuine passion for. While of course the numbers must stack up, we have franchisees in our network that have chosen to diversify their portfolios because of their own personal fitness journey. Becoming a gym owner gives you the platform to improve the health and wellbeing of your local community while making a healthy return on your investment.

5.    People care more than ever about their health

To put it simply, the population are prioritising their health and wellbeing more than ever. As well as the continued rise of gym members, a 2024 report showed that 49% of people said they were eating more healthy food and 32% said they are ‘feeling healthier’ than last year [1]. As a gym owner, you’re perfectly placed to capitalise on this long-term attitude shift, as well as the younger generation’s greater focus on their health.

Considering becoming a gym owner? Download our free information brochure at https://www.snapfitness.com/uk/why-franchise-with-snap-fitness/own-a-gym-franchise.

[1] Savanta Q1 2024 Grocery Eye Report