About Studio Pilates International Franchise
Studio Pilates International is a boutique fitness franchise offering Pilates and other exercise classes in a modern studio setting.
Originally founded in Australia and franchising in the United States since 2018, the brand serves a broad consumer market of individuals looking to improve or maintain their health, fitness, and overall well being.
The initial franchise fee is $45,000.
Studio Pilates International Franchise Cost & Fees
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $45,000 | One-time payment upon signing |
| Royalty Fee | 7% of Gross Sales of gross sales | Ongoing; paid monthly |
| Marketing/Ad Fund | 2% of Gross Sales (Marketing Fund Fee); Up to 2% of Gross Sales (Cooperative Advertising Program Fee) | National brand fund |
| Total Investment Range | $287,501.6 – $565,000 | Includes build-out, inventory, working capital |
The investment range of $288K–$565K reflects variability in build-out costs, store size, lease terms, and market. The combined royalty (7% of Gross Sales) and marketing fee (2% of Gross Sales (Marketing Fund Fee); Up to 2% of Gross Sales (Cooperative Advertising Program Fee)) are ongoing costs paid as a percentage of gross sales.
Investment Breakdown (Item 7)
| Item | Low | High |
|---|---|---|
| Initial Franchise Fee | $45,000 | $45,000 |
| Launch Package Fee | $31,000 | $31,000 |
| Pre-Opening Initial Promotion Expenses | $10,000 | $10,000 |
| Technology Fee | $4,200 | $4,200 |
| Lease Expense | $7,101.6 | $76,500 |
| Utility Deposit | $1,000 | $2,000 |
| Leasehold Improvements | $90,000 | $209,000 |
| Audio-Visual Equipment (including CCTV) | $15,000 | $25,000 |
| Reformer Equipment | $40,000 | $80,000 |
| Initial Inventory (from franchisor/affiliates) | $3,200 | $4,800 |
| Additional Initial Inventory (from local suppliers) | $4,800 | $7,200 |
| Signage | $3,000 | $6,000 |
| Computer Hardware | $2,500 | $4,000 |
| Insurance | $4,600 | $5,600 |
| Permits & Licenses | $1,500 | $3,000 |
| First aid and CPR employee training expenses | $100 | $200 |
| Uniforms | $500 | $1,500 |
| Professional Fees | $4,000 | $10,000 |
| Additional Funds/Working Capital | $20,000 | $40,000 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Transfer Fee | $20,000 |
| Renewal Fee | $10,000 |
| Technology Fee | $1,400 per month |
| Audit Fee | Our actual costs and travel costs of auditor |
| On-Going Instructor Training | $10,000 for up to four people if paid by franchisee, or $2,500 per instructor if paid by instructors |
| Interest | 12% per annum |
| Marketing Materials | Costs of marketing materials, which will typically range between $2,000 to $3,000 every three months |
| Annual Conference Fee | Currently $1500 to $2,500 depending on location. |
| Annual Conference travel | Costs of travel and lodging to attend annual conference |
| Insurance Reimbursement | Cost of insurance, interest on the monies we advance and our administrative costs |
| Management of business upon death or disability | To be determined under circumstances |
| Penalty Fee | Currently, $100 for each day of non-compliance. |
| Alternative Supplier Approval | Currently, $1,500 per day each person engaged in such evaluation. |
| Costs and Attorneys’ Fees | Our actual costs |
| Indemnification | Our actual costs |
Training Program (Item 11)
| Detail | Information |
|---|---|
| Total Duration | Approximately 140 hours of classroom/online and 74-89 hours of on-the-job training, typically completed within 3-6 months of signing the agreement. |
| Classroom Training | 150 hours |
| On-the-Job Training | 74-89 hours |
| Training Location | Online, franchisee's location, or franchisor-designated locations (e.g., Hawthorne, Australia) |
| Additional Training | Additional training or refresher courses are only required on an as-needed basis, if you or we decide that you or certain Key People require additional training. If an additional training or refresher course is required, you must pay us our then current additional training fees. |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | Non-exclusive |
| Exclusive Territory | No |
| Description | Your right to operate a Studio Pilates International studio pursuant to a Franchise Agreement is limited to the location set forth in the franchise agreement. You are not granted any minimum territory. |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Initial Term | Normally 10 years |
| Renewal Term | Negotiated with Franchisor and set forth in Schedule 2 |
| Renewal Fee | $10,000 |
| Renewal Conditions | Notice by franchisee, not in default, payment of renewal fee and franchisor's costs, franchisor still offering new franchises, and signing of then-current Franchise Agreement (which may differ materially). |
| Transfer Fee | $20,000 |
| Transfer Conditions | Franchisor must approve in writing all transfers. Conditions include: proposed transferee meets financial obligations, good moral character, sufficient business experience, reasonable price/terms, attendance at interview/training, agreement to comply with agreement, personal guarantees, renovations/upgrades, and franchisee has paid all amounts owing. |
| Termination for Cause | Franchisor may immediately terminate for fraud, bankruptcy, conviction of felony/financial crime/moral turpitude, endangering public health/safety, voluntary abandonment, failure to commence operations by deadline, or loss of required license. Also, breach of agreement not remedied within 21 or 30 days, or cross-default with other agreements. |
| Non-Compete Period | During the Term and for a two year period after termination/expiration |
| Non-Compete Details | During the term, Relevant Persons (franchisee, principals, etc.) cannot be engaged in a similar business, provide similar products/services, entice customers, or hire employees of franchisor/other franchisees. After termination/expiration, for two years, cannot engage in similar business or provide similar products/services in the territory and within a thirty-mile radius of former location or any other franchisee, entice customers, or hire employees of franchisor/other franchisees. |
Operations & Supply (Items 8 & 15)
| Detail | Information |
|---|---|
| Owner-Operator Required | Yes |
| Participation Details | You (if you are an individual) and any other managers who you identify in the schedule to your franchise agreement as “Key People”, are required to personally supervise the operation of the studio, must devote their full time and attention to the carrying on of the business, and are not allowed to be part of or conduct a similar business. |
| Required Suppliers | All services and products sold within your business require our prior approval. You must purchase all computers, equipment, and related supplies and furniture, fixture and equipment in accordance with our approved standards. For certain items, we may require that you purchase them from approved suppliers. Currently, the only approved supplier for the reformer equipment is our affiliate, Studio Pilates Industries Pty Ltd. |
| Supply Restrictions | You can request to use or offer alternative products, services, or suppliers, but we have no obligation to grant such requests. If you make such a request, we will respond to your request within ninety days, but our failure to respond within ninety days means that your request is denied. We have the right to revoke our prior approval of a previously authorized supplier, product or service. |
| Franchisor Revenue from Suppliers | $132,144 (65.61% of total annual revenue in 2020) |
Financing (Item 10)
| Detail | Information |
|---|---|
| Financing Available | No |
| Description | We do not offer direct or indirect financing. We do not guarantee your note, lease or obligations. |
Studio Pilates International Franchise Earnings — Item 19
Past financial performance does not guarantee future results. Individual results will vary.
Studio Pilates International Litigation & Risk Flags
Litigation and bankruptcy data is sourced from Items 3 and 4 of the FDD. Always verify current status directly from the most recent FDD.
Studio Pilates International System Growth
Studio Pilates International currently operates 3 franchised locations and 0 company-owned units. Unit count data is sourced from Item 20 of the FDD.
Unit History (Item 20)
| Year | Opened | Closed | Total |
|---|---|---|---|
| 2019 | 0 | 0 | 0 |
| 2020 | 1 | 0 | 1 |
| 2021 | 2 | 0 | 3 |
Transfers: 0 | Closures: 0
State Registrations
Registered in 14 states: CA, HI, IL, IN, MD, MI, MN, NY, ND, RI, SD, VA, WA, WI
Franchisor Financials (Item 21)
Audited by LWA LLP for year ending December 31.
Studio Pilates International Franchise — FAQ
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