The Exercise Coach logo

The Exercise Coach Franchise

Audited Financials
FitnessEst. 2009Lake Zurich, IL
www.exercisecoach.com

Risk Score

Pending analysis

Investment Range

$259,840 - $389,970

Franchise Fee

$20,000

Min Cash Required

$30,000

Total US Locations

215

Business Summary

THE EXERCISE COACH® operates studios that provide a comprehensive system of personal training. The goal is to optimize clients' longevity and health span using proprietary and technologically-advanced equipment, evidence-based training methods for strength, flexibility, stability, balance, and brain training, as well as metabolic health and nutrition programs. THE EXERCISE COACH® offers a unique, personalized, and guided experience, focusing on adult men and women of all fitness levels, with a particular emphasis on individuals aged 50 and older. Services include one-on-one and small-group personal strength training, Coach-Assisted Stretching, and Strength Plus plans.

Corporate History

Exercise Coach USA, LLC, the entity operating as THE EXERCISE COACH®, was organized in Illinois on November 2, 2009. The company began offering franchises for its studios in July 2011. While the franchisor itself has never directly owned and operated a THE EXERCISE COACH® studio, its co-founders, Brian R. Cygan and Gerianne M. Cygan, owned and operated studios through an affiliated entity, Strength for Life, LLC, from November 2000 through December 2022. This prior operational experience significantly contributed to the development of THE EXERCISE COACH®'s training systems, protocols, and internal studio management procedures.

Financial Overview

Investment Range

$259,840 - $389,970

Franchise Fee (Low)

$20,000

Franchise Fee (High)

$49,500

Minimum Cash Required

$30,000

Royalty %

6%

Marketing %

1%

Equipment Costs (Low)

$116,995

Equipment Costs (High)

$241,855

Working Capital

$37,500

Audited Financials

Yes

Offers Financing

No

Audit Opinion

Unqualified opinion

Financial Health Notes

THE EXERCISE COACH® has provided audited financial statements for the fiscal years ended December 31, 2024, 2023, and 2022. The independent auditor has issued an unqualified opinion, indicating that the financial statements present fairly, in all material respects, the financial position of Exercise Coach USA, LLC and its subsidiaries in accordance with accounting principles generally accepted in the United States of America. There are no additional notes or qualifications in the auditor's report or in Item 21 suggesting any substantial doubt about THE EXERCISE COACH®'s ability to continue as a going concern or other significant financial health concerns.

Financing Details

THE EXERCISE COACH® does not offer any direct or indirect financing to its franchisees. The franchisor also does not guarantee any notes, leases, or other financial obligations for franchisees. Franchisees are responsible for securing their own financing through third parties.

Performance Metrics

Total US Locations

215

Franchised Units

211

Corporate Units

4

Avg Square Footage

1,400

Franchising Since

2011

Agreement Terms

Initial Term

10 years

Renewal Term

5 years

Renewal Conditions

To renew their franchise agreement, THE EXERCISE COACH® franchisees must provide notice between 240 days and one year before their term expires. They must be in good standing under all agreements, sign THE EXERCISE COACH®'s then-current franchise agreement and a general release. Franchisees also need to pay a renewal fee equal to 20% of the non-discounted initial franchise fee, remodel their studio, and upgrade all furniture, fixtures, and equipment to meet current brand standards. The lease for the studio premises must also be extended for the duration of the renewal term. THE EXERCISE COACH® may refuse renewal if the franchisee has failed to make timely payments on two or more occasions within a 12-month period during the prior term, or if THE EXERCISE COACH® decides to stop offering franchises in that market.

Training & Support Program

Franchisor Assistance

Before opening, THE EXERCISE COACH® assists franchisees by providing access to its Brand Standards Manual, evaluating proposed sites, providing specifications for required goods and services, and arranging for the sale, delivery, installation, and setup of all EXERBOTICS® Equipment from its affiliate, Gymbot. The franchisor also provides access to approved advertising materials, evaluates the studio's design and buildout, and conducts an initial training program, including Management Training for up to 4 people and certification training for initial coaches. For area developers, Multi-Unit Operator (MUO) Training is also provided. During operation, THE EXERCISE COACH® ensures Gymbot licenses proprietary software for EXERBOTICS® Equipment and TEC Apps. The franchisor offers guidance and recommendations to improve studio operations, provides periodic training and certification programs for staff, maintains a corporate website and a local webpage for each studio, and refers prospective clients to the most conveniently located studio. THE EXERCISE COACH® also evaluates and approves annual growth plans and marketing budgets. Additionally, THE EXERCISE COACH® may administer a Brand Fund, conduct periodic field visits for on-site consultation, develop new strategic relationships with partners like insurance companies, suggest retail pricing (though franchisees can deviate with approval), develop new products or equipment, facilitate digital marketing services through its affiliate FranBoost, negotiate purchase agreements with suppliers for discounted pricing, host periodic conferences, create a franchise advisory council, and offer optional assistance with selling the studio.

Initial Training Hours

56

Training Location

Lake Zurich, Illinois and Smithville, Tennessee & Remote

Ongoing Support

After opening, THE EXERCISE COACH® provides ongoing support by ensuring its affiliate, Gymbot, licenses franchisees the proprietary software and technology associated with the EXERBOTICS® Equipment. The franchisor offers continuous guidance and recommendations to improve studio operations by reviewing performance and reports. Periodic training and certification programs, including refresher, supplemental, and remedial training, are available for managing owners, managers, and coaches. THE EXERCISE COACH® maintains a corporate website and a local webpage for each studio, and refers prospective clients to the nearest location. The franchisor also evaluates and approves the annual growth plan and marketing budget submitted by franchisees. THE EXERCISE COACH® may also administer a Brand Fund for system-wide promotion, conduct periodic field visits to provide on-site consultation and assistance, and develop new Strategic Relationships with vendors, insurance companies, or third-party payers. Franchisees may receive suggested retail pricing (with approval needed for significant deviations) and may utilize new products or equipment developed by the franchisor. Digital marketing services can be provided through its affiliate, FranBoost. The franchisor may negotiate purchase agreements with suppliers for favorable pricing, host periodic conferences to discuss business and operational issues, and, as an optional service, assist franchisees with selling their studio.

Franchise Requirements

Industry Experience Required

No

Management Experience Required

No

Sales Experience Required

No

Technical Skills Required

No

Operational Details

Location Type

Commercial

Owner Participation

Supervisory

Territory Type

Exclusive

Staff Count

3

Territory Size Requirements

THE EXERCISE COACH® grants an exclusive territory that includes at least 5,000 qualified households. A 'qualified household' is defined as any household with an annual income of at least $120,000. The boundaries of the territory are designated by THE EXERCISE COACH® in a manner it deems appropriate, ensuring the minimum number of qualified households is met. THE EXERCISE COACH® uses various data sources to determine the number of qualified households within an area.

Staffing Notes

THE EXERCISE COACH® requires each studio to have at least three certified coaches on staff before opening. One or more of the owners (or their spouses) may serve as a certified coach. During normal business hours, either the Managing Owner or a trained manager must be physically present at the studio to provide onsite management and supervision. All coaches must successfully complete GSC (General Strength & Conditioning) Certification Training and SBB (Coach-Assisted Stretch, Balance & Brain) Certification Training before working with clients. Franchisees are responsible for determining appropriate staffing levels, conducting background checks, and ensuring employees understand they are employed by the franchisee, not THE EXERCISE COACH®.