How Much Does It Cost to Start a Massage Spa Franchise?

The biggest question you may ask yourself as you begin your massage spa franchise journey is: “How much will it cost?”

Opening a MassageLuXe spa franchise is an investment, and you want to make sure it’s a good one. Before you can determine if it is the right investment for you, you need to understand all the franchise fees and prepare your budget.

Startup Costs

Before opening your massage spa franchise, you will need to budget startup costs. There is no guaranteed rate of return on investment when opening a massage spa franchise, or any business, so it’s important to be prepared. While your franchise business builds, be sure you have additional resources available to take care of yourself and your family.

Franchise Fees

An initial franchise fee is the cost of entry to join a franchise system. This is usually a one-time flat fee. The franchise fee doesn’t cover ongoing support; it is the initial investment required to be a part of the franchise system. The amount of this initial investment varies by industry and from franchisor to franchisor.

A franchisor will set a fee that is marketable to a potential franchisee, but also one that is able to cover the initial support that the franchisee will need as they open their location.

The initial franchise fee to open a MassageLuXe spa is $42,500.

Estimated Initial Costs

There are other costs associated with opening a massage spa franchise besides the initial franchise fee. The estimated cost will include the initial franchise fee as well as the costs of everything you will need to get your business up and running.

You may need to budget expenses for a grand opening, local promotions and advertising, supplies, rent (if not buying), maintenance, uniforms, salaries, and more. Don’t forget about furniture and fixtures, spa equipment, phone and computer systems, and insurance. Ask the franchisor to be upfront about the estimated initial costs.

The estimated initial cost to open a MassageLuXe massage spa franchise varies from $449,900 to $564,500. You can get a breakdown of the MassageLuXe startup costs here.

Ongoing Costs

Beyond the initial expense of opening your massage spa franchise, you will need to pay ongoing costs. These include royalty and advertising fees, and, in some cases, product fees, software fees, and training fees. Ongoing fees vary depending on the massage spa franchise you choose. To receive a breakdown of MassageLuXe fees, fill out this form.

Royalty Fees

A royalty fee is a regular fee, paid weekly or monthly, based on a percentage of gross sales, that the franchisee pays to the franchisor. It is used for the ongoing support of current franchisees and to help grow the system.

Some franchise systems charge a fixed or minimum fee, rather than basing the royalty fee on a percentage.

MassageLuXe’s current royalty fee is 6 percent of gross revenue, payable weekly. According to the U.S. Small Business Administration (SBA), franchise royalties typically range from 4 percent of your revenue to 12 percent or more.

Opening a MassageLuXe spa franchise is a great investment. If you’ve determined it is the right investment for you, you can learn more about spa franchise opportunities with MassageLuXe, by visiting www.franchise.massageluxe.com and submitting a contact form.