Opening a The Exercise Coach franchise is an exciting opportunity in the growing personal training and fitness industry. With a proven concept built around high-tech, efficient 20-minute workouts using adaptive resistance technology, The Exercise Coach has expanded rapidly across the United States. But like any franchise, turning your dream into a functioning studio requires significant capital, and understanding your financing options is the first step toward ownership.
This guide covers everything you need to know about financing a The Exercise Coach franchise, from startup investment costs and SBA loan options to how Crestmont Capital can help you secure the funding you need to open and grow your location.
In This Article
The Exercise Coach is a boutique fitness franchise that offers personalized, technology-driven personal training in a small-group or one-on-one studio format. Each session lasts just 20 minutes and uses patented adaptive resistance exercise (ARX) machines that automatically adjust resistance in real time to match each client's strength output. This approach makes the workout safer, more efficient, and highly effective for a wide range of clients, including seniors, busy professionals, and people recovering from injury.
Founded in 2000 and franchising since 2014, The Exercise Coach has grown to more than 240 locations across the United States. The franchise model is built for simplicity: studios are small (typically 1,200 to 1,800 square feet), overhead is manageable, and the concept appeals to a demographic that is underserved by traditional big-box gyms.
The brand targets clients aged 40 and older, a market that is growing and willing to pay a premium for safe, results-driven fitness. Average revenue per client is strong, and recurring membership models provide predictable cash flow, factors that make lenders and franchise investors take notice.
Key Fact: The Exercise Coach is consistently ranked among the top fitness franchises for owner satisfaction, and the boutique fitness market in the U.S. is valued at over $35 billion, one of the fastest-growing segments in the entire fitness industry.
Before approaching any lender, you need to understand the full scope of your investment. The total startup cost for a new The Exercise Coach franchise typically ranges from $260,000 to $390,000, depending on your location, the condition of the leased space, and build-out requirements.
Here is a breakdown of the major cost components based on recent FDD data:
| Cost Item | Low Estimate | High Estimate |
|---|---|---|
| Initial Franchise Fee | $49,500 | $49,500 |
| Equipment Package (ARX Machines) | $107,645 | $155,690 |
| Leasehold Improvements / Construction | $0 | $65,000 |
| Lease Deposit and Rent (3 Months) | $8,000 | $24,000 |
| Grand Opening Marketing | $29,195 | $43,275 |
| Initial Training Fee | $5,000 | $15,000 |
| Working Capital (First 3 Months) | $30,000 | $45,000 |
| Total Estimated Investment | ~$260,000 | ~$390,000 |
Ongoing fees include a royalty of 6% of gross revenue and a marketing contribution of 1-2% of gross sales. These figures should be built into your financial projections when determining how much financing you need and what your monthly loan payments should look like.
By the Numbers
The Exercise Coach Franchise - Key Statistics
240+
Locations open across the U.S.
$390K
Maximum startup investment
20 Min
Per session - efficient studio model
$100K
Minimum liquid capital required
Most franchise investors do not pay for their entire investment out of pocket. Instead, they combine personal capital with one or more financing products to cover startup costs while preserving cash reserves for operations. Here are the most common financing approaches for The Exercise Coach franchise owners:
The Small Business Administration's 7(a) loan program is one of the most popular options for franchise financing. These loans can be used to cover franchise fees, leasehold improvements, equipment, working capital, and other eligible expenses. Loan amounts typically go up to $5 million, and terms can extend to 10 years for working capital or 25 years for real estate-related costs. Interest rates are competitive, and down payment requirements are typically 10-20% of the project cost.
If you plan to purchase commercial real estate for your studio or make significant property improvements, the SBA 504 loan structure may be worth exploring. It combines a conventional bank loan with a certified development company (CDC) debenture, resulting in low interest rates and long repayment terms. For equipment and real estate combined, this can be a cost-effective path.
The ARX adaptive resistance machines are the centerpiece of every Exercise Coach studio, and at $107,000 to $155,000, they represent the largest single cost category in the startup budget. Equipment financing lets you purchase this equipment and spread the cost over 24 to 72 months. The equipment itself serves as collateral, which often means lower rates and easier approval than unsecured loans.
Even with strong initial funding, many franchise owners encounter cash flow gaps in the first 12 to 18 months before the business achieves consistent profitability. A working capital loan can bridge those gaps, covering payroll, rent, marketing, and other operating costs while your client base grows.
A business line of credit gives you flexible access to funds you can draw from when needed and repay as cash flow allows. This is ideal for managing the variable expenses that come with operating a fitness studio, such as unexpected equipment repairs or seasonal marketing campaigns.
Ready to Finance Your Exercise Coach Franchise?
Get fast, flexible financing from the #1 business lender in the U.S. No obligation - apply in minutes.
Apply Now →SBA-backed financing is widely considered the gold standard for franchise funding, and The Exercise Coach is a well-recognized brand that most SBA lenders will recognize. According to data from the SBA, franchised businesses consistently receive SBA loan approvals at higher rates than independent startups, largely because the proven business model reduces perceived risk.
To qualify for an SBA 7(a) loan for your Exercise Coach franchise, you will typically need to meet these criteria:
The SBA loan process can take 30 to 90 days, so it is important to begin the application well before you need the funds. Many prospective franchisees start working with an SBA-preferred lender while they are still in the application and approval process with The Exercise Coach corporate team, so the funding and franchise agreement can be finalized around the same time.
Pro Tip: The Exercise Coach has been listed on the SBA's Franchise Registry in the past, which can accelerate the SBA loan approval process. Always confirm the current registry status before applying, as it can change year to year.
The ARX (Adaptive Resistance Exercise) machines used by The Exercise Coach are not your standard gym equipment. These are sophisticated, computer-controlled machines that adjust resistance in real time based on the client's muscle output. They require a significant upfront investment but provide the core value proposition of the franchise.
Financing this equipment through a dedicated equipment financing product makes sense for several reasons:
Terms for equipment financing typically range from 24 to 72 months, and you can often finance up to 100% of the equipment cost if you have strong credit and a solid business plan. For The Exercise Coach, an equipment loan in the range of $100,000 to $150,000 over 48 to 60 months would result in manageable monthly payments that most studios can cover within their first few months of operation.
Finance Your Studio Equipment Today
Crestmont Capital offers equipment loans for fitness studios, franchises, and small businesses nationwide.
Apply Now →Crestmont Capital is a leading U.S. business lender that specializes in helping franchise owners secure the financing they need to launch, grow, and expand. Whether you are funding your first Exercise Coach location or planning a multi-unit expansion, Crestmont Capital has the lending products and expertise to match your goals.
Here is how Crestmont Capital supports Exercise Coach franchise financing:
Unlike traditional banks, Crestmont Capital can often pre-qualify applicants within 24-48 hours. Our streamlined process focuses on your overall business profile, not just a single credit score, which means more franchise owners get approved - even if they have some blemishes on their credit history.
Rather than working with five different lenders for your franchise fee, equipment, working capital, and marketing budget, Crestmont Capital can structure a comprehensive financing package that addresses all of your startup needs. This simplifies the process and often results in better overall terms.
Our team understands the franchise business model. We know how to read an FDD, interpret royalty structures, and assess the revenue potential of established franchise brands like The Exercise Coach. This expertise means faster underwriting and better loan structures for franchise borrowers.
You can also explore our resources on franchise business loans and SBA loan programs to understand all of your options before applying.
Lenders evaluate franchise loan applications using a combination of personal and business financial factors. Understanding what lenders look for will help you prepare a stronger application and improve your chances of approval.
A personal credit score of 680 or above is generally required for SBA loans. For equipment financing and working capital loans, some lenders will consider scores as low as 620, particularly if other financial factors are strong.
The Exercise Coach requires a minimum liquid capital of $100,000. Lenders will also want to see that you have sufficient reserves beyond the down payment to cover unexpected expenses during the first year of operation.
Most lenders and The Exercise Coach itself require a net worth of $200,000 to $500,000 (depending on the source), not including the value of a primary residence. This demonstrates financial stability and reduces the lender's risk.
While fitness industry experience is not required, management experience in a service business, retail, or health-related field strengthens your application significantly. If you have prior franchise ownership experience, that is viewed very favorably by lenders.
A well-prepared business plan with realistic financial projections for years one through three is essential for SBA loan applications and recommended for all franchise loan requests. The Exercise Coach corporate team typically provides support in developing these projections for new franchisees.
Understanding how different investors have approached Exercise Coach franchise financing can help you develop your own strategy. Here are several realistic scenarios:
A 45-year-old marketing executive with $120,000 in liquid assets and a 720 credit score wants to open a single Exercise Coach location in a suburb with high demand. She applies for a $250,000 SBA 7(a) loan to cover the franchise fee, equipment, and working capital, putting $80,000 of her own savings toward leasehold improvements and initial marketing. With a combined total investment of $330,000, the SBA loan covers approximately 75% of the total project. Her monthly payment on the SBA loan at 10% interest over 10 years is approximately $3,300 per month, which she can comfortably cover once the studio reaches 40+ active clients.
An experienced franchise operator who already owns two service-based franchise locations wants to add two Exercise Coach studios in adjacent markets. He has strong cash flow from his existing businesses and a net worth of $800,000. He approaches Crestmont Capital for a commercial financing package that includes equipment financing for both studios ($240,000 total) and a $100,000 line of credit for pre-opening marketing and working capital. His existing business performance helps qualify him for favorable terms, and the entire package is approved within two weeks.
A retired business owner with significant home equity and personal savings decides to invest in a The Exercise Coach location as a semi-active business opportunity. She uses a portion of her retirement account through a Rollover for Business Startups (ROBS) arrangement to fund $150,000 of the investment and supplements with a $120,000 equipment loan from Crestmont Capital. This hybrid approach avoids traditional debt on the franchise fee while still leveraging financing for the capital-intensive equipment package.
Important: Every franchisee's financial situation is different. The scenarios above are illustrative and should not be taken as guaranteed outcomes. Working with a lender who specializes in franchise financing is the best way to identify the structure that makes sense for your specific situation.
A personal trainer with 10 years of industry experience and $75,000 in savings wants to own his first business. His credit score is 690 and his net worth is $180,000 (below some lender thresholds). He applies for a $200,000 SBA 7(a) loan, using his $75,000 as the equity injection, and supplements with an additional $50,000 working capital loan to ensure his studio is adequately funded through the first year. His industry expertise and detailed business plan help him overcome the lower net worth in the lender's eyes.
A married couple both working in healthcare decides to invest in two Exercise Coach studios, planning to eventually transition to full-time ownership. With combined income, good credit (720+), and $200,000 in liquid assets between them, they qualify for an SBA 7(a) loan of $380,000 covering both locations. They open the first studio immediately and use the balance for the second location six months later. The dual-income backstop and strong cash reserves make them ideal SBA loan candidates.
The total initial investment for a new The Exercise Coach franchise ranges from approximately $260,000 to $390,000, depending on location, construction needs, and market factors. The initial franchise fee is $49,500. Equipment costs typically range from $107,000 to $155,000 and represent the largest single cost component.
Yes, SBA 7(a) loans are one of the most common ways to finance an Exercise Coach franchise. These loans can cover the franchise fee, equipment, leasehold improvements, and working capital. Typical requirements include a credit score of 680+, 10-20% equity injection, and a solid business plan. The SBA loan process takes 30-90 days, so it is best to begin early.
Most franchise lenders, including SBA-preferred lenders, look for a personal credit score of 680 or above. For equipment financing and alternative business loans, some lenders will consider scores as low as 620. A higher credit score generally results in lower interest rates and better loan terms.
The Exercise Coach requires a minimum of $100,000 in liquid capital. Lenders typically require an equity injection of 10-20% of the total project cost for SBA loans. On a $300,000 project, that means having $30,000 to $60,000 available as a down payment or equity contribution, plus additional reserves for operating expenses.
Yes. Equipment financing is a separate product from general business loans or SBA loans. You can use dedicated equipment financing to cover the ARX machines specifically, then use a separate loan product for the franchise fee, leasehold improvements, and working capital. This approach can sometimes speed up the process because equipment loans often have faster approval timelines than SBA loans.
The Exercise Coach charges a royalty fee of 6% of gross revenue and a marketing contribution of 1-2% of gross sales. These ongoing fees are important to factor into your cash flow projections when determining how much financing you need and what monthly payment you can afford on your business loan.
Approval timelines vary by loan type. SBA loans typically take 30-90 days from application to funding. Equipment financing can often be approved and funded within 5-10 business days. Working capital loans through alternative lenders can sometimes be approved in as little as 24-48 hours. Starting your financing application early in the franchisee approval process is strongly recommended.
Prior fitness experience is not required by most lenders, though it can strengthen your application. Lenders are more interested in your overall management and business experience. If you have managed teams, operated a business, or worked in a service-oriented field, that experience is highly relevant. The Exercise Coach corporate team also provides comprehensive training, which reassures lenders that you will have the support needed to succeed.
Yes, multi-unit financing is possible for qualified buyers. Lenders evaluate multi-unit deals differently than single-location requests, typically requiring stronger personal financials, more liquid capital, and a demonstrated ability to manage multiple operations. Some borrowers finance both locations in a single package, while others open the first location, demonstrate performance, and then apply for additional financing. Your Crestmont Capital advisor can help you determine the best approach.
Most lenders will request: the last 2 years of personal tax returns, 3-6 months of personal bank statements, a completed personal financial statement, a copy of the franchise disclosure document (FDD), a signed franchise agreement (or letter of intent), a business plan with financial projections, and a resume or background summary. Having these documents ready before applying will speed up the process significantly.
The Exercise Coach targets a growing, underserved market - adults over 40 who want effective, safe, and time-efficient fitness solutions. The boutique fitness industry has consistently outperformed the broader gym industry in recent years, and the brand's differentiated technology and small studio model keeps overhead manageable. That said, like any franchise investment, success depends heavily on location selection, marketing, and the franchisee's commitment to building a strong local client base. Always review the FDD carefully and consult a franchise attorney before making any investment decision.
Post-opening capital needs are common, especially in the first 12-18 months. Options include drawing on a pre-established business line of credit, applying for a working capital loan, or refinancing existing debt if rates have improved. The key is to plan for this contingency before you open, ideally by establishing a credit line during the initial financing process when your personal financials are at their strongest and before the business has accumulated any debt.
A personal guarantee is a commitment that you, as an individual, will personally repay the loan if the business cannot. Most franchise loans - including SBA loans - require a personal guarantee from anyone who owns 20% or more of the business. This is standard for small business lending and should be factored into your risk assessment when making the decision to franchise. Understanding your personal liability exposure is an important part of the financing process.
Yes, a Rollover for Business Startups (ROBS) arrangement allows eligible investors to use 401(k) or IRA funds to invest in a franchise without triggering early withdrawal penalties or taxes. This is a legal but complex financial structure that requires proper setup through a qualified ROBS provider. Many Exercise Coach franchisees use a ROBS to fund a portion of their equity injection, reducing the amount they need to borrow.
Traditional banks tend to have stricter credit requirements, slower approval processes, and less flexibility in loan structuring. Crestmont Capital, as a specialized business lender, offers faster pre-approvals, a wider range of loan products, and advisors who specifically understand franchise financing. We work with borrowers who may not qualify at their local bank, and we can often structure creative solutions that address multiple financing needs simultaneously. Our focus is on getting you funded efficiently so you can focus on building your franchise.
Ready to Open Your Exercise Coach Franchise?
Crestmont Capital has helped thousands of franchise owners secure the capital they need. Apply today and get pre-qualified in as little as 24 hours.
Apply Now →The Exercise Coach franchise offers a compelling opportunity in the booming boutique fitness market. With a differentiated product, strong brand identity, and an underserved target demographic, it checks many of the boxes that experienced franchise investors look for. But turning that opportunity into a reality requires thoughtful financing planning.
Understanding the exercise coach franchise cost structure - from the $49,500 franchise fee to the $107,000 to $155,000 equipment package - gives you a clear picture of what you need to fund. Whether you pursue an SBA 7(a) loan, equipment financing, a working capital line of credit, or a combination approach, Crestmont Capital is here to help you build the right package for your goals.
Start by reviewing your financial profile, gathering the documents lenders will ask for, and applying early in the franchisee process. The more prepared you are, the faster and smoother your financing experience will be - and the sooner you can open your doors and start serving clients.
Disclaimer: The information provided in this article is for general educational purposes only and is not financial, legal, or tax advice. Funding terms, qualifications, and product availability may vary and are subject to change without notice. Crestmont Capital does not guarantee approval, rates, or specific outcomes. For personalized information about your business funding options, contact our team directly.