YogaSix has quickly emerged as one of the fastest-growing yoga franchise brands in the United States, bringing accessible, results-driven yoga classes to communities nationwide. If you are exploring franchise ownership with YogaSix, one of the first questions on your mind is likely how to finance the investment. From the initial franchise fee to buildout costs, equipment, and working capital, the total startup investment can reach significant levels. This guide walks you through everything you need to know about securing a YogaSix franchise loan, including costs, loan types, qualification requirements, and how Crestmont Capital can help you get funded quickly.
A YogaSix franchise loan is any form of business financing used to cover the startup and operational costs of opening a YogaSix studio. Unlike a personal loan, a franchise loan is structured around the specific financial needs of franchise ownership - including the initial franchise fee, leasehold improvements, equipment purchases, technology systems, staff hiring, and working capital reserves.
YogaSix is part of the Xponential Fitness portfolio, the same parent company behind Club Pilates, CycleBar, StretchLab, and several other leading boutique fitness brands. This association makes YogaSix a well-recognized and lender-friendly franchise concept. According to SBA.gov, franchised businesses carry lower default rates than independent startups, which is one reason lenders view franchise loans more favorably.
Whether you are a first-time franchise owner or an experienced multi-unit operator, understanding your loan options is the critical first step toward opening your YogaSix studio doors.
Crestmont Capital specializes in franchise financing. Get pre-qualified in minutes with no impact to your credit score.
Apply NowBefore applying for a franchise loan, you need a clear picture of what you are financing. YogaSix franchise costs vary by location, studio size, and local construction costs. Based on the most current Franchise Disclosure Document (FDD) information available, here are the typical investment ranges:
The total investment range reflects the reality that location and market conditions dramatically impact build-out costs. A studio in a high-rent metro market may cost considerably more than one in a suburban or secondary market. Your Franchise Disclosure Document will provide the most accurate and legally required estimate for your specific situation.
Note that YogaSix typically requires franchisees to have a minimum net worth of $250,000 and at least $80,000 in liquid assets before approval. These are important thresholds because lenders will consider your equity stake alongside your loan request.
The good news for prospective YogaSix owners is that multiple financing pathways exist. The right combination depends on your credit profile, available collateral, liquid assets, and how quickly you need funds. Here is a comprehensive overview of the most common options:
The SBA 7(a) loan is the most popular financing tool for franchise businesses. Backed by the U.S. Small Business Administration, these loans offer terms up to 10 years for working capital and up to 25 years for real estate. Interest rates are tied to the prime rate plus a lender spread, making them among the most affordable financing options available. Loan amounts can reach up to $5 million, which comfortably covers most YogaSix startup budgets.
One key advantage: YogaSix's parent company Xponential Fitness may already be registered in the SBA's Franchise Directory, which can speed up the approval process significantly. For more on SBA loan programs, visit our SBA loans page.
If you plan to purchase commercial real estate or major equipment, the SBA 504 program may be the better fit. It provides long-term fixed-rate financing for major fixed assets. The 504 program works best when you have a specific property to purchase, as it pairs a bank loan with a certified development company (CDC) loan, each covering roughly 40 to 50 percent of project costs.
Conventional loans through banks, credit unions, or alternative lenders provide lump-sum capital repaid over a fixed term. These loans are faster to close than SBA loans but typically carry higher interest rates and shorter terms. They work well for borrowers with strong credit and existing business relationships with lenders.
Crestmont Capital's small business loans offer flexible term structures designed for franchise startups and expansions.
Yoga studio equipment - mats, props, sound systems, HVAC systems, locker room fixtures, and technology hardware - can be financed separately from your main franchise loan. Equipment financing allows you to preserve working capital by spreading payments over the useful life of the equipment. The equipment itself typically serves as collateral, which can mean lower rates and easier qualification.
Visit our equipment financing page to explore options for your studio build-out.
A business line of credit provides flexible access to capital for ongoing operational needs. Once approved, you draw funds as needed and only pay interest on what you use. This is an excellent tool for managing cash flow during the initial months when membership revenue is still ramping up.
If you have a qualified retirement account (401k or IRA), a ROBS arrangement allows you to invest those funds into your franchise without early withdrawal penalties or taxes. This strategy provides equity capital rather than debt, reducing your monthly cash obligations. However, ROBS arrangements involve complex IRS rules and should be handled by a specialized advisor.
Some franchise systems offer internal financing or connect franchisees with preferred lenders. While Xponential Fitness does not operate a direct lending program, they do maintain relationships with lenders familiar with the YogaSix model. Ask your franchise development representative about any preferred lender relationships during your discovery process.
Our lending specialists will match you with the right loan product for your timeline and budget. No cost, no commitment.
Apply NowLender requirements vary by loan type, but most franchise lenders evaluate a consistent set of factors. Understanding these requirements in advance lets you prepare your application strategically.
For SBA loans, most lenders require a personal credit score of at least 650, with scores above 700 receiving the best terms. Alternative lenders through Crestmont Capital can work with scores starting in the 600s depending on other qualifying factors. According to Forbes, credit score is one of the top three factors lenders evaluate.
Lenders want to see that you have enough cash to cover your equity injection (typically 10 to 30 percent of the total project cost) plus working capital reserves. YogaSix itself requires a minimum of $80,000 in liquid assets as part of the franchise qualification process.
A well-prepared business plan demonstrates that you understand your market, have realistic revenue projections, and have a plan to reach profitability. Your plan should include a 3-year income statement projection, cash flow forecast, and break-even analysis. Lenders use this information to assess whether the business can support loan repayments.
Your FDD is required documentation for any franchise loan application. It provides lenders with audited financial information about YogaSix as a system, including unit economics, average revenues, and litigation history. Review the FDD carefully with a franchise attorney before signing anything.
SBA loans often require collateral to the extent available. For a new studio, this typically means personal real estate, business assets, or other property. Alternative lenders through Crestmont Capital offer small business financing options that may require less collateral depending on your credit profile.
For new franchise startups, lenders focus heavily on the operator's background. Fitness industry experience, management background, or prior franchise ownership all strengthen your application. If this is your first business, having a co-borrower with business experience can improve your odds.
Crestmont Capital is a nationally recognized business lender with deep experience in franchise financing. Our team has helped hundreds of franchise owners across the country secure the capital they need to open and grow their locations.
Here is what sets us apart:
If you are comparing your options across boutique fitness franchise concepts, our guides on Club Pilates franchise loans and F45 franchise loans may provide additional context for how similar brands are typically financed.
Understanding how other franchise owners have structured their financing helps you think through your own strategy. Here are three hypothetical scenarios based on common investor profiles:
Maria has a 720 credit score, $120,000 in savings, and a background in fitness management. She is opening her first YogaSix in a suburban market with a total projected cost of $420,000. She contributes $80,000 as an equity injection and secures an SBA 7(a) loan for $340,000 at 7.5 percent interest over 10 years. Her monthly payment is approximately $4,050, which she projects her studio will cover within 12 to 18 months of opening based on average YogaSix unit economics.
James owns two successful Club Pilates studios and is adding YogaSix to his portfolio. He leverages the equity in his existing studio equipment and leasehold improvements as additional collateral. With a strong business history and 740 credit score, he qualifies for a conventional franchise term loan at competitive rates. He finances $380,000 over 7 years, taking advantage of lower collateral requirements due to his demonstrated franchise success.
Sandra owns commercial real estate in a prime retail area and wants to fill vacant space with a YogaSix. She uses an SBA 504 loan to finance the build-out and equipment while leasing the space to her own franchise entity at market rates. This structure optimizes tax treatment and provides long-term equity in both the property and the business.
Apply for your YogaSix franchise loan now and get funded as fast as 48 hours. Crestmont Capital is ready to help you open your studio.
Apply NowThe total investment to open a YogaSix franchise typically ranges from $310,000 to $655,000 depending on location, market, and build-out complexity. The initial franchise fee is approximately $60,000, with the remainder covering construction, equipment, working capital, and pre-opening expenses.
What type of loan is best for a YogaSix franchise?Most YogaSix franchisees use SBA 7(a) loans because they offer favorable terms - low down payments, long repayment periods of up to 10 years, and competitive interest rates. Equipment financing is often layered alongside to cover studio fixtures and technology without depleting working capital.
What credit score do I need for a YogaSix franchise loan?For SBA loans, most lenders require a minimum personal credit score of 650, with 680 or higher preferred. Crestmont Capital works with borrowers across a range of credit profiles and can often provide options for scores in the mid-600s when other qualifying factors are strong.
How long does it take to get approved for a franchise loan?Approval timelines vary by lender and loan type. SBA loans can take 30 to 90 days from application to funding. Conventional business loans through alternative lenders like Crestmont Capital can be approved in as little as 24 to 48 hours, with funding in 3 to 10 business days.
Can I use retirement savings to fund a YogaSix franchise?Yes. A Rollover for Business Startups (ROBS) arrangement allows you to use 401k or IRA funds as equity capital for your franchise without incurring early withdrawal penalties. This strategy is best handled by a qualified ROBS specialist due to the complex IRS requirements involved.
Does YogaSix offer in-house financing?YogaSix and Xponential Fitness do not operate a direct lending program, but they maintain relationships with preferred lenders who are familiar with the brand's FDD and unit economics. Your franchise development representative can provide referrals to these lenders as part of your onboarding process.
How much working capital should I plan for my YogaSix studio?Financial advisors typically recommend 3 to 6 months of operating expenses as working capital reserve. For a YogaSix studio, this often ranges from $50,000 to $100,000. Having adequate working capital is critical during the membership ramp-up period before the studio reaches break-even.
What collateral is required for a YogaSix franchise loan?Collateral requirements vary by loan type and lender. SBA loans require lenders to take available collateral, which can include business assets, real estate, or personal property. Equipment financing is typically collateralized by the equipment itself. Some alternative lenders offer unsecured loan products for borrowers with strong credit profiles.
Can I finance a second YogaSix location with the same lender?Yes. Many lenders offer multi-unit franchise financing. Once your first location is performing well, you can leverage that operating history - along with the equity built in your existing studio - to support a loan application for a second location. Crestmont Capital specializes in helping franchise operators scale efficiently.
How does the SBA Franchise Directory affect my loan application?The SBA maintains a directory of eligible franchise brands. When a brand is listed on this directory, the SBA has already reviewed the FDD, which streamlines the eligibility review portion of the loan process. Xponential Fitness brands are generally recognized in the SBA system, which can help accelerate your approval timeline.
What is the royalty fee structure for YogaSix?YogaSix charges a royalty fee of approximately 7 percent of gross sales. There may also be a technology fee and a marketing fund contribution. These ongoing fees should be factored into your pro forma cash flow projections when calculating loan affordability and break-even timelines.
Can I get a franchise loan with bad credit?While bad credit makes franchise loan approval more challenging, it is not always disqualifying. Lenders may consider compensating factors such as a larger equity injection, strong industry experience, a co-borrower with good credit, or additional collateral. Contact Crestmont Capital to discuss your specific situation and explore available options.
What documents do I need to apply for a YogaSix franchise loan?Standard documents include your signed franchise agreement or Letter of Intent, the current FDD, 2 years of personal and business tax returns, 3 to 6 months of bank statements, a personal financial statement, a business plan with financial projections, and a resume highlighting relevant business or fitness industry experience.
Is a YogaSix franchise a good investment?YogaSix benefits from the rapidly growing boutique fitness market, strong brand support from Xponential Fitness, and a recurring revenue membership model. As with any franchise investment, success depends heavily on location selection, operator skill, and local market demand. Review Item 19 of the FDD for average unit financial performance data.
How do interest rates affect my YogaSix franchise loan payment?Interest rate changes have a direct impact on monthly loan payments and total cost of borrowing. For example, a $350,000 SBA 7(a) loan at 7.5 percent over 10 years carries a monthly payment of approximately $4,180. At 9 percent, the same loan costs approximately $4,440 per month. Locking in a fixed rate when rates are favorable can save tens of thousands of dollars over the loan term.
Opening a YogaSix franchise is a significant investment with real potential for long-term profitability. The boutique fitness industry continues to grow, and YogaSix's backing by Xponential Fitness gives franchisees access to a proven system, national marketing support, and a recognizable brand. The key to a successful launch is securing the right financing - enough capital to open strong, with enough working capital reserve to weather the membership ramp-up period.
Crestmont Capital has the experience, loan products, and franchise expertise to help you structure the right financing package for your YogaSix studio. Whether you need an SBA loan, equipment financing, a line of credit, or a combination of products, our team is ready to guide you from application to funding.
Take the first step today. Apply online or speak with one of our franchise lending specialists to get started.
Disclaimer: The information provided in this article is for general educational purposes only and is not financial, legal, or tax advice. Franchise costs, loan terms, and lender requirements vary and are subject to change. Consult with qualified financial, legal, and franchise professionals before making any investment decisions. Crestmont Capital is not affiliated with YogaSix or Xponential Fitness.